Ex Crane Bank staff now working for DFCU are on tenterhooks after they established that they will be rendered jobless very soon.
DFCU bank took over the assets and liabilities of tycoon Sudhir Ruparelia’s bank following the conclusion of a purchase and assumption agreement with Bank of Uganda on Friday 27 January 2017.
Juma Kisaame, Managing Director Dfcu Bank said then that the “acquisition gives us the impetus to achieve our strategic objective of building a robust retail operation with multiple delivery channels whilst consolidating our position as a key player in the SME market segment. It also supports our goal of promoting financial inclusion in Uganda.”
Following the transaction, the Central Bank Governor Tumusiime Mutebile assured all Crane Bank staff on job security. He said none would lose their jobs.
However, panic set in after sources said only 98 out of 625 employees formerly working with Crane Bank would be asked to stay.
“We are worried because we hear that we will not keep our jobs,” said a staff at the Bank who preferred anonymity so as to speak freely.
“The top management is planning a huge restructuring yet we had been promised that none would leave after the acquisition,” the source added.
The planned massive lay off of staff comes at a time of grinding unemployment in the country.
It would as well mean the acquisition was a sour deal. It remains unclear if the regulators will ask Dfcu to honor its commitment to protect jobs.
Contacted, Dfcu Bank officials confirmed the impending downsizing which they said was part of integration of the transferred business into the existing Dfcu Bank structure.
The officials said the move was to among others avoid duplication of roles in the combined Bank organization structure, and also on account of differences in technology and processes between dfcu Bank and Crane Bank.
Dfcu’s Head of Brand, Marketing and Communication Jude Kansiime said in an email that the decision to lay off the former Crane Bank workers was also due to the “rationalization of the combined branch network to avert duplication at locations where both dfcu Bank and CBL have a presence.”
Mr Kansiime however, could not confirm the exact number of employees to be affected in this exercise.
