The Reserve Bank of India, on Thursday, said its board has approved HR (human resources) restructuring by creating an additional post of Chief Operating Officer (COO) in the rank of Deputy Governor, and will approach the government for required legislative changes.
The RBI is headed by a Governor and assisted by four deputy governors looking after different functions. The central bank now wants to create a post of COO and re-allocate work among the five.
The RBI said it has been deliberating on a broad HR restructuring exercise to align organisational resources and structures with the needs of the domestic economy and changes in the external environment.
The restructuring proposals and the grouping of departments into five functional clusters have been widely discussed at various levels in the RBI.
“One of the proposals envisaged the creation of an additional position of a COO of the rank of Deputy Governor to head one of the five functional clusters.
“The proposals were discussed in the Reserve Bank’s board meeting. The board approved the broad contours of the proposals,” the RBI said in a statement.
The statement further said the board advised the RBI to operationalise the restructuring, and asked it to “initiate a dialogue with the government on the additional post of Deputy Governor and the legislative changes that will be needed.’’
When asked about RBI’s proposal regarding COO, Financial Services Secretary G. S. Sandhu said the proposal would be discussed with the Finance Minister once the RBI sends it.
“They (RBI) are also re-organising internally. After that if they think that there is requirement of COO, then they will send proposal and the Finance Ministry would take a view,” he added.
Mr. Sandhu further said: As per the present norm, the RBI can have four deputy governors. If the fifth Deputy Governor has to be appointed, then the Act has to be amended.’’
