This archive report was first published on 28 October 2019.
Published on October 28, 2019, Kenya Commercial Bank (KCB) Group CEO Joshua Oigara has addressed concerns over potential job losses at National Bank of Kenya (NBK) following its recent acquisition.
Speaking during an interview on The Trading Bell on KTN, Mr. Oigara stated that the group has a well-crafted strategy to retain industrious employees.
"The performance of our staff is what will determine whether you remain in the organization going forward," said Mr. Oigara.
He emphasized that employees who do not meet performance expectations will be let go, but those who excel will be retained.
Mr. Oigara's comments came after a recent shakeup of senior management at NBK, which saw KCB insider Paul Russo appointed as National Bank CEO and a total purge of the board.
Bad Loans ¶
The CEO also discussed the Non-Performing Loans (NPLs) issue that the bank had to navigate before acquiring NBK.
"We have to put up mechanisms and plans to resolve the recovery of those loans and bring them back to performance," said Mr. Oigara.
According to Oigara, the new NBK management inherited a 50% NPL level from its predecessor and aims to bring it down to 20% next year and 8% the following year.
