Bidvest Bank retrenching up to 400 employees

In an internal memo to employees, the bank said the accelerated digitisation process would likely have a direct impact on structures and some roles might fall away.

Bidvest Bank has informed staff of possible retrenchments due to the impact of the Covid-19 pandemic. In an internal letter to employees, the group said that it anticipates up to 400 employees in its personal banking, business banking and support divisions will be affected. It said the company was in the process of strategically reviewing “all Bidvest businesses and right-size operations to make sure that our operating models remain relevant and appropriate for the level of demand,”

The bank stated it needed to accelerate the use of digitalisation and implement remote banking.  The digitisation process would likely have a direct impact on structures and some roles might fall away.  The bank will also review its current operational structures to ensure efficiency.  The reasons for the redundancies have already been communicated to staff and further discussions on the issue will be addressed during the CCMA facilitation process. 

“The negative impact in relation to [the] travel, tourism, leisure and hospitality industries arising from the Covid-19 pandemic and general economic factors appear to still be ongoing and currently, prospects of these industries showing any improvement in the short term remain remote, which in turn impacts extensively on our business due to our focus on forex and related products,” reads the letter, adding that the Section 189A consultation process with employees is due to kick off next month. 

“This may lead to retrenchments across all six divisions in order to reinforce their competitive positions in the future, and ensure that the businesses have the potential of sufficient scale.”