CBN To Retire 1,000 Staff With N50 billion Payoff

CBN Shakes Up Workforce, To Retire 1,000 Staff With N50bn Retirement Plan

CBN Shakes Up Workforce, To Retire 1,000 Staff With N50 billion Payoff

The Central Bank of Nigeria (CBN) is set to retire approximately 1,000 employees before the end of 2024, offering a N50 billion payoff under an Early Exit Package (EEP). This development is part of a strategic workforce realignment approved by the CBN Board of Governors, led by Governor Olayemi Cardoso.

Sources within the apex bank disclosed that the retirement initiative targets employees across various cadres, with 860 staff members already indicating interest in the EEP. The program, announced through a circular, is open to all confirmed staff with more than one year of service. The application window closes on December 7, with the effective retirement date set for December 31.

The EEP provides financial incentives based on current grade and remaining service years, capped at 60 months of gross annual emoluments for senior supervisors to deputy managers, 36 months for managers, and 18 months for other cadres. Additional non-financial benefits include extended medical care for three months, financial planning, and entrepreneurial training. The initiative stipulates that applications are final and cannot be revoked once submitted.

The restructuring comes after the bank disengaged 17 directors who served under former Governor Godwin Emefiele. These positions remain vacant, with acting coordinators currently leading the affected departments. Deputy directors with less than two years to retirement are reportedly ineligible for promotion, raising concerns among staff.

Staff reactions have been mixed. Some employees expressed apprehension about the process, citing substantial payouts as an incentive but highlighting a tense atmosphere within the bank. One employee shared that a four-year service tenure could result in a payout of up to N97 million, while another criticized the focus on mid-level staff hired during Emefiele’s tenure.

The retirement move has also sparked legal challenges. Several of the dismissed directors have filed a lawsuit, alleging wrongful termination and seeking to block the CBN from filling their former positions.

Efforts to obtain comments from CBN’s Director of Corporate Communication, Hakama Sidi Ali, have been unsuccessful, as calls and messages went unanswered.

The CBN’s Human Resources Policies and Procedures Manual outlines retirement as a celebratory milestone but also acknowledges redundancy as a possible necessity due to structural or economic reasons. The manual emphasizes fair processes and consultation in handling workforce changes.