Mumbai, Dec. 27 :    Mumbai, Dec. 27:  The State Bank of India today decided to prepare a voluntary retirement scheme (VRS) which will open on January 15, but did not spell out how many employees it wanted to strike off its rolls. Sources close to SBI, the country's largest commercial bank with over 2.30 lakh employees, say they expect over 10 per cent of the workforce to opt for the scheme. If the bank receives such an overwhelming response, it will become the largest-ever golden handshake scheme in the country. However, this could be eclipsed by the Steel Authority of India Ltd, which has sought the government's permission to introduce a Rs 1,500-crore VRS to shed 60,000 workers over three years. By a conservative estimate, SBI will receive between 25,000 and 35,000 VRS applications. Some analysts indicated that the bank might have to fork out over Rs 800 crore to meet its VRS obligations. The exercise to trim the flab is designed to optimise its 'human resources and achieve a balanced age and skills profile in keeping with the business strategies,' the bank said in a statement after a meeting of the board of directors. The VRS will be open till January 31 and the bank will retain the option to either close or extend the scheme, which is being drawn up in accordance with the guidelines issued by the Indian Banks' Association (IBA), the apex forum of bank managements. Under the norms, permanent employees with 15 years of service or those who have attained 40 years of age are eligible to opt for VRS. Sources said about 70 per cent of SBI's employees would qualify for the scheme by this yardstick. The IBA recommendations stipulate that if this criterion is met, employees could be given a compensation that would include an ex gratia payment amounting to 60 days' salary (pay+ stagnation increment + special allowance + dearness allowance) for each completed year of service, or salary for the number of months of service left, whichever is less. SBI will be joining a clutch of public sector banks like Bank of India, Bank of Baroda, Punjab National Bank, Syndicate Bank, Andhra Bank and Vijaya Bank that have introduced VRS. Despite union opposition, the offers of most of these banks have received good response. Bank of India netted 7,000 applications and PNB and Syndicate Bank received over 6,000 each. State Bank said it was making efforts to redeploy and retain staff and would launch a technological upgradation exercise involving reorganisation of functions, tasks and activities. On the Bombay Stock Exchange today, the State Bank scrip opened at Rs 181.50 and closed at Rs 183.30 against Tuesday's close of Rs 182.25. Earlier in the day, the stock had shot up to a high of Rs 184.95 after which it fell to a low of Rs 180.50.