I am very happy for my friends who are in the final stages of their working lives, with PSU banks. In the first round of VRS that came, many did not opt for the pension option. They preferred to take cash. Those days, the co FD rate was 12% plus and it was clear that taking the money out was the best option.

Alas. Interest rates fell and those who did not opt for pension, regret.

Now there is great news. The bank unions have managed to introduce 'pension' as a defined benefit to all employees, including those who left the banks in the first round of VRS! All they have to do is to surrender a small sum and then they will get pension for life. A handsome amount (50% of last drawn wages) with adjustment for inflation also!

So, if you are from a PSU bank, rejoice. If you are a tax payer, grin and bear it. After all, the largesse is going to friends and family.

If you are a shareholder in a PSU bank, get the hell out. It is a matter of time before the pension bill becomes larger than the wage bill.

And of course, who the hell cares about bank profitability? Not certainly the owner or the Chairman. The chairman gets appointed as a reward for politicking at the end of his career and he uses the time to collect his graft.

This of course is beyond the ken of the species called 'equity research' analysts.

Mera Bharat truly Mahaan!!