New Delhi, June 19 -- Resentment over opaque and often arbitrary transfer and promotion policies has long been a simmering issue at India's public sector banks (PSBs), with employees frequently raising concerns about fairness and career progression.

Against this backdrop, the Union finance ministry is working on a series of human resource (HR) reforms across the 12 PSBs, aimed at reducing human interface and automating seniority-based promotion and transfer processes to improve transparency and workplace culture, according to three people familiar with the proposed HR overhaul, which is expected to benefit more than 750,000 employees across these lenders.

The move to reduce human interface in transfer and promotion processes across PSBs...