Malawi bank NBS to lay off 300 employees by March 2017

NBS Bank, a subsidiary of conglomerate Nico Holdings Limited is in trouble. The Bank will be laying off close to 300 employees between now and March 2017, Nyasa Times can reveal.

Insiders said a culmination of bad debts which included one from its former Chairman retired Insurance guru Felix Mlusu of close to K200 million and other high profile debts has disturbed the company’s books and it has been left with no choice but to downsize staff.

Sources said those that are likely to lose their jobs are senior managers and middle managers while junior staff like Cashiers and bank clerks will be spared.

“It is no secret now that we are in the red and many employees are preparing themselves for the worst,” said a source.

Recently, the bank advertised in the local press the position of Chief Executive Officer following the retirement of the incumbent Bernadette Mandoloma.

Lack of information on the future of the bank has sent employees in panick mode and social media has been awash with rumours that the bank is going under.

Speculation is also rife that the bank will be bought by a French Company and this forced management to issue an interna memorandum to ensure the employees of their future.

“We have noted with concern the rumours that are circulating on social media that NBS Bank Limited has been bought by a French Company and that about 500 employees are earmarked to be laid off. Kindly be advised that this is not true,” reads the memo from the CEO to all members of staff dated December 1, 2016.

“We would like to assure members of staff that NBM Bank Limited has not been bought by any company. NBS Bank Limited remains a bank owned by NICO Holdings Limited,” reads the memo.

“We would like to urge you to desist from talking to the media about the Bank without getting prior authorization from the office of the Chief Executive Officer…We want to assure you that if there is any communication regarding the Bank operations and its status, we will communicate with you as we have done in the past through our internally instituted channels,” reads part of the memo.

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