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In the recent times, the companies have properly understood that employees’ talent is the key for organizational success and growth. That is the result why the function of Human Resource has made a transition from ‘behind-the-scenes’ to the partner who helps in strategic decision-making. Now the organizations have understood the importance of engagement of the employees. The objective of the paper is to explore the factors affecting employee engagement in public banks to help the management to retain employees. The response from 289 employees has been taken and factor analysis was done to find out the important factors. There were 23 factors extracted which has been grouped into 3 major factors after analysis. It was found that the work was monotonous and not interesting as well as the support of the management was less. It was seen that there is a lack of friendly communication as well as two way communication between superiors and subordinates should be considered by the management. Technological up gradation at workplace and upgrading the employees about the usage of technology was also necessary. Even, financial activities in banks and the promotional process should be upgraded to engage more employees in public sector banks. Some improvements are suggested to engage workers actively to the maximum level.
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