Public Banks want to have the working model of private banks. Expected savings with the cuts is R $ 2.5 billion
Public banks have cut payroll by 21.2 thousand employees in the last two years. The cut is part of the effort of Banco do Brasil and Caixa Econômica Federal to reduce costs and make the structure more similar to that of private banks. The exit of employees should generate savings of at least R $ 2.5 billion per year to the two banks.
After operating with more than 114,000 employees at the beginning of the decade, BB, which was once a symbol of stable employment, began to act to reduce the number of employees.
Actions such as the incentive to retire and change in the service structure resulted in more than 16 thousand people leaving, almost 12 thousand in the last two years, when the figure decreased by 10.9%. In Caixa, a voluntary redundancy plan resulted in the exit of 9.2 thousand people, down 9.7%.
In those two years, the private competitors went in the opposite direction. Together, Itaú Unibanco, Bradesco and Santander increased payroll by 11.3 thousand employees in the same period. Much of this increase is due to acquisitions, such as the purchase of HSBC by Bradesco.
Public banks argue that the reduction of staff is a reaction to the transformation of the sector. BB says the measure seeks “the sustainability of the company in a market in deep transformation.”
Caixa says its goal is “to adjust the structure to the current competitive and economic scenario, seeking more efficiency from the bank.” In this effort, there was even left for the trainee. In BB, the number plunged by 60% in two years with the dismissal of 2,800 trainees. In the Cash, the cut was 30%.
The search for efficiency means, in practice, increasing profit. BB estimates that only the incentive retirement plan, which had a membership of 9.4 thousand, generated a cost reduction of approximately R $ 2 3 billion per year. In the Caixa, where 9.2 thousand left the bank, only the output of 1,3 thousand people in 2018 will generate annual savings of R $ 248 5 million.
“Private banks have already made this move and audiences are reacting to the competition,” says consultancy analyst Lopes Filho, João Augusto Salles, recalling that the sector has changed radically with the massive use of electronic channels. Salles also notes that the move responds to a need of the main shareholder of BB and Caixa: the government.
The president of the National Confederation of Workers of the Financial Sector, Juvandia Moreira, says that the downsizing of personnel has generated impact on the functioning of the banks. “It generates overhead for the employees who have stayed and the quality of customer service declines,” he says.
The ranking of the Central Bank of complaints is a way to measure the quality of the banking service and, for this criterion, Caixa and BB have worsened. In June 2016, Caixa was the third big bank with more complaints and Banco do Brasil was in the comfortable sixth position – it was the best placed among the big ones.
Since then, Caixa has led the ranking in some periods and is currently the second worst rated. BB went from sixth to third most complained.
The dissatisfaction is still clear with the detail of the complaints received by the BC. Of the 11,600 complaints of the second quarter against Caixa, more than a thousand dealt with “dissatisfaction with the assistance provided by agencies”.
In the case of BB, of the 8,700 complaints in the BC, 919 mentioned the same problem. In private competitors, other issues are the most demanded, such as irregularity in operations and inadequate supply or provision of information.
Cash and BB
Caixa says that the bank’s position in the BC’s ranking has nothing to do with the downsizing of the payroll or the number of agency employees.
In a statement, the bank said that it has adopted actions that “aim to increase operational efficiency through the optimization and automation of internal processes, improvements in systems and services and workforce equalization.”
Banco do Brasil reported that “in the majority of the evaluated periods, it occupied better positions than its main pairs in the BC ranking”. “BB did not occupy in the first two quarters (of 2018), only being in third place among its main pairs,” the note said.