City Bank announces major salary restructuring to support employees amid inflation

City Bank has announced a groundbreaking salary restructuring initiative to align with market standards and enhance employee well-being amidst rising inflation. 

 

The Board of Directors has approved an annual salary increment of Tk 1.62 billion for 2024, which will culminate in a total increase of Tk 3.0 billion by the end of 2025, including PMP adjustments and bonuses.

 

This historic decision will increase the bank’s total salary expenditure to Tk 12.10 billion annually by next year, according to a statement from the bank.

 

The initiative follows an in-depth salary survey conducted by Cerebrus Consultants Ltd, comparing City Bank’s compensation packages with those of peer banks.

 

The restructuring is designed to bring salaries closer to market averages while maintaining fairness. Employees whose current salaries are significantly below market standards will receive higher percentage increases, while those closer to market averages will see comparatively smaller increments.

 

From Assistant Officer to Senior Executive Vice President levels, the salary increments range from 10 per cent to 50 per cent, with an average increase of around 23 per cent.

 

Regardless of current salary levels, a minimum increment of Tk 10,000 has been ensured for all employees, while the maximum increase in some cases has reached Tk 60,000.

 

All support staff, outsourced staff, contractual employees, and management trainees are also receiving these raises.

 

The new salary structure will take effect on November 1, 2024, with employees receiving the updated amounts in their December payroll, including arrears for November.

 

"Our employees are the backbone of CityBank,” said Aziz Al Kaiser, Chairman of City Bank. “By aligning compensation with market standards, we aim to create a workplace where everyone thrives.”

 

City Bank’s MD & CEO Mashrur Arefin stated, “The bank’s profit has increased manifold during my six-year tenure as CEO. Operating profit, which stood at Tk 6.99 billion, is now even surpassing the Tk 20 billion mark this year. It is our moral obligation to ensure our staff can lead comfortable lives with their families during these challenging times.”

 

This bold initiative underscores City Bank’s vision to foster a sustainable, employee-centric environment, solidifying its reputation as a leading employer in the banking sector.