Impact of Voluntary Retirement Scheme on Retirees and Indian Public Sector Banks: An Empirical Exploration

The paper based on a primary survey conducted in a few selected Indian ·cities attempts to find out the impact of Vol,mtary . Retirement Scheme (VRS) on the post- VRS liF of the employees who opted for VRS (retirees) and on the performance of Indian Public Sector Banks (PSBs). The results point out that the most important reasons for retirement were the financial attractiveness of the scheme, fear of transfer and poor health. It is also revealed that the retirees generally continued to enjoy almost the pre-retirement level of financial and social status. The financial perfonnance of the banks shows improvement after the VRS.