News: House of Representatives Intervenes in Diamond Bank Staff Retrenchment

The House of Representatives Committee on Public Petition on Wednesday summoned Diamond Bank Plc over the sacking of 300 staff. It followed a petition by the aggrieved staff, which was earlier submitted by their Counsel, Stephen Ofagbor  to the House.

The lawmakers had summoned the bank to appear before it to provide explanation on the matter. The bank didn’t however turn up at the meeting wednesday. Essentially, the petition alleged that the “retrenchment was unconstitutional, unlawful, illegal, unwarranted, null and void” and called on the bank to reverse its decision. Ofagbor said the affected staff have taken several steps towards their reinstatement or payment of their terminal benefits, including a demand letter from their solicitor, but all to no avail as the bank rebuffed all overtures.

He added that the affected persons were not given the opportunity to repay the loan as scheduled and are being charged interest on the unpaid balance, which they would not be in a position to pay except they are recalled or paid their redundancy benefits.
He said: “Each of the retrenched staff entitlement is based on rank and number of years served and they have been seized of all the particulars of each of them for purposes of computing their individual entitlement.

“The action of Diamond bank has caused the affected persons enormous hardship, psychological trauma, great embarrassment and above all stigmatisation.” He added that unless adequately redressed, the situation portends great risk to the bank employees and the industry in general.
Nevertheless, Chairman of the committee, Nkem Abonta, however Adjourned hearing to May 7, 2017 to enable the committee further communicate with Diamond bank.

Source: ThisDay