Bridging Tradition and Strategy: Rethinking Promotion Systems in Sri Lanka’s Public Banking Sector
Introduction In Sri Lanka’s government banking sector, promotions have long been based on circulars, seniority, and union agreements. These systems were built to maintain fairness and order. However, with new expectations and global changes in Human Resource Management (HRM), the old system now faces pressure to evolve. The question is: how can public banks move from a traditional Personnel Management (PM) style to a more strategic HRM approach that values both fairness and performance? From Circulars to Strategy: Understanding the Challenge Most promotion systems in public banks are guided by government circulars and collective agreements. This creates a rule-based and structured process that reflects the pluralist approach of PM — one where management and unions both influence decisions. Seniority and service years are often the main criteria, ensuring equality but sometimes ignoring individual ability or innovation. In modern Strategic Human Resource Management (SHRM), promotions ar...