AN OVERVIEW OF MUTUAL TRUST BANK

The importance of commercial banks after the ravage of the liberation war to develop a
better economy was severally needed and it is needed now and will be required in future
also. In time to time Government of Bangladesh agreed to permit the private commercial
banking in the country.
The Mutual Trust Bank was incorporated as a public limited company on September 29,
1999 under the Companies Act 1994. The Bank started its commercial operation on
October 05, 1999 with an authorized capital of BDT 200 Million divided into 2,000,000
ordinary shares of BDT 100 each. Aiming at offering commercial banking service to the
customers’ door around the country, Mutual Trust Bank Limited establisher 49 branches
up-to this year. This organization achieved customers’ confidence immediately after its
establishment in domestic and international markets. Mutual Trust Bank is one of the few
banks permitted by the Bangladesh bank in the early 90s; the other banks permitted
earlier were Dutch-Bangla Bank, Al-Arafah Islami Bank, Prime Bank, Dhaka Bank,
Eastern Bank. These banks are known as the second generation banks and fortunate to
remain immune from the bad loan culture. However, the performance of these banks are
not the same, the Mutual Trust Bank Limited remained as one of the top performers
among them. The emergence of Mutual Trust Bank Limited at the junction of liberation
of global economic activities, after the URUGUAY ROUND has been an important event
in the financial sector of Bangladesh. The experience of the prosperous economies of
Asian countries and in particular of South Asia has been the driving force and the
strategies behind operational policy option of the Bank, We will continue to aim for
sustainable increase of business functionalities, linking profitability, capital base, risk
adjusted assets and investment for growth. Mutual Trust Bank Limited has been licensed
by the Government of Bangladesh as a Scheduled Bank in the private sector in pursuance
of the policy of liberalization of banking and financial services and facilities in
Bangladesh. In view of the above, the Bank within a period of 19 years of its operation
achieved a remarkable success and met up capital adequacy requirement of Bangladesh
bank.

HUMAN RESOURCE PRACTICES OF MUTUAL TRUST BANK

Human resource development and management has been proved as one of the most
Critical aspects of attaining organizational effectiveness. Human Resource Management
(HRM) is concerned with the ‘people dimension in management’. Mutual Trust Bank
Limited. Since its inception, has placed equal emphasis on all the four key functions of
the processor HRM-acquisition, development, motivation and retention. The various
programs undertaken by the Mutual Trust Bank to enrich the quality of human resource
are mainly aimed at increasing professional knowledge and skill levels of employees
through training and development, in order to form a well-equipped work force for
providing excellent services to the customers.Moreover, top executive of the Bank are
frequently send abroad for enabling them to Know the functions and mechanisms of
financial, money and security market of the Developed countries and also to exploring
business opportunities. Quit a large numbers of executives and officers of the Bank have
so far been trained at Bangladesh Institute of Bank Management (BIBM), Bangladesh
Bank Training Academy (BBTA) etc. Covering Divers areas of the financial system
including commercial banking as carefully selected are largely concentrated around core
banking issues like credit management, international Trade, treasury management, audit
and inspection, loan review & monitoring and project Management.

An organization is nothing without human resource. a lot of branch & employees with
expensive equipment and some impressive bank balance. Each organization want to
provide best service to the customer. In this situation MTB has made the Human
Resource Division (HRD). The HRD of MTB prime task is staff managed. So that the
MTB authorities keep it mind, and MTB authorities has recruited 10 employees in the
HRD. To look at HRD of MTB specifically, they suggest that it is a process consisting of
four function, a. Acquisition, b. Development, c. Motivation, And d. Maintenance of
human resource. See the below HRD Function of Mutual Trust Bank.

ACQUISITION
The acquisition Function begins with planning. Comparatively to human resource
requirement, MTB management needs to know where we are going & how we are
going to get there. And it includes the estimating of demand and supplies of employee.
acquisition includes the recruitment & selection of employees & socialization of
employees .

HUMAM RESOURCE PLANNING

A successful moment of management team comes from a deep involvement idea. And
this involvement can create a good human resource planning. In this situation when MTB
management team recruits a employee that time they are to balanced between the job
description & individual attitude. Then they make effective HR planning for the favor
employee and organization. HR planning help to achieve the objective of long short term
The process of determining HR needs of MTB and ensuring that the organization has the
right number of qualified people in the right jobs at the right time. While a management
team goes to preparer a effective HR planning that time they are to benchmark some
condition for the favor of employee and organization.

JOB ANALYSIS
The human resource planning is concerned with telling us what individual employee
can do, job analysis is more fundamental the process of systematic analysis of a job in
order to determine the task, duties, and responsibilities of the job and the knowledge,
skills, and abilities required to perform the job. The outputs of a job analysis include.
While Mutual Trust bank goes to recruit a employee for the position of job, that time the
HRM team is to research in recording activities. HRM of MTB is gathering information
and while each job is multifaceted, they must confine their information gathering to
specific job attribution. And they think that what are those attributes? Then the HRM
team makes a concept
by using deeply thinking concentration into those point.

 career
 Occupation
 Job Family
 Job
 Position
  Duty
 Task
 Element

There are some purpose of job analysis those are-

a) Job Description:
The list of tasks, duties, and responsibilities of a job.
Task: a task is a distinct work activity carried out for a distinct purpose.
Duty: a duty is a number of tasks.
Responsibility: an obligation to perform certain tasks.

b) Job Specification:
The list of knowledge, skills, abilities, and other characteristics that an individual must
have to perform a job.
Knowledge: an organized body of information, usually of a factual or procedural nature
applied directly to the performance of a task.
Ability: a demonstrated competence to perform an observable behavior or a
behavior that results in an observable output.
Skill: a competence to perform a learned, psychomotor act, and may include a
manual, verbal, or mental manipulation of data, people, or things.
Other Characteristics: the personality factors (attitudes), aptitudes, or physical or mental
traits needed to perform the job.
c)Job Evaluation:
Market Perspective (External Equity)
o how difficult is it to fill the position
Based on Job Analysis (Internal Equity)
o skill
o effort
o responsibility
o working conditions
o education requirements
RECRUITMENT
Recruitment refers to process of finding right people for the right job or function, Usually
undertake by Human Resource Department. Advertising is commonly part of the
Recruiting process and Mutual Trust Bank does it through newspapers. Mainly two
newspapers they advertise for Prothom-Alo and Daily Star. Different job required
different skills. So, suitability for a job is typically assessed by looking for skills, e.g.
communication skills, computer skills. Evidence for skills required for a job may be
provided in the form of qualifications (educational or professional), experience in a job
requiring the relevant skills or the testimony of references.

MTB Purpose of recruitment:

 Increase size of applicant pool at minimum cost
 Identify & prepare potential job applicants.
 Increase success rate of selection process by reducing over/under qualified
applicants
 Decrease early turnover of new hires.
 Increase individual/organisational effectiveness.

Recruitment Process:
Management Trainee recruitment process is different than other employee. In case of
Management Trainee Mutual Trust Bank takes written examination. Other employee’s
recruitment processes are as follows. After advertising the newspaper the Banking
Officers and Trainee Officers of Human Resource Department collect the CVs from
reception desk. CVs are posted by hand or by post. HR employee preliminary screen the
CV by matching the post they want for. With the instruction of First Assistant Vice
President (FAVP) of HRD Banking Officers and Trainee Officers start to entry the CVs
in the software. Software is also screening the by matching the criteria, because software
is designed as the criteria set up. If the criteria don’t match the software will not allow to
entry the CV. After entering the CV in the software they printout the CV statement in
quizzes format, six CVs are in one page. With the statement the Banking Officers go to
the Head of the HRD. The Head of the HRD, Senior Executive Vice President (SEVP),
Executive Vice President (EVP) do an informal discussion and screen the CV. Then these
top level managers give a schedule for interview. First Assistant Vice President (FAVP)
of HRD set the venue for interview and call the top level management to lead the
interview. Banking Officers call the candidates to attend the interview. If the preliminary
interview is successful, the candidate will be invited to another interview. Then the
selected candidates have to face the final interview. It is not set that, there will be three
interviews. It could be four or more, depends on situation and post.

SELECTION
Selection is the process of gathering information for the purposes of evaluating and
deciding who should be hired, under legal guidelines, for the short and long term
interests of the individual and the organization.

MTB Selection Process:

 Screening of applications
 Tests
 Interviews
 Reference Checks
 Medical Examination

MTB selection process is started by applicant screening activity. then the HR employee
identify a I.Q. test of applicant. they are called for interview then interviewers are
identified Reference. if the reference and all selection process result is favorable so the
management is invited for joining date with positive medical certificates and academic
original documents papers .Finally HRD takes a decision for placement as applicant
wish.

JOINING
After selecting from the recruitment process bank offer the candidate to join the bank. If
candidate agree to join, the bank then gives him/her appointment letter. In appointment
letter the date of joining, which document should be attached, salary parameters are
mentioned. With the reference of appointment letter within the joining date the candidate
have to come in the Human Resource Department (HRD) in the Corporate Office. The
Banking officer of the Human Resource Department (HRD) processes the joining. The
candidate has to fill up a joining form, in which there are personal information,
references, nominees name and percentage of given power of provident fund etc. S/he has
to sign the Code of Conduct, and submit a joining letter and a confirmation letter.
Banking Officer verifies his\her certificates, and collect nationality and medical
certificates. In terms of some employee like Management Trainee, they have to sign bond
to join the service. These all documents will enclose in his/her personal file. After
collecting all the documents Banking Officer creates the candidate’s personal file and go
to the Head of the HRD and DMD to accept his/her joining. After accepting his/her
joining, now the candidate becomes an employee and Human Resource Department
(HRD) gives him/her a posting order. In that posting order the branch and date of joining
are mentioned. With the reference of that posting the employee have to report the
mentioned Branch Manager within the mentioned date. A personal file contains:
 CV
 Offer of Appointment Letter and Appointment Letter
 Office notice of selected employee (with sign of FAVP, SEVP, MD)
 A copy of Certificates
 Joining Form
 Confirmation and Joining Letter
 Posting Order and Released Order
 Training Information (If any)
 Annual Confidential Report (ACR)
 Office notice of interview for Confirmation of Service
 Confirmation of Service Letter
 New Pay Scale
 Provident Fund Information
  Leave Fair Assistant (LFA)
 Office notice of interview for Promotion
 Promotion Letter (If any)
 Leave Information (If any)
 Trade Allowance and Daily Allowance(If any)
 Loan Information (If any)

POSTING AND TRANSFER

An employee first joins in the Human Resource Department (HRD) in the Corporate
Office. After accept his/her joining s/he is posted to Branch Office. Before to get the
Posting order employee doesn’t know in which Branch s/he will be posted. All jobs are
Transferable in this Mutual Trust Bank. The Competent Authority has the right to transfer
employees of the Bank from one department to anther department or from one branch to
another branch of the Bank. Human Resource Department keeps one copy of posting in
employee’s personal file and the copy of posting order distribute among employee, the
FVP and manager of employee’s branch, DMD and head of Corporate Affairs and
Administration, Managing Director’s Secretariat Mutual Trust Bank Limited the FVP and
manager of branch where employee will be posted and IT Department.

TRAINING AND DEVELOPMENT

When a organization is started their activities that time the organization need to
continuous development for running business activities in present time. In this
circumstance Mutual trust bank has development activities. MTB competent
employees will not competent forever. Some are minimally qualified upon entering the
organization but require additional training or education. Therefore HRD of Mutual
Trust bank has activated continuous staff development program.

Employee Training:
Mutual Trust Bank management team organizes continuous training program for the
staffs in specific skills developing. Then they are applied on the job activities. The
training program is mandatory for new employee. And management team believes that
the training is a learning experience and it will be helped to achieve the objective of an
organization .To participate with contest market. This training program Discovering
innovational ideas and skills for organization.
Finally MTB management team has assisted to increase job performance skills of
employee„s. Management typically say training can involve the changing of skills,
knowledge attitude or social behavior. Therefore management team of MTB has
organized a lot of trainings program. As like. Money laundering, Performance Appraisal,
effective computer skills and so on.

Management Development:
In the view of an organization, management is to compare as driver and staffs are a
passenger. Organization staff cannot achieve the objective, if the management does not
help them. So MTB understand to say management development is more future oriented
and more concerned with education than is employee tanning or assisting person to
become a good performer. A successful HR manager has analytical intelligence human
intelligence, conceptual intelligence and specialized skills. Those intelligence is to
enhance, management need a effective training & deployment program. As a result the
authorities of MTB have sustained a management development program to be
predominantly an education process rather then a tanning process. In this sense MTB
authority has continued a lot of training program for HR employees.

The objective of MTB for management developing Making an effective Human Resource
planning for obtaining MTB goal and objective. Organizing a intelligence recruitment &
selection process. Making a simple method for performance appraisal of employees.
Creating a acceptable method for payroll management Organizing a job oriented tanning
program for branch workforce. the objective of MTB.

Career Development:
Career Development looks at long term career effective and success of organization
personnel. Mutual Trust bank is very conscious about their employee career. For this
reason they have made a lot of training program activities for employee‟s career
development. As a result the performance ability of employees are increased in day by
day. Then the employee is highly performed for organization .In this situation the
organization is benefited, and the organization is benefited to the employee through the
promotion system. In such way Mutual Trust Bank has supported career development
activities for their employees

Motivation:
Job design:
Job design means, making a structure, schedule, rutting and Disciplinary working
scream. It is affected on motivational factor for employees. It has included some key
point as like Task, Time, Duties, Responsibility, and Accountability.

Who peoples of employee of MTB, they have to involve in working environment for
eight hours, five days in a week, and and forty-eight to fifty weeks a year. It is no secret
that vast majority of job in MTB today are highly specialized. And activates are broken
down into smaller and smaller task resulting in a large segment of work force doing
activities to follow in mentioning schedule.
MTB is made a job design based on five core feature into an employee personality.

Skill variety: The degree to which a job requires a variety of different a activates so one
can use a number of different skills and talent.

Task identify: The degree to which the job requires completion of a and identify piece of
work.

Task significant: The degree to which the job has a substantial impact on the lives or
work of other people. Autonomy : the degree to which the job provides substantial free
dom , independence and in determining the procedures to be used in carrying in out.
Feedback: The degree to which carrying out the work activities required by the
job results in individual obtaining direct and clear information about the
effectiveness of his ore her performance.

PERFORMANCE APPRAISAL
Performance Appraisal is the tool to determine and communicate to an employee how
he/she is performing on the job, ideally, establishing a plan of development for both
personal and the business. MTB exist to achieve goals the degree of success that
individual employee have in reaching their individual goals is important in determining
organizational effectiveness. the assessment of how successful employee have been at
meeting their individual goal therefore become a critical part of HRD of MTB.
MTB has three purpose for Appling performance appraisal system..
It can be used as a basis for reward allocations, Decision as to who get salary increases,
promotion, and other rewards are determined by their performance evaluation.

This appraiser can be used for identifying areas where development effort needed. As
noted in our discussion of tanning & management development & management need to
spot those individuals who have specific skills or knowledge deficiencies.

The performance appraisal can be used as a criterion against which selection device
and development program are validated .any other thing has included that the
management can justify to the recruitment & selection process. Was it right or Wrong?
MTB Performance appraisal Process Activities
 Performance Standards
 Compare Performance Expectation to Employees
 Measure Actual performance
 Discuss the Appraisal with employee
 Then Necessary, Initial Corrective action

ANNUAL CONFIDENTIAL REPORT (ACR):
Annual Confidential Report (ACR) is the evaluation report on the work performance and
personal skills. In an ACR report there will be the basic information like employee’s
personnel information, period of evaluation start to end, remarks (if any), rater name etc.
This evaluation based five-likart scale (Below average 1, average 2, good 3, very good 4
and outstanding 5) . Mutual Trust Bank evaluates two factors, one is personal traits and
other is performance factors.

In personal traits evaluation there are ten things.

1. Discipline and Punctuality
2. Initiative and Drive
3. Team Spirit
4. Intelligence, Diligence and Alertness
5. Honesty, Integrity and Sincerity
6. Interpersonal Relationship Skill
7. Creativity and Innovations
8. Flexibility
9. Loyalty and Devotion
10. Fitness

And in performance factor there are also ten things.

1. Professional Knowledge
2. Improving Corporate Culture
3. Decision making ability
4. Ability of visualize and plan
5. Ability to act on emergent situation
6. Ability to implement decisions
7. Ability to guide and create team work
8. Communication Skills
9. Customer Relationship
10. Acquaintance with technological improvement
An employee has not any right access to his/her ACR, but s/he will be informed; so that
s/he can correct/improve/rectify himself/herself from his/her weaknesses if s/he has any.
After finishing the Annual Confidential Report (ACR) in paper HR department enter
those reports in the database.

CONFIRMATION OF SERVICE
When an employee joins in the service s/he will remain under provision of one year. If
the employee performs satisfactory in his/her job s/he will confirm of his/her service and
thatis normally a promotion. For example, one employee joins as a Teller or Trainee
Officer, if his/her performance is satisfactory then s/he will confirm as Banking Officer
(BO). If the employee’s performance is not satisfactory then the bank can extent the
provision or can confirm as Teller or Trainee Officer.

MTB DISCIPLINE SYSTEM

The term discipline refer to a condition in the organization when employees
conduct themselves in accordance with the organization rules and standards of
acceptable.
The discipline system of Mutual Trust bank is so strong. And all employees are to follow
this discipline system. This discipline is so effective for banking activities. MTB
separates offenses into minor and serious categories.By making such a distinction,
management can being to establish a consistent and equitable discipline policy.For
instance employee who experience their first minor offence might generally expect an
oral warning. A second offense might result in a written warning, and so forth in contra
the first occurrence of a serious offence might mean an immediate suspension the length
on the circumstance surrounding violation. Let See the sample of MTB discipline system
in below.

Official uniform Rules: All employees have to wear black pant, white or little sky blue
shirt (one color). black shoe, black belt and tie is must be wearied for man, On the other
hand female has no specific dress code but it has mentioned that she must be smart in
ethical view.
Time in entry: All employees must be come within 10 am.

Time on exit: All employees never exit before 6 pm.

Food taking rules: Branch employee would not eat food front side of customer.

Outside Activities : Most of the employees final problem categories covers activities
that employee engage in outside of their work. But it is affected on current tasks. in this
sense HRD of MTB has applied restriction that is any employee would not go outside
of branch during office hour without official duty. Disciplinary Action

Mutual Trust Bank disciplinary generally follows a typically sequence of four steps:
a) Oral warning b) Written Warning c) Suspension and d) Dismissal. Two additional
steps, which would logical follow suspension demotion and Pay cut are less popular
in practice but there are impotence enough to justify discussion of HRD of MTB

MAINTENANCE
Mutual Trust Bank has made a lot rules and procedures. All rules and procedure has a
significant impotency for this organization. HRD of MTB has created this rules and
regulation by deep thinking . In this concomitances MTB has some employees , they are
regularly monitored this rules regulation. This segment of report, I would like to discuss
about safety - health and employee relations.

Safety and Health

Human Resource Division of MTB has a responsibility to ensure that the work place is
free from unnecessary hazard and that condition surrounding the work place is not
hazardous to employee „physical or mental health. MTB‟s working environment is
amazing. All employees are satisfied about their work place. They are working with
freedom. And Customers is satisfied about this banking environment. Actually this is not
only office environment but also it is environment of luxuries apparent. All components
of luxury apartment has setup into working environment of MTB .In this situation Some
health and safety components are ; Air Conditions, Fire Protectors, Payer Room,
Conference Room, Dining Room, Kitchen, High Definition Television system ,
Telephone, four Security guard, two cleaner and two peons. As a result we can say that
MTB working condition is completely safe and healthy without any confusion.

Equal Employee Opportunity (EEO)

It is the policy of Mutual Trust Bank Limited (MTB) to prohibit racial, gender, sexual
and other forms of unlawful harassment; Employees at all levels are responsible for
demonstrating through their personal behavior, that harassment, bullying, victimization
and other such reprehensible type of conduct is unacceptable and will not be tolerated.
Employees are also responsible for taking action to prevent harassment, bullying,
victimization, etc. from occurring in the work-place and its environs, in the first place.
They are also responsible for recognizing instances of harassment and bullying within
their teams, and for taking rapid and effective steps to deal with any problems that arise.
All employees should avoid harassment (Racial, Sexual and Bullying, etc.) as defined
below:

a. Harassment
Any conduct based on age, sex, sexual orientation, gender assignment, disability, HIV
status, race, color, language, religion, political or other opinion or belief, national or
social origin, association with a minority group, domestic circumstances, property, birth
or other status, which is not reciprocated or wanted and which affects the dignity of men
and women at work.

b. Sexual Harassment
Unwanted conduct of a sexual nature or other conduct, based on sex, affecting the dignity
of women and men at work is prohibited. This can include unwelcome physical, verbal or
nonverbal conduct”.

c. Bullying
Offensive, abusive, intimidating, malicious or insulting behavior, abuse of power or
unfair penal sanction, which makes the recipient feel threatened, humiliated or
vulnerable, which undermines their self-confidence, and which may cause them to suffer
stress.

d. Racial Harassment
Unwanted, unwelcome and offensive conduct of a racial nature or other conduct based on
race, which affects the dignity of men and women at work” Any employee may contact
or visit Group Human Resources to confidentially discuss any concern, and to explore
available options, without fear of jeopardizing their employment status within the Bank.

Accountability & Responsibility

The committee will work for establishing equal respect to both sexes. This committee
will also receive complaints (verbal or written), investigate and finally provide their
recommendations to the Managing Director & CEO for final decision. The Terms of
Reference of the Anti Hassle/Harassment Committee are as follows:

1. Establish first that there is a basis to the complaint received

2. Ask for prima facie evidence of the incident
3. Carry out preliminary investigation
4. Interview the complainant, accused and witnesses, if any, and collect evidence
5. Submission of findings
In all cases, official records and documentation will be treated with confidentiality.

Employee
MTB is a group of organization. A lot of employees are working here. I think that there
are approximately 1000 employees working in MTBL. Each employee is well educated.
All-time they are working together without any conflict. They are so helpful to each
person. Every day they are working eight hour from 10am- 6pm.Every employees are
cooperative on internship student
WAGES AND SALARIES
Compensation is the most important part in any organization as it is one of the key factors
of motivation for all employees now-a-days. Therefore different organization undertakes
attractive compensation policy to uphold the potential employees to increase the
productivity. Generally, we can see two types of compensation system. One is financial
and another one is non financial. Mutual trust bank has been also offering lucrative
compensation to their employees for years for which their demand is up scaling day by
day. One of the finest thing that I observe that MTB has always tried their utmost to keep
their best person else by ensuring the best pay scale comparing with the competitors.
Therefore it is seen that the turnout ratio of employees of MTB is so low. MTB goal of
compensation is to focus on the certain activity or works done by the employees upon
which the compensation is maintain or scaled such as it has maintain a combination of
cash, benefits, retirement, perquisites as a total compensation package.
There are several compensation policies taken by MTB. These are given below:

Salary: To compare with all the local banks MTB pays relatively so high to their lower
level employees. It is done due to grab the potential employees from the market. Actually
there are few companies in the market to pay such a high basics to their employees for
which MTB is still is the first choice of new comers. This is the area in which MTB has
done marvellous job because now-a-days employees are more concern of their basics.
MTB has successfully adapted this change. It has been seen that employees of MTB are
highly satisfied due to the convenient salary structure as other company in the market are
not paying like this. Moreover, MTB used to review its salary once in a year. For a
instance every December, the salary of the employee review based on the performance
which is key motivating factor to perform well. Another thing that is to mention that
MTB conducts performance evaluation twice in a year according to that they are to
review the salary.

Salary Payment: The most important thing about the payment of the salary of MTB is
that it clears all the salary payments within 25 th of each month which is quite absent in
other companies. The employees are paid their every month salary on their accounts
which they have to open while joining in the company. It is good in such way that all the
tax and deductable income are cut by company itself and the employees get those
amounts withdrawn the money from their account as a whole.

Bonus: Like the other banks , MTB provides two festival bonuses to their employee’s one
is in Eid- ul- Fitar another one is Eid-ul-Azha. The bonus is equivalent to the basics of the
employees. Moreover, there is another provision regarding the bonus which is based on
the performance of the employee. But it actually depends in the performance of the
branch which means if a branch does well as a whole then all the employees of that
branch get bonuses of their performance.

Performance Bonus: If the bank makes profit, the employees will be entitled to 3% of
pre-tax profit as performance bonus. Fifty percent of such bonus distributed on the basis
of basic pay of an employee, and balance fifty percent on the basis of performance of
individual employees. Performance appraisal for the purpose made on the criterion set by
the management time to time.

Provident Fund & Gratuity: The employees are also entitled with provident fund in MTB.
Actually 10% of the basic are deducted from each employee for the provident fund along
with this 10% another 10% provided by the company total 20% is installed as the
payment of provident fund. This fund is given to their employees at the end of their
service. If any employees leave the organization before completing three years of
employment he will get the provident fund induce from the 10% of the basic that will
calculated upon his service period which means those employees will not be able to claim
the other 10% provided by the company. In addition MTB also provide gratuity to their
which has a handsome amount apart from the basics. The employees who complete 10
years are used to get a gratuity equivalent to the basic of 3 months.

Annual Increment: There is a provision of annual increment of MTB which is 10%

increment based on the performance. It works as a motivating factor for the employees to
perform well. Therefore each employee tries their best to make it happen so that their
base salary having well shaped structure.

Travel Allowance: The bank also provides travel allowance to their employees. If any
employee travels any place in Bangladesh regarding company’s prospect, they will get
the money or remuneration that is cost by them but the cost that is spent is verified by the
HR personnel and after that they got the requisition of the money.

House Rent Allowance: The company also provides house rent to their permanent
employees who are in the managerial level. Each employee in the managerial level gets
55% of their basic as house rent. This encourages the potential candidates in the market
to work for MTB.

Employee Loan: Unlike other banks, MTB provides a great scheme of loans to their
employees. First of all, the permanent employees get loans from their provident fund at a
cost of 10%. They can use their money for several purposes. Secondly, from the
executive level the employees are qualified for home loans, car loans and others at a cost
of 8% where it is around 15% for the customers so it an extra benefits consumed by the
employees.

Medical Facilities: The medical facility provided by MTB is quite different from other
banks. MTB has their own medical team to look after their employees in case of any
medical assistance. They have their nursing home as well. Therefore employees of MTB
do not have the opportunity to enjoy life insurance which means MTB does not provides
life insurance policies to the employees. Every year in walfare fund 200 taka for each
employee is deducted to count in the employee welfare fund. The money induced from
the welfare fund is used for the welfare for the employees when they are in trouble or in
emergency. This money is totally distributed to the employees so that they feel safe at
their emergency period.

LEAVE FARE ASSISTANT (LFA):

Leave Fare Assistant is the fifteen days leave with one month gross salary amount
Payment and this payment will not count in monthly salary. After one year of
confirmation of service every employee will get this facility for every year. For mental
And physical recreation of employee Mutual Trust Bank provides this facility and this
mandatory for an employee. Leave Fare Assistant is payable to the employees or their
nominee(s) who are not in the payroll of the bank on the date of payment due to
retirement/death. With the provision that those who have completed one full year of
service in the Bank before the date of payment will receive entire amount of LFA and
others not completing one full year on the date of payment will receive LFA
proportionate to his/her period of service during the concerned year.

Leave:
Following kinds of leave allowable to employees of the bank:

Earn Leave:
On completion of period of one year of continuous service in the Bank all
employees get earned leave on full pay. The maximum amounts of such leave that may
be accumulate four months.

Disability Leave:
Disability leave may be granted by the Board to an employee who is disabled by injury
inflicted or caused in accident.

Maternity Leave:
Maternity leave may be granted by the competent authority to an employee for a
maximum three months period at a time.

Casual Leave:
Casual leave means a leave of absence for very short period of days, granted to an
employee who may be unable to attend duty due to sudden illness or urgent
private/family affairs. On completion of period of three years of continuous service in the
Bank employee may earn study leave without any pay and allowances, for a period not
exceeding two years may be granted by the Board to an employee to enable him/her to
study considered useful for his/her services under the Bank.

Promotion:
The criteria for promotion to a specified post usually merit-cum-seniority. A person will
be eligible foe promotion if he has the satisfactory records of service, meets the criteria
for promotion, and has clear recommendation for promotion in his/her ACR. If there is
any departmental proceeding in underway against him/her or any penalty other than
censure or warning has been imposed on him/her within the last three years then the
employee will not be promoted. In terms of every promotion the employee has to face
interview board. There are number of years to become eligible for promotion from the
ranks mentioned below to the next higher ranks:

Post Eligibility for Promotion:

Officer Two years experience as Junior Officer or one year’s experience as Probationary
Officer selected through competitive test.

CONCLUTION
Banking sector is growing in Bangladesh as like as all over the world. This industry
always tries to provide better service their customer and develop their operational
system. MTBL Bank is one of the significant banks in our country. These banks are
comprehensive of other modern banking system. The bank use modern banking system
and always try to introduce new banking system of us. One of the new practices of the
MTBL bank is E-Recruiting process of their banking system. Most of the bankers
executives are agree that Recruiting and selection system introduces the MTBL Bank as
a modern bank. Eventually we say the gradual and successful globalization of electronic
banking coupled with growing awareness of the people about its financial and social
benefits makes it clear that the next century is going to be the century of MTBL. The
report is aimed at the Human Resource Division. Mutual Trust Bank Limited operating
in the market with the objective of becoming the Bank of choice for its clients and all its
stakeholders. Mutual Trust Bank Limited is committed to focus to all its energy on its
customer as well as its employees. This is sure that a strong Human Recourse practices
will help Mutual Trust Bank Limited cover the way leading to farthest destination.
Human Resource Department is the most confidential department for any organization as
well as Human Resource Division in Mutual Trust Bank Limited. Here as an intern I am
allowed to get limited information for my study. I am not allowed to get the information
which is too much confidential for the Bank. But they allowed me to take the
information for my report. It was an honor for me that I have worked as an intern in a
reputed organization like Mutual Trust Bank Limited. The Mutual Trust Bank Limited is
a bank that confirms the best service to the customers as well as to the employees by
Human Resource Division. By working in Human Resource Division the knowledge that
I get there that would be helpful enough for me to sustain with the real organizational
environment.