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Business News of Sunday, 20 August 2017


GCB decides to lay off all UT, Capital bank executive members

GCB Bank has decided to lay off all members of the executive committees of UT Bank and Capital Bank following last Monday's Purchase and Assumption agreement.

Graphic Online has gathered that the move was based on the fact that all executive positions in the large bank have already been taken by the GCB executive team.

The decision, Graphic Online gathers is yet to be communicated to the affected executive team members of the now defunct two former banks.

The development comes a few days after the Bank of Ghana (BoG) revoked the licenses of UT and Capital banks following their heavy deficiency in capital and liquidity.

Following the revocation, the central bank subsequently approved a Purchase and Assumption (P&A) agreement with the GCB Bank to assume ownership of the deposits and selected assets of the now-defunct banks.

The action automatically made staff of the erstwhile UT and Capital banks employees of GCB.

Staff of UT and Capital Banks are to undergo a skills assessment exercise to qualify for employment at GCB Bank. the Managing Director of GCB Bank, Mr. Raymond Sowah said at a press conference in Accra on Tuesday.

“We shall conduct a skills assessment. As part of the integration process, we need to know that we can bring everyone onboard or we can’t bring everyone onboard. This is an expanded institution and as we go through the integration we should know what jobs to close down and what jobs to retain,” he said.

Staff of the two banks will be under probation for about six months under GCB before termination or otherwise of their contracts.

GCB Bank on Monday assumed control of the 53 branches of both UT and Capital Banks, thereby growing its branches to 214 across the country.

The liquidation of the two banks had become necessary due to the severe impairment of their capital.