Recruitment of Management Trainees in PSUs: DPE O.M

Recruitment of Management Trainees in PSUs: DPE O.M


(C )Service Matters 

Recruitment of Management Trainees in PSUs

It has come to the notice of CVC that detailed written procedure for recruitment of Management Trainees (MTs) in one of the PSEs is not laid down with the result that arbitrary short-listing of candidates is carried out and large number of candidates meeting the requirements for the posts are not even called for interview. The CVC observed that absence of proper rules and regulations for recruitment of MTs, recruitment through personal interview only without conducting written test and instead resorting to arbitrary rejecting and short-listing of candidates for interview could result in undesirable consequence of slots of MTs not going to deserving candidates and misutilization of discretion. Recruitment of personnel below the board level falls within the purview of the management of the PSUs. However, as serious lapses in the recruitment of MTs have been observed by CVC it has become necessary to have this matter examined for evolving a uniform and transparent procedure for all PSUs. 

2. On an analysis of practice followed in some of the major PSEs, it is observed that procedure for recruitment of MTs vary from organization to organization. While recruitment on All-India basis through open competition (with a written test) and interview is the normal practice followed by majority of PSEs, some of them also recruit personnel through 'campus recruitment' from reputed institutions like IITs, IIMs, RECs, etc. In certain PSUs, selection in specialized disciplines is made through the process of Walk-in-Interview. 

3. Considering the fact that the nature of functions and operations of PSEs are different, their manpower requirement is dissimilar and largely of a heterogeneous nature, it may not be desirable to provide a uniform procedure or restrict the selection process to a particular method. PSEs, which come under the definition of ‘State’ are required to provide equal opportunity to all eligible candidates, while appointing MTs, and as such, the normal course of selection should be recruitment on All-India basis through a written test followed by personal interview. Detailed procedure for recruitment, requiring written test setting of question papers, evaluation of answer scripts, fixing of bench marks and criteria for short-listing of candidates for interview, constitution of selection committee/interview board, etc. is required to be laid down clearly with the approval of the Board of Directors. 

4. All PSEs should have detailed Recruitment Rules for recruitment of MTs by open competition and if considered necessary, keeping view the exigencies of dynamic corporate management, have provisions for Campus Recruitment from reputed institutions like IITs, IIMs, RECs, etc. or through Walk-in Interview rout in rare and exceptional circumstances where there are compelling reasons and with the prior approval of the Board of Directors. However, detailed procedure should be laid down in the recruitment rules of MTs through these methods.
5 All administrative Ministries/Departments are requested to ensure that all PSEs under their control evolve and put in place a transparent procedure in the recruitment rules for MTs so that the discretion of selection of MTs vesting with the respective managements is not misutilized. 

(DPE O.M. No. 24(4)/99(GL-023)/DPE(GM) dated 29th May, 2000) 

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