Babatunji Wusu –

  • The Central Bank of Nigeria (CBN) plans to retire about 1,000 employees by the end of the year, part of a broader workforce realignment.
  • The process is expected to cost over N50 billion in severance packages.
  • The voluntary Early Exit Package (EEP) offers financial and non-financial benefits to eligible employees, with applications open until December 7.
  • The restructuring includes the recent dismissal of 17 directors, with some challenging their terminations in court.
  • The CBN has remained silent on the issue, although the move aligns with its strategic operational shift.

The Central Bank of Nigeria (CBN) is preparing to retire approximately 1,000 employees by the end of 2024, in a move aimed at strategically realigning its workforce under the leadership of Governor Olayemi Cardoso. This restructuring initiative is expected to incur a cost of over N50 billion in severance packages for the affected staff.

The employees targeted for retirement come from various departments within the bank. A circular issued three weeks ago has outlined the process for the voluntary Early Exit Package (EEP), which remains open until December 7, with an effective exit date set for December 31, 2024. Employees with less than a year of service or unconfirmed appointments are excluded from this program.

The EEP offers both financial and non-financial incentives to encourage employees to voluntarily exit. Financial benefits are based on the remaining years of service, capped at 60 months for senior supervisors and deputy managers, 36 months for managers, and 18 months for lower-ranking staff. Additional benefits include financial planning services, entrepreneurial training, subsidized laptop purchases, and healthcare coverage for up to three months after departure.

Sources within the CBN have indicated that 860 employees have already applied for the package, though the process has created considerable tension within the bank. Some employees have expressed concerns over the financial implications of the program, with severance amounts varying based on tenure. For example, one staff member with four years of service is entitled to between N92 million and N97 million, while others with higher ranks are receiving different amounts based on their seniority and length of service.

This workforce reduction follows the earlier dismissal of 17 directors under former Governor Godwin Emefiele, positions which remain vacant and are now temporarily filled by coordinators. Some of these directors have taken legal action, contesting the dismissals as wrongful. The CBN has yet to comment on the ongoing developments, with the Director of Corporate Communications, Hakama Sidi Ali, declining to provide any statement.

This restructuring represents a major shift in the CBN’s operational approach, designed to streamline its functions and manage the economic and organizational challenges posed by these significant changes.

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