KUALA LUMPUR: The 12,000 workers of Bumiputra Commerce Bank (BCB) have been asked to decide if they want to stay with the company or opt for a Mutual Separation Scheme (MSS), which allows them to discontinue their service with the banking group.
And they have been given six months, from November last year, to make up their mind.
The MSS is unlike the more familiar Voluntary Separation Scheme (VSS), when employees are given less than a month to decide whether to quit their service or stay on with their organisation.
BCB Communications vice-president Joyce Ha said the MSS was planned as a result of a reorganisation of the financial institution.
We are refocusing our business strategies and with more IT applications the required staff strength is lesser.
The clerical staff are being offered 1.75 parts of their monthly salary for every year served with the bank and others are being 1.25 for every year served, she said.
CIMB-BCB Group CEO Datuk Nazir Abdul Razak said those who did not choose the MSS and decided to continue their service after the six-month amnesty would be assumed as being ready to do battle with us.
He said there would be a new management that would have a new business model and work culture.
There is no target in terms of number of staff that we will have. But we expect a reasonable number to take up the MSS as the organisational changes have been extensive, he said in an interview here.
We have had this at CIMB (Commerce International Merchant Bankers Bhd) for some time and find it an effective way of maintaining staff quality and morale, Nazir said.
Responding to the matter, National Union of Bank Employees secretary-general J. Solomon said the MSS was a fair scheme as employees were given half a year to decide.
This is the first time an MSS is being offered in the banking sector.
As a union, we do not encourage members to leave their organisation, he said.
Last year, when Bumiputra Commerce Finance exercised its VSS, 48% of the 1,000 staff members took the option to leave but some were re-employed in BCB.