Prashant Kumar: Rewriting the Yes Bank Story

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SOURCEForbes India

An unassuming leader, Prashant Kumar has led an ailing Yes Bank out of the woods on a steep trek to the top. He is exploring acquisitions to grow the bank and stay profitable, while building the deposit franchise

Salil Panchal

 BY SALIL PANCHAL, Forbes India Staff13 min readPUBLISHED: Oct 3, 2022 12:41:45 PM ISTUPDATED: Oct 3, 2022 03:53:32 PM IST

…Yes Bank has a high attrition rate estimated at 42.4 percent for FY22 in a September 22 report by Hemindra Hazari, an independent research analyst who writes for Singapore-based research platform Smartkarma. However, Yes Bank’s 2022 annual report estimates a consolidated attrition rate between 20-50 percent for the twelve months to March, while accounting for gratuity plans for its employees.

…Some of India’s top banks also face high attrition but it is lower than Yes Bank. For the year to March 2022, HDFC Bank saw a total attrition rate of 19.1 percent while Hazari, in his report, estimates the FY21 attrition rate for Axis Bank at 23.8 percent and 20.6 percent for IndusInd Bank.   

…In the case of Yes Bank it is possible that “the staff became disillusioned in the immediate post moratorium period, when business became difficult to garner, since the bank’s brand had been impacted; this was followed by Covid-19; and combined with a virtual freeze on increments and bonuses,” Hazari says.