LESS than 130 individuals have lost their jobs under National Commercial Bank’s (NCB’s) recent redundancy exercise, which the financial institution said was restricted to less than five per cent of its staff, but further cuts loom even while the bank says future reductions in staff is not expected to be of this magnitude.

Over the years, NCB Group has carried the highest staff cost among financial institutions in Jamaica and, even while it managed to hold down growth in employee cost last year to 10 per cent, staff costs still came it at $8 billion, well ahead of staff related cost at its main rival, Scotiabank, which came in at $7.6 billion even after 19 per cent growth..

Prior to the redundancy NCB had 2,600 on staff compared to Scotia’s 2,000 staff members, as at the end of October last year.

NCB boasts the larger branch network of 47, compared to Scotia’s 35, but with expectations of a drop in net interest income following the Jamaica Debt Exchange (JDX) there are still concerns as to whether the staff cuts have ended.

Martin told the Business Observer that “there is no further major redundancy programme of this magnitude anticipated for the near future” and that there are no current plans to further “consolidate business units” while adding that should “the opportunity to enhance our processes via this method becomes apparent in the future we will have to examine that option at that time”.

NCB’s head of communications, Sheree Martin, told the Business Observer that staff cuts was “a continuation from a consolidation process that began over 18 months ago”.

“Our decision to centralise key divisions has allowed us to capitalise on expertise that can readily span across divisions for the benefit of the Group,” Martin said.

NCB also merged four business support units into two units: The IT and Operations functions were merged which saw chief information officer Peter Quinn leaving the institution; and the bank’s group compliance and group general counsel functions were combined, which saw group chief compliance officer and company secretary, Jennifer Dewdney Kelly also leaving the company.

The Bank’s Harbour View branch will be merged with the Windward Road location at the end of March into early April, and the agency in Yallahs has been closed.