New Delhi, Sept. 2 -- The finance ministry has flagged rising attrition at regional rural banks (RRBs), with newly recruited staff quitting at rates that hit 39.2% for clerical employees and 35.5% for officers in recent years, according to government data reviewed by Mint. At the Nagaland Rural Bank, every officer hired to fill a new vacancy left the job, resulting in the highest recorded attrition rate among RRBs. Maharashtra Gramin Bank, Jammu & Kashmir Gramin Bank, Manipur Rural Bank and Odisha Gramin Bank have also seen rates above 45%. The exits have been concentrated among recent hires, with overall attrition across RRBs remaining a modest 3-6% for clerks and 2-3% for officers, but attrition measured against new joiners has climbed steadily, from 23.1% in 2023 to 39.2% in 2025 for clerical staff. Government officials are examining ways to encourage RRB retention. Economists and bank union officials attribute the trend to better career alternatives, including Union and state government jobs, and to a recruitment calendar that historically saw RRB hiring conclude before nationalized banks and State Bank of India (SBI) completed their own selections. Queries emailed to the National Bank for Agriculture and Rural Development (Nabard), finance ministry, Reserve Bank of India (RBI) and sponsor banks, did not receive a response till going to the press. RRBs had 6,299 clerical vacancies in 2023, against which 4,384 employees joined, while in 2025 vacancies increased further to 8,034, even as only 4,937 employees joined, according to a presentation from the government. Officer vacancies across Scale I, II, and III stood at 3,659 in 2023, and 5,685 in 2025, while the number of employees joining stood at 3,160, and 4,503, respectively. In RRBs, Officer Scale I is the entry-level Assistant Manager/junior-management grade, Scale II is the Manager/middle-management grade, and Scale III is the Senior Manager/middle-management grade. Data for 2026 is yet to be published in both categories. The presentation noted that 17 RRBs were yet to start promotions and four were yet to complete the promotion process. Dr Charan Singh, chief executive officer (CEO) and founder director of EGROW Foundation, said the situation highlights a paradox in the labour market, with young employees having alternative opportunities despite concerns over unemployment....