Some 300 staff out of the 400 that applied for Seylan Bank’s Voluntary Retirement Scheme (VRS) was selected by the bank on Monday, while enhancing by Rs 100 million the total value of the scheme to reach more than Rs 700 million, officials said.
They said that Seylan wanted to increase the number of staff in this scheme which was made available on an on-line basis, to 350 from the initial 250 as there was a large demand. They added that Seylan will in addition to enhance its capital base, expand its long term lending portfolio and strengthen operational capacity and expansion with the Rs 4.6 billion rights issue after it gets shareholder nod at its extraordinary general meeting on Monday, and utilise it for the VRS. “We plan to pay the staff after raising the rights,” a Seylan official told the Business Times.
He said of its 3622 employees at Seylan 8% of employees are nearing retirement age, but it’s not clear how many (of those) will accept it. He noted that with this VRS, Seylan will also roll out a series of strategic measures such as organizational restructuring, investment in advanced technology, and employee job enrichment and engagement processes by benchmarking international best practices from within and outside the country.