RESERVE BANK OF INDIA
July 9, 2021
All Commercial Banks (including Small Finance Banks, Local Area Banks and Regional Rural Banks)
All Primary (Urban) Co-operative Banks/State Co-operative Banks/ District Central Co-operative Banks
Please refer to our circular DBR.No.BP.BC.88/21.04.048/2014-15 dated April 23, 2015, advising banks to implement a ‘Mandatory Leave’ policy for the employees posted in sensitive positions or areas of operation. It has been decided to update these instructions and repeal the circular dated April 23, 2015 ibid.
2. As a prudent operational risk management measure, the banks shall put in place a ‘mandatory leave’ policy wherein the employees posted in sensitive positions or areas of operation shall be compulsorily sent on leave for a few days (not less than10 working days) in a single spell every year, without giving any prior intimation to these employees, thereby maintaining an element of surprise.
3. Banks shall ensure that the employees, while on ‘mandatory leave’, do not have access to any physical or virtual resources related to their work responsibilities, with the exception of internal/ corporate email which is usually available to all employees for general purposes.
4. Banks shall, as per a Board-approved policy, prepare a list of sensitive positions to be covered under ‘mandatory leave’ requirements and the list shall be reviewed periodically. Implementation of this policy shall be reviewed under the supervisory process.
5. The revised instructions shall be applicable to all the banks and they shall comply with these instructions within six months from the date of issue of this circular.
(Sunil T S Nair)
Chief General Manager