Evaluating Human Resource Management Practices In Banking Sector : A Comparative Perspective Between Public And Private Banks

Abstract

This study examines human resource management practices in the banking sector through a comparative analysis of public and private sector banks. Human resource management has become a critical function in banking because the quality of employee performance, customer service, organizational adaptability, and operational efficiency depends significantly on the effectiveness of HR practices. In a highly competitive and technology-driven financial environment, banks are required to manage their human resources strategically in order to sustain productivity and achieve long-term growth. Against this background, the present study evaluates key HRM practices and explores how they differ between public and private sector banks. The revision focuses on major dimensions of human resource management, including recruitment and selection, training and development, performance appraisal, compensation and rewards, employee motivation, career advancement, and workplace relations. It seeks to understand whether differences in ownership structure and organizational culture influence the design and implementation of these practices. Public sector banks are often characterized by formal procedures, job security, and administrative rigidity, whereas private sector banks tend to emphasize flexibility, performance orientation, and competitiveness. These distinctions may shape employee experiences and institutional outcomes in different ways. The Research adopts a comparative analytical approach to assess similarities and differences in HRM practices across the two banking segments. It is expected that private sector banks may demonstrate greater effectiveness in performance-based HR systems, while public sector banks may show relative strength in employment stability and structured career progression. The findings of the study are likely to contribute to a better understanding of HRM effectiveness in banking and provide useful insights for managers, policymakers, and researchers. The study concludes that strengthening human resource practices is essential for improving employee satisfaction, organizational commitment, and service quality in both public and private sector banks.