Trade union Solidarity has accused Standard Bank of an “arrogant slap in the face” for employees facing retrenchment.
It said on Monday that although it and the bank had agreed on the “substance” of the retrenchments, it was not satisfied with the severance packages offered.
Standard Bank announced earlier that it planned to retrench 1 200 permanent employees in South Africa, 300 permanent employees in London, and 600 contract workers.
Solidarity said one of the union’s demands had been for the bank to extend its offer of free banking services from three to 18 months.
The bank had replied last week that the period would not be extended.
“The bank’s decision to not extend the benefit of free banking services is extremely foolish,” Solidarity spokesperson Marius Croucamp said.
No increased bonus
“The bank will save around R770-million in salaries through the retrenchments, but now runs the risk of losing numerous clients in the process.
“Standard Bank’s attitude towards these employees is extremely arrogant and is not aimed at ending the relationship on good terms.”
Solidarity had also demanded that half of employees’ incentive bonuses be paid out instead of the 25% offered.
The union had wanted the retrenchments postponed by two months to March 31, 2011.
“In response to these demands, the bank indicated that the bonus will not be increased and that the retrenchments will not be postponed, ” the union said.
There was no immediate comment from Standard Bank. — Sapa