India’s Public Sector Banks (PSBs) are set to recruit 48,570 employees during the current financial year, 2025–26, as part of efforts to address staffing gaps across the sector. This update was shared by the Ministry of Finance in a written reply to the Rajya Sabha on 22 July, 2025.
According to the response, PSBs currently have 96 per cent of their staff strength in place relative to business requirements. The remaining shortfall is attributed to routine attrition owing to retirements and unplanned exits. To bridge this gap, a major hiring drive is underway.
In the last five years, from FY 2020 to FY 2025, PSBs have collectively recruited nearly 1.49 lakh employees. The upcoming hiring for FY 2025–26 will ensure continuity and stability in banking operations, especially in rural and semi-urban areas where staffing concerns have been raised.
While PSBs operate as board-governed commercial entities with autonomy over staffing based on business needs, the Ministry acknowledged awareness of under-staffing concerns in some banks. Each bank determines its manpower requirement based on factors such as branch spread, business growth, and expected retirements.
Year-wise data presented in the Rajya Sabha showed that banks such as the State Bank of India, Punjab National Bank, Canara Bank, and Bank of Baroda continue to account for the largest share of the workforce, with SBI alone employed over 2.36 lakh people as of March 2025. The smaller banks, such as Punjab & Sind Bank and UCO Bank have also posted marginal increases or stable employee numbers.
With recruitment in progress, the banking sector is looking to reinforce its human resource capacity to meet growing customer demand and support India’s expanding financial inclusion goals.
