Access Bank Slashes staff salaries to save jobs After Donating Billions

2
ACCESS

 

Access Bank PLC, has revealed its plans to cut staff salaries in order to ensure that no member of its staff looses job as a result of the biting effects of coronavirus (COVID-19) After donating Billions 0f naira to the government in support of covid-19.

This was part of the outcome of the in-house briefing handed down to the staff on Thursday, people with direct knowledge of the matter said.

As a lockdown to contain the coronavirus hampers operations, the lender among other measures said the reduction in salaries is expected to start from May unless business conditions improve.

Some, among those who were briefed on the matter during a conference call and asked not to be identified because they are not authorized to speak publicly, said the bank is being proactive on the matter.

Nigerian Tribune reliably gathered that the Managing Director, Herbert Wigwe has already indicated his readiness to take a 40 per cent cut and hinted that the same will apply to other management staff before cascading to junior employees.

The lender which has about 30,000 employees including outsourced and full star did not have any plan to sack any member of staff.

Nigerian banks are facing the threat of rising bad-debt levels as a crash in oil prices and the risk of a naira devaluation coincide with the Covid-19 pandemic that has shuttered businesses.

Access Bank, which acquired rival Diamond Bank Plc last year, had 6,898 permanent staff at the end of 2019, according to a presentation on its website. The acquisition partly contributed to a 31 per cent increase in operating expenses. Personnel, recruitment and training costs account for more than a third of overheads after the deal boosted employee numbers and resulted in “wage harmonization” across the businesses (Tribune)

2 thoughts on “Access Bank Slashes staff salaries to save jobs After Donating Billions

Leave a Reply

Your email address will not be published. Required fields are marked *