Banks slash salaries and cut jobs
Eximbank has slashed nearly 500 workers and cut the salary for employees by 31.65 per cent in the first quarter this year, local press reported.
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| Eximbank has slashed nearly 500 workers and cut the salary for employees by 31.65 per cent in the first quarter this year. — Photo vietnamnet |
In a separate financial report of Eximbank released last week, average monthly income was an estimated VND10.8 million (US$511) each in Q1, down 27.7 per cent against Q4 last year.
In Q1, the bank spent VND204 billion ($9.6 million) for employees, decreasing VND94 billion ($4.45 million) from Q4.
Eximbank is definitely not alone in the move towards reducing employees in the banking system, which has gone through sluggish credit growth, high bad-debt ratios and painful restructuring process.
Dong A Bank laid off 168 jobs, bringing the total number of employees to 5,133, and trimmed monthly average income by 22.3 per cent to VND7.45 million ($355) each.
Sai Gon – Ha Noi Bank (SHB) has also laid off 100 jobs but raised salaries by 24 per cent from VND12.3 million ($586) each to VND15.2 million ($724) so as to retain good employees.
While Vietinbank employed an additional 410 workers, it slightly cut salaries to VND19 million ($905). Sacombank hired 102 people and raised the average income from VND13.56 million ($646) to VND13.7 million ($652).
Industry experts reported that these steps were necessary because talent source played a core role in doing business.
Last year, in the first six months of the year, 1,200 workers had to leave Vietinbank, BIDV, ACB and SHB due to various reasons. — VNS
