Many are in fear of losing jobs as banks move to cost reduction
Golam Mostafa Jibon: Country’s banks are going to adopt austerity policy to adjust the losses during the COVID-19 pandemic.
Meanwhile, many banks have taken various plans to reduce costs with a view to combat post corona slump.
Of them, reduction of various allowances, cancellation of new recruitment, sending the senior officials to willingly retirement and carrying the additional works with the existing manpower among others are significant.
Seeking anonymity, a bank manager said, “I have been servicing in the bank for the last one and half era with much sincerity. I have got promotion two times during my service regime. But, in a recent time, my head office has asked me to resign from the job willingly. Like me, more 12 senior officers have been asked to resign willingly.”
“Most of the banks in the country are carrying their activities in a short range due to epidemic of coronavirus. Works at head offices are not going on like previous period. Most of the offices now depend on online. As a result, many bank staffs are now in fear of losing their jobs,” he added.
Authorities concerned of different banks have taken decision to reduce the costs to tackle the onslaught of corona. Country’s economy has fallen into trouble and slump situation is prevailing in every sector. To overcome the situation, banks have no alternative except reduction of costs, experts said.
Bankers said, transaction of most banks has now become limited due to corona pandemic. Most of the banks are incurring losses. Many banks are facing trouble to pay the salaries of their workers and employees due to lack of earning.
Another senior bank officer said, “Not only for coronavirus banks are bearing the burden of losses for several reasons. For example, the interest rate of loans has been made mandatory at 9 percent from March 1 of the current financial year. But many banks are not getting deposits even at 6 percent.”
“Then, how they will count profit,” he questioned.
On condition of anonymity, a bank manager said, their bank’s profit came down to Tk 6 crore in last April, where their profit was over Tk 20 crore every month during the usual period. Banks are facing pressure for suspending interest of two months.
A top executive of a bank said, banks are facing immense sufferings from in and outside to tackle the corona crisis. They can’t realize the loan money. Many big shape businessmen are not returning money after taking loan on excuse of corona pandemic. Finding no better way, banks authorities are now thinking to reduce costs anyhow. They want to adjust balance by reducing costs. Besides, they are trying to realize the money from them, who smuggled the country’s money to abroad after taking loan.
Dr Iftekharuzzaman, Executive Director of TIB told The Daily Industry, banks have drowned into corruption and irregularities. Many banks’ chairmen, directors and managing directors are directly and indirectly involved with corruption and anomalies. If the banks are not freed from such corrupt people, country’s economy will face a collapse soon.”
“This is why, the authorities concerned should take right plans right now,” he added.