SBI's voluntary retirement scheme: All you need to know

The State Bank of India (SBI) has formulated a voluntary retirement scheme (VRS) help the optimisation of costs and human resources. The 'Second Innings Tap-Voluntary Retirement Scheme-2020 (SITVRS-2020) will significantly reduce the number of employees.

As of March 2020, the country's largest lender has close to 2.50 lakh employees.

Here's all you need to know about SBI's VRS:

• The scheme will be opened for three months, from December to February every year, and employees who have completed 25 years of service and are 55 years of age will be eligible for the same.
• Those who want to withdraw the application can do so within 15 days.
• A total of 11,565 officers and 18,625 staff of SBI are eligible for the new VRS plan.
• Those opting for this voluntary retirement scheme (VRS) will be paid 50 per cent of their salary for the residual period of service.
• But it will not exceed the 18-month amount of the existing salary. Also, the amount of income tax would be deducted as per the rules on salaries.
• Gratuity and provident fund will also be given.
• Pension, leave encashment will also be facilitated.