PMO asks to review BASIC Bank employees' pay cut

The Prime Minister's Office (PMO) has asked Finance Minister AHM Mustafa Kamal to review the decision to reduce salary of BASIC Bank's employees.

Dr Moshiur Rahman, an economic advisor to the Prime Minister Sheikh Hasina, has recently sent a letter to the finance minister in this regard. 

The letter said getting salary is the legal and moral rights of the employees. 

In the letter, the Economic Relations Division (ERD) has been asked to settle the matter discussing with Bangladesh Bank (BB).

In the letter, Dr Moshiur mentioned BASIC Bank has been able to overcome its financial crisis with employees' relentless efforts. Its deposit rose by Tk 872 crore to Tk 13,742 crore during October to December last year.

Amount of the bank's defaulted loan declined to 49.46 per cent until December, 2019. It was 56.85 per cent during the same period of 2018, he said.

The adviser said the decision of salary reduction of the bank's employees will weaken their stamina and hamper bank's dignity. Besides, 21,000 of the staffers will face great misery in leading life, he added in the letter.

On December 22, the bank authorities issued directives to adjust its salary structure in line with the other state banks that caused unrest among the staffers. Since then they have been staging demonstration against the decision.

Sources in the bank said its board of directors issued letters to all branches chief directing to cut salary and allowance of all employees.

Following the instruction, salary was reduced from about Tk 5000 up to Tk 2.50 lakh in February, the sources added.  

It was also known that staffers of the bank made application to finance minister, economic adviser to PM, principal secretary to PM, central bank's governor, and senior secretary of ERD not to cut salary-allowance. 

Earlier in August last year, Finance Minister AHM Mustafa Kamal asked BASIC Bank to reduce salary of board members and senior officers.

He then told the bank officials, "You made loss around Tk 354 crore. There are about 2100 employees for just 72 branches. For what works the huge manpower?"