Banks cut workforce, raise salaries and allowances

Banks’ financial reports show that as of March 31, 286,000 employees were working at 34 domestic commercial banks. Eleven commercial banks cut staff in the first quarter of 2023, but most gave a pay rise to their workers.

Excluding six commercial banks which have not released financial reports for the first quarter of 2023 (Agribank, DongA Bank, SCB, OceanBank, GPBank and CBBank), the other 28 banks employ 231,417 workers.

BIDV is the bank with the highest number of employees (25,467), followed by VietinBank (22,709) and Vietcombank (22,152).

The other banks which had over 10,000 workers by March 31 included Sacombank (17,365), VPBank (12,859), ACB (12,669), LienVietPost Bank (12,282), Techcombank (11,327) and Military Bank (10.048).

Meanwhile, the number of employees at small banks are equal to one tenth of the bigger banks. Saigonbank, for example, has 1,371 workers, BaoViet Bank (1,439), VietA Bank (1,495) and PG Bank (1,678).

As such, there have been no big personnel changes compared with the end of 2022 as the total number of officers at the 28 banks increased by only 432.

Vietcombank was the bank with the sharpest increase in the number of workers (287 compared to late 2022). The bank carried out a large recruitment campaign in the first quarter of the year.

NamA Bank, HDBank and Eximbank had 200 officers more in the last quarter.

Meanwhile, 11 out of 28 listed banks reported decreases in the number of employees, including BIDV (264), Techcombank (218), VietinBank (170), VPBank (167), VIB (150), TPBank (98), ABBank (58), SeABank (49), PG Bank (22), KienLong Bank (20) and Sacombank (13).

Most banks have spent more on workers’ pay and allowances. Vietcombank spent VND2.57 trillion, VietinBank VND2.14 trillion, and BIDV VND2 trillion.

Navigos Group believes that demand for workers in the financial and banking sector will continue to increase in the time to come.

The demand for high-end personnel in the sector is expected to increase by 20 percent annually in the 2020-2025 period. In large cities such as HCM City, demand for high-end workers accounts for 5 percent (15,000 workers) of the total workers that banks recruit every year.

The six banks that don’t belong to the group of 28 above-mentioned banks currently employ 55,000 workers. Agribank uses 38,000 workers, SCB 8,000, DongABank 4,000, OceanBank 2,000, GPBank and CBBank 1,300.

The finance reports of 28 commercial banks show that expenditures on workers’ pay in the first quarter increased over the same period last year while profit growth rates of many banks decreased.

Manh Ha

Topic:
vietnam banking

Banks cut workforce, raise salaries and allowances

Banks’ financial reports show that as of March 31, 286,000 employees were working at 34 domestic commercial banks. Eleven commercial banks cut staff in the first quarter of 2023, but most gave a pay rise to their workers.

vietnam banking

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