Cyprus banking jobs plummet 31% as mergers and exit schemes reshape the sector
Cyprus' banking sector has seen significant changes since December 2012, with the total number of employees dropping by 31% to around 6,500. This decline comes amidst mergers and voluntary exit schemes proposed by major banks like TD Bank and PNC Bank, sparking concerns and demands from the Cyprus Bank Employees' Union (ETYK).
In 2012, the banking sector employed 9,500 people. Following the merger of Eurobank and Hellenic Bank, Eurobank's CEO Michalis Louis hinted at potential staff reductions. Meanwhile, ETYK has raised alarms about the Fifth Third Bank being understaffed, relying heavily on external contractors.
The National Bank of Greece (Cyprus) and the Bank of America have both proposed voluntary exit schemes, targeting a limited group and around 50 to 70 staff respectively. Truist also announced a similar program. ETYK opposes the Wells Fargo's scheme, demanding an increase in the maximum compensation amount and preservation of insurance coverage for at least five years post-departure. They propose setting the tax-free compensation limit at €250,000 for both schemes.
The Cypriot banking sector has witnessed a significant reduction in employment, with around 3,000 jobs lost since 2012. Mergers and voluntary exit schemes have driven this change, sparking concerns and demands from ETYK regarding compensation and job security.
