– are at the heart of our success and our plans for the future. Through their dedication and commitment they create value for the Bank and its stakeholders, and in turn the Bank, creates value for them.
Our excellence in delivering value to our customers is supported by a strong team of over 5,000 employees with a wealth of experience spanning across each level of the Organisation, gathered over the years.
Employees by type and gender Table – 09
|
Sri Lanka
|
Bangladesh
|
Bank
|
|
Count
|
%
|
Count
|
%
|
Count
|
%
|
Female
|
1,305
|
24.95
|
81
|
27.36
|
1,386
|
25.08
|
Permanent
|
1,128
|
21.56
|
61
|
20.60
|
1,189
|
21.52
|
Contract
|
1
|
0.02
|
20
|
6.76
|
21
|
0.38
|
Outsourced
|
176
|
3.37
|
–
|
–
|
176
|
3.18
|
Male
|
3,925
|
75.05
|
215
|
72.64
|
4,140
|
74.92
|
Permanent
|
3,601
|
68.85
|
177
|
59.80
|
3,778
|
68.36
|
Contract
|
1
|
0.02
|
38
|
12.84
|
39
|
0.71
|
Outsourced
|
323
|
6.18
|
–
|
–
|
323
|
5.85
|
Total
|
5,230
|
|
296
|
|
5,526
|
|
Employee numbers
Over the last five years, permanent employee numbers have remained stable with a total of 4,731 in Sri Lanka and 296 in Bangladesh as at December 31, 2018 although branch numbers and annual profit has maintained a steady upward trajectory.
Employee recruitment and retention
Employee recruitment has been challenging as new opportunities prompt the youth to steer away from choosing banking as a career. The changes introduced to the recruitment selection criteria has helped the Bank to on-board high quality talent to its workforce. During 2018, the Bank recruited 270 (5.74%) employees for Sri Lanka and 42 (15.11%) employees for Bangladesh.
All employment separation processes in every country that the Bank operates in are completely compliant with applicable labour laws. Employees who leave the Bank are interviewed and their feedback escalated to Top Management. Experienced Commercial Bank employees under 30 years of age are in high demand in the markets we serve as is evidenced by the higher attrition rates for this category.
The percentage of employees leaving the Bank in Sri Lanka, and Bangladesh was 5.07% (numbering 239) and 8.36% (numbering 24) respectively during the year.
With employees transforming into digital bankers in the near future, the Bank is confident that employee numbers will remain largely static with more back-office employees being retrained and redeployed to customer touch points. (Refer for gender, category and age-wise employee breakdown)
Voluntary Retirement Scheme (VRS)
The Bank offered employees of every grade the chance to retire early if they had served the Bank for 20 years subject to certain criteria. A total of 50 staff members took up this offer resulting in cost efficiencies to respective units and career advancement opportunities to staff members.
Pensions
The Bank was happy to make arrangements to re-establish a long standing request for a pension fund for our employees who were recruited after 2000, during the year. Available balance in the gratuity fund will be transferred to a new fund for those who choose to join the new scheme. Thereafter, on behalf of the employees, a certain monthly contribution is made to the fund by the Bank. Employees are required to remain in employment for over five years to claim the benefits from the fund. Employees who select this scheme would be guaranteed a return equal to or above the existing gratuity scheme and are given a lump
sum payment at termination or retirement from employment.
Training and development
During the year under review, the Bank invested significantly in the development of knowledge and skills of its Managers. Training programmes were conducted within Sri Lanka and overseas to ensure
that branch Managers have the required skills and exposure to serve our diverse range of customers.
The Bank understands the critical importance of ensuring the best in customer service and is keen to provide employees with the necessary skills to meet customer needs. Designed to take customer service to a higher level the new scientific training programme, launched during the year is focused on activity-based training rather than classroom learning. This means that in addition to product knowledge, front-line employees learn to sharpen
their people-skills.
The Bank is focused on ensuring that employees are “future ready” through innovations such as apps, chat bots, artificial intelligence and online training modules that they can engage in at their convenience
Initiatives taken to convert our employees into digital bankers have occupied the Bank’s time and energy during the year.
This includes ensuring that our people are well-versed in everything from digital banking lingo to actual systems and processes. While training programmes through Branch TV and other digital channels have been successful we are mindful of the needs of our millennial employees. This is the era of search engines where information has to be just a click away. For this reason the Bank is employing a chat bot and many other innovations that will provide employees with the necessary information at their finger tips.
All employees receive annual performance review, a medium through which training needs are identified for each individual.
Leadership transfer and promotions
The Bank’s robust succession plan resulted in a successful leadership transfer, following the retirement of the previous Managing Director/Chief Executive Officer. All cascading staff changes subsequent to this leadership change were effected without any disruption to business.
The Bank was proud to promote a total of 100 executives – one of the largest executive grade batches during the year –
a strong testament to the skills of the resource pool of its cadre
Succession planning
While succession planning was previously only conducted for Senior Management level employees (Grades IV and V), during the year under review the Bank extended this to include executive grades as well. In addition, executives in Grade I and above are now focused in talent discussions which will be greater impetus for their career development.
The Bank has also taken the initial steps for purchasing an internationally accepted Human Resource Information System (HRIS) that will ensure that all key systems such as learning and development, appraisals, and talent management run smoothly and interact seamlessly with each other. This also makes it compulsory for all employees to carry out their regular HR functions through an online system, taking them one step closer to being the digital bankers of the future.
Compensation
Remuneration for our staff consists of a guaranteed “fixed” pay and a variable pay that is based on each employee’s performance during the year. The fixed pay is determined through negotiations under the Collective Agreement for Junior Executive Officer Grade and below. For employees in higher grades in Sri Lanka and all staff in Bangladesh the fixed pay is determined by regular market surveys.
Employees in the executive categories are provided with performance based rewards linked to the performance appraisal system, a well-defined rewards matrix aligned with the Bank’s overall strategy. All other employee grades working in Sri Lanka are covered by the Collective Agreements signed with Ceylon Bank Employees’ Union (CBEU).
The overall compensation review ensures that our executives receive compensation that is on par with market prices. As Sri Lanka’s largest private sector bank, Commercial Bank is a trendsetter in the market and ensures fair and competitive payment without discrimination.
Collective Agreement and freedom of association
The new Collective Agreement was signed on time with the concurrence of all parties with effect from January 1, 2018. Commercial Bank was the first in the market to complete the Collective Agreement which is valid for three years. The Management continues to maintain cordial relations with our branch of the CBEU and the Executive Association of the Bank.
68.55% of our employees in Sri Lanka are members of the Ceylon Bank Employees’ Union while 18.41% hold membership in the Commercial Bank Executive Association. Our employees in Bangladesh do not hold membership in any trade association.
The Bank recognises the rights of employees to enjoy freedom of association and ensures that all accepted channels of communication with them remain open for dialogue
Diversity and equal opportunity
Bank upholds the principle of equal opportunity irrespective of gender, age, race or religion from recruitment to career development and progression. Female representation on our team is lower than in the national labour force despite our commitment to gender diversity. Transferability within our wide network deters females at recruitment.
The mix of female employees receiving training, promotion and representation at Senior Management level in proportion to the overall staff mix evince our commitment to equal opportunity.
Employees by category and gender Table – 10
|
Age 18-30 years
|
Age 31-50 years
|
Age over 50 years
|
Total
|
Employment Category
|
Male
|
Female
|
Male
|
Female
|
Male
|
Female
|
|
Corporate and Senior Management
|
–
|
–
|
7
|
–
|
12
|
4
|
23
|
Executive Officers
|
132
|
33
|
1,350
|
348
|
146
|
79
|
2,088
|
Junior Executive Assistants and Allied Grades
|
1,074
|
335
|
661
|
262
|
21
|
65
|
2,418
|
Banking and Executive Trainees
|
351
|
83
|
3
|
–
|
–
|
–
|
437
|
Office Assistants and Others
|
–
|
–
|
29
|
1
|
31
|
–
|
61
|
Total
|
1,557
|
451
|
2,050
|
611
|
210
|
148
|
5,027
|
In addition, the Bank continues to ensure that the ratio of basic salary and remuneration of women and men at all locations of operation and across all employee categories remains equal as we work to enhance gender equality while contributing towards Sustainable Development Goals 5: Gender Equality. (refer Table 10 for employee category-wise ratios).
Employee well-being and welfare
Human rights and values are upheld by the leaders and Managers of the Bank at all times. The Inspection Department ensures compliance with the Bank’s Code of Ethics and its comprehensive policy framework through regular verification. The Code is based on the UNGC principles and the Universal Declaration of Human Rights proclaimed by the United Nations.
Any information of violations received through the Bank’s Whistle-Blower Charter or “Speak out” web portal, are investigated promptly with disciplinary actions, including even dismissal, swiftly taken against violators.
The Bank added three holiday bungalows for employee use in Anuradhapura, Kirinda and Kandy. As customary, the Bank, organised a range of events to celebrate cultural events, team spirit and employee milestones and talents.
Employee communications
The Bank employs a number of effective communications channels to ensure that every employee is aware of the Bank’s strategic direction, its policies and procedures, the high standards expected, and the corporate values each must display in their day-to-day interactions with external and internal customers.
These channels also ensure that the best ideas of our people are captured and acted upon. During the year, the Bank’s Senior Management reached out to employees through skip level meetings for Junior Executive Officers (JEOs) and Executive Officers (EOs). In the absence of their managers these employees were encouraged to suggest improvements to the Bank in their respective areas of expertise. Many of such ideas and suggestions from the Bank’s Junior Executive Officers and Executive Officers were adopted during the year. Separate town hall meetings were conducted for EOs and JEOs to discuss the Bank’s future strategic priorities enabling them to play an active role in shaping the Bank’s future.
The same was true of the Manager’s forum during which the Bank’s leadership team presented the Bank’s future direction and welcomed questions and views from the audience. Their suggestions were documented and included in action plans to encourage business inclusion. As our employees are the Bank’s front line, we value their suggestions immensely to stay connected with our customers.