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Standard Bank to close 91 branches; 1200 staff to be impacted

PUBLISHED: Thu, 14 Mar 2019 17:07:31 GMT

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By CNBC Africa

Standard Bank will close 91 branches in South Africa, with the vast majority of these closing by June 2019. These changes will impact approximately 1200 jobs. The bank said the changes are part of its plan to realign its retail and business banking delivery model to the changing needs of customers amid rapid adoption of digital banking products and services. It added that as part of a support programme agreed with its union, SASBO, the bank will implement a comprehensive exit package which significantly exceeds the requirements as set out in the Labour Relations Act.

Read its full statement below

Standard Bank South Africa implements a new banking delivery model

JOHANNESBURG, 14 March 2019 – Standard Bank is realigning its retail and business banking delivery model to the changing needs of customers amid rapid adoption of digital banking products and services.

The shift in customer behaviour means that our clients are using our branches less.

As such, we have re-looked our retail and business banking delivery model so that it is geared to serve the needs of our customers.

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As part of the implementation of the new banking delivery model, some of the roles currently being performed in our branches will change. A decision has also been taken to close 91 branches, with the vast majority of these closing by June 2019. These changes will impact approximately 1200 jobs. However the actual number of employees who will ultimately exit the employ of Standard Bank SA could be lower, as new opportunities will become available in the new operating model. 

We have worked hard to minimise the impact of this re-organisation on our people. As part of a support programme agreed with SASBO, Standard Bank SA will implement a comprehensive exit package which significantly exceeds the requirements as set out in the Labour Relations Act.

We have also set aside funds to assist employees acquire new skills to improve their competitiveness in the labour market, as well as entrepreneurial training and financial assistance.