The Central Bank of Nigeria (CBN) has refuted claims of coercion in the disengagement of 1,000 staff members in December 2024, clarifying that the exercise was entirely voluntary under the institution’s Early Exit Programme.
This clarification was made by the CBN Governor, Olayemi Cardoso, during an investigative hearing by the House of Representatives ad-hoc committee in Abuja on Friday.
Represented by Bala Bello, Deputy Director of Corporate Services, Cardoso emphasized that the programme was designed as part of a broader restructuring and reorganization plan to optimize the bank’s performance.
Bello explained that the Early Exit Programme was crafted to balance the bank’s manpower, skill, and IT requirements. He stated:
“The program is 100% voluntary. Nobody has been asked or forced to leave. It aims to address organizational needs by ensuring the right talent is aligned with the bank’s operational goals.”
He highlighted that similar initiatives have been implemented globally in both public and private sectors, adding that the drive to digitize operations worldwide has led to both new opportunities and redundancies.
N50 Billion Severance Package and Organizational Realignment
Concerns raised over the N50 billion severance package were addressed during the hearing. Governor Cardoso noted that the amount was calculated based on comprehensive assessments of the entitlements of departing staff, ensuring fairness and transparency.
Bello further elaborated on the rationale for the restructuring, citing challenges like career stagnation and organizational inefficiencies. He pointed out the importance of maintaining a functional workforce structure:
“You cannot have an inverted pyramid where there are more directors than there are departments. Career progression must be balanced with operational needs.”
The restructuring aimed to address stagnation in the bank’s hierarchy, allowing for career progression and avoiding inefficiencies caused by an imbalance in roles and responsibilities. The CBN stressed that such measures are essential to maintaining its role as a global financial institution adapting to modern operational standards.