In recent years, in addition to the recruitment of up to thousands of employees, many Vietnamese banks have also faced a series of resignations.
In the first few months of 2019, the number of employees in some banks has plummeted by hundreds. The financial statement of Vietnam Prosperity Commercial Joint Stock Bank (VPBank) showed that the bank’s employee number fell by up to 520 people in the first quarter (Q1) of 2019 alone, equivalent to five percent decline compared to the beginning of the year. It is also the bank will the largest employee reduction in recent months.
In fact, the number of employees who left this bank may be even bigger because in the same period, VPBank has been continuously recruiting staff at various positions.
While the parent bank witnessed the resignation of numerous employees, the workforce in VPBank’s subsidiaries have still increased significantly. In the entire VPBank’s system, the total employees are currently 27,490 people, up by 61 people over the beginning of the year. VPBank is also having the largest number of employees at the present time.
Meanwhile, despite being in the top four biggest banks in Vietnam with an average income being in the top six annually, the number of employees at Commercial Joint Stock Bank for Industry and Trade of Vietnam (VietinBank) fell by 280 people, reaching 22,338 employees in different positions by the end of March 2019.
Changes in salary policy may be part of the reason leading to the sharp personnel decline of the bank. In Q1 2019, VietinBank recorded the strongest reduction in average income compared to the same period of 2018. From 31.3 million dong in Q1 2018, the average monthly income of each VietinBank’s employee decreased to 28.5 million dong in Q1 2019.
In addition, Commercial Joint Stock Bank for Investment and Development of Vietnam (BIDV) and Saigon Hanoi Commercial Joint Stock Bank (SHB) also experienced employee decline of more than 100 people in the first months of the year.
By the end of Q1 2019, BIDV had 23,274 employees, down by 108 people compared to the same period of 2018. Meanwhile, SHB currently has 5,500 employees, down by 161 people from the beginning of the year.
Some other banks also saw personnel decline such as Export Import Commercial Joint Stock Bank (Eximbank) with 55 people, Saigon Thuong Tin Commercial Joint Stock Bank (Sacombank) with 23 people, HCM City Development Commercial Joint Stock Bank (HDBank) with 11 people, etc.
Good salaries and bonuses attract employees
Contrary to the above situation, some banks witnessed a high rise in the number of personnel.
In Q1 2019 alone, the number of employee increase was recorded at respectively 414 people in Vietnam International Commercial Joint Stock Bank (VIB), 341 people in Military Commercial Joint Stock Bank (MBBank), 337 people in Asia Commercial Joint Stock Bank (ACB) and 283 people in Vietnam Technological and Commercial Joint Stock Bank (Techcombank).
These banks are also in the group of banks with the highest average income in recent years. Techcombank and MBBank are currently two out of four banks with the highest average income, reaching more than 30 million dong per month.
Meanwhile, despite being in the medium-scaled bank group, VIB’s average employee income has increased continuously over the years. Three years ago, each VIB’s employee were paid less than 18 million dong per month. However, this number is now up to 25.5 million dong per month.
At the 2019 Business Conference, VIB’s Human Resource director Tran Tuan Minh also said that in the last months of 2018, the bank’s outstanding credit staff received up to 58 million dong per month, and other customer service staff received the highest average income of 68 million dong per month. Particularly, some employees doing insurance sales were paid up to 97 million dong per month.
VIB’s leader also affirmed that this salary mechanism is built to attract and retain quality personnel in the context when changes have occurred in the sector in recent time.
