Barring last-minute changes, the Central Bank of Nigeria (CBN) plans to retire over 1,000 employees before the year ends, with the process costing over N50 billion in payouts.
Sources at the apex bank confirmed that the initiative is part of a “strategic realignment of its workforce” spearheaded by the CBN Board of Governors, led by Olayemi Cardoso.
Details of Early Exit Package (EEP)
The CBN recently introduced an Early Exit Package (EEP) to provide voluntary retirement options for staff across all cadres, except those unconfirmed or with less than one year of service as of the application deadline on December 7, 2024.
According to a circular released by the CBN:
- Senior supervisors to deputy managers will receive payouts equivalent to their remaining years of service, capped at 60 months of gross annual emoluments.
- Managers are entitled to a maximum of 36 months of gross annual emoluments.
- Other cadres will receive up to 18 months of gross annual emoluments.
The EEP also includes non-financial incentives, such as financial planning workshops, entrepreneurial training, and extended medical care for up to three months post-exit.
The management clarified that once applications are submitted, they cannot be withdrawn.
Tension Among Staff
Approximately 860 employees have reportedly applied for the EEP. A staff member described the atmosphere as tense, with many concerned about the financial implications of the exit.
“For instance, I’ve worked for four years, and the package they’re offering me is between N92 million to N97 million,” one staffer revealed.
Others expressed frustration over disparities in payouts and the focus on staff hired during the tenure of former Governor Godwin Emefiele.
Leadership Gaps Persist
The 17 directors sacked earlier this year and others who retired are yet to be replaced. Current departmental leadership remains in limbo, with coordinators temporarily filling roles.
Efforts to recruit new directors have faced legal hurdles, as some of the sacked directors have filed lawsuits against the CBN, alleging wrongful termination.
Silent on Key Questions
Attempts to obtain comments from the CBN’s Director of Corporate Communications, Hakama Sidi Ali, were unsuccessful, as calls and text messages went unanswered.
HR Manual Highlights
The CBN Human Resources Policies and Procedures Manual outlines that:
- Normal retirement is at age 60 or after 35 years of service.
- Early retirement may be granted after 10 years at management’s discretion.
- Redundancy may occur due to economic or structural changes, with mandatory consultations and fair processes.
The current restructuring aligns with provisions in the manual, emphasizing amicable separations.
Broader Implications
While the CBN describes the restructuring as a necessary realignment, the decision raises questions about the impact on morale, institutional knowledge, and leadership stability within the apex bank.
