Navigating Yes Bank’s Current Crisis: Is It Advisable to Join as an Employee?
Questioning whether joining Yes Bank during their current financial crisis is advisable can be a daunting task. While the bank has seen significant challenges in recent years, there are considerations and factors to weigh before making a decision.
Why Not?
Yes Bank remains a valuable and promising employer. Even in a turbulent period, the bank offers unique opportunities for professionals to gain meaningful experience. Upping your career ladder by switching to other private banks later can be a beneficial strategy. For fresh graduates or entry-level candidates, this is indeed a great starting point.
Deciding Factors
The decision to join Yes Bank during its current financial crisis should be based on your present employment situation, the nature of the offer, and the specific role you will play. If you are currently gainfully employed and permanently associated with another bank or financial institution, you may have sufficient reasons to consider this question. Conversely, if you are unemployed and seeking your first job in banking, the scenario is entirely different.
It’s essential to understand that the current financial situation of the bank, characterized by inadequate growth capital and the promoter’s reluctance to step down, was the primary cause of its significant decline. The market has since shown some improvement with substantial promoter disinvestment and interest from Indian and foreign entities.
Employee Impact and Job Security
Currently, the bank is not at risk of collapsing, and employees are not expected to face major adverse affects. However, the decision to join or not should be made based on several factors:
Current employment situation: If you have a stable and comparable job, switching might not be advisable unless there is a substantial improvement in the package and position. Market outlook: Considering the recent market rally and the bank's growing interest from potential investors, the long-term outlook is generally positive. Role and position: For lower-tier positions, routine crises are unlikely to significantly impact your job security. However, for senior management roles, the risk of early departure is higher due to the typical exit strategy of "last to join, first to go."Recommendations
For fresh graduates or entry-level candidates, it is advisable to take the opportunity. The routine crises are unlikely to impact your job security as an entry-level employee. However, for very senior level candidates aspiring to join as part of the decision-making team, the risks are significantly higher. Be cautious, given the high mortality rate of senior management during crises.
It is crucial to assess your personal circumstances and career goals before making a decision. While Yes Bank currently faces challenges, the professional growth potential and positive market outlook make it a compelling option for many individuals.