Northern group to CBN: Reconsider voluntary exit of 1,000 staff — Nigeria battling economic challenges

The Arewa Youth Assembly (AYA), a non-governmental organisation (NGO), says the Central Bank of Nigeria (CBN) should reconsider the voluntary exit of its 1,000 staff.

There were earlier reports that the CBN was preparing to retire 1,000 officials and provide them with a severance package of over N50 billion.

On December 3, 2024, the house of representatives asked the CBN to suspend the “planned” retirement of 1,000 staff.

The lower chamber also set up an ad hoc committee to investigate the “process and legality” of the exercise.

On December 4, 2024, the apex bank said its early exit package (EEP) was entirely voluntary and without any negative repercussions for eligible staff.

On Friday, Olayemi Cardoso, the CBN governor, told the house of representatives at an investigative hearing that the 1,000 staff who left the bank were not forced to leave.

Cardoso, who was represented by Bala Bello, CBN’s deputy director of corporate service, also said the early exit programme, the restructuring, and reorganisation were meant to optimise the bank for enhanced efficiency.

‘MASS LAYOFF OF STAFF WILL RESULT IN INCREASED POVERTY’

However, in a statement issued on Sunday, Mohammed Danlami, AYA spokesperson, said the mass layoff of CBN staff would further destabilise the economy and increase poverty levels.

Danlami said Nigeria’s economic woes, heightened by oil price volatility and insecurity, made the CBN’s staff layoff decision “ill-timed and insensitive”.

“At a time when our nation is grappling with severe economic challenges, the decision by the CBN to sack its workers will throw the victims into the current economic hardship and exacerbate the situation,” the statement reads.

“Nigeria has been facing significant economic distress, a situation exacerbated by various factors, including the aftermath of the COVID-19 pandemic, fluctuating oil prices, and ongoing security challenges.

“This backdrop makes the timing of the CBN’s decision not only imprudent but insensitive.

“It is unfathomable that an institution that is supposed to safeguard the financial health of the nation would engage in mass layoffs, thereby further destabilising the economy and increasing poverty levels.”

The northern group said the CBN’s claim that over 1,000 employees voluntarily resigned is “untenable,” implying “pressure and intimidation” were used.

“To claim that over 1,000 employees voluntarily chose to leave their jobs in such a precarious economic climate is an untenable position,” the group said.

“The language used in the official statements drips with insidious undertones, implying that employees were subjected to pressure and intimidation to make these resignations appear voluntary.

“Such an approach is not only grossly unethical but sets a dangerous precedent where employees are coerced into making decisions that affect their livelihoods and futures.”

The Arewa group warned against discriminatory actions in the CBN’s early exit package and urged transparency by publishing affected employees, state by state.

The group stressed that the purported retirement must follow federal character principles, opposing job cuts amidst economic hardship and warned against sectional favouritism.