Bangladesh Bank has asked banks not to hire people over the age of 65 on a contractual basis amid a rising trend of such appointments.
As per existing rules, chief executive officers of banks will have to go into retirement at the age of 65 but there is no specific rule for other contractual posts, creating disparity among employees in the banking sector.
The central bank, however, said no such age limit would be applicable for recruiting advisers and consultants on contracts.
The board of directors of private lenders will have to frame retirement related guidelines in accordance with the existing policy followed by state-run lenders, according to a central bank circular sent to all banks on Monday.
Employees of the state-lenders have to go into retirement when their age exceeds 59 in line with government service rules.
In a separate instruction, the central bank asked lenders to refrain from recruiting people without postgraduate degrees as managing directors.
If any person attained third division in his academic life, he will not be eligible to hold the post of chief executive officer of a bank.
Moreover, the CEOs must have obtained at least GPA 3 in both SSC and HSC examinations. In graduate and postgraduate exams, they must have a minimum CGPA of 2.5 and 3 on the scales of 4 and 5 respectively.
The degrees must be from recognised universities and the lenders should put emphasis on degrees from the fields of economics, banking and finance, accounting, management and business administration.