The All India Professionals’ Congress (AIPC), a key department of the Indian National Congress, has raised serious concerns over alleged mass terminations by ICICI Bank. In a formal letter addressed to the bank’s chairman, AIPC president Praveen Chakravarty claimed that 782 employees were dismissed over the past six months without adherence to due process.
The letter follows a complaint received in December 2023, reportedly signed by 82 former ICICI Bank employees, citing unfair and unethical dismissal practices. According to AIPC’s internal inquiry, the total number of terminations reached 782 in just half a year. The organisation further stated that two of the dismissed employees died by suicide in March, heightening concern over the psychological toll of the job losses.
Bank’s Justification Unclear as Questions Mount
Sources close to the matter indicate that several employees were terminated due to continued absence from work despite repeated follow-ups. These terminations, however, were not tied to performance issues, given that ICICI Bank is known to avoid a target-driven approach. Yet, it remains uncertain whether all the affected employees fall under this category.
In his letter, Chakravarty called on the bank to investigate the allegations thoroughly and implement corrective measures. He stressed the need for justice and transparency, labelling the current approach as reflective of “unethical and corrosive workplace policies.”
Labour Ministry Previously Involved
This isn’t the first time the issue has reached the national spotlight. In June 2023, ICICI Bank’s top leadership, including Managing Director and CEO Sandeep Bakshi, was summoned by the Ministry of Labour for a meeting. The session also involved individuals who had publicly claimed to be victims of unfair dismissal, having shared their experiences on social media.
Also read: IBM Layoffs: 9,000 US Jobs Cut, India Hiring Expands
Despite the controversy, ICICI Bank’s FY24 attrition rate was reported at 24.5%, among the lowest in India’s private banking sector. In its annual report, the bank stated, “Our human capital strategy is designed with our focus on maximising risk-calibrated core operating profit… Every employee is encouraged to identify opportunities and drive business for the Bank.”
As calls grow for accountability and employee welfare, industry observers await the bank’s official response and the Labour Ministry’s next steps.
