GTBank, Access Bank, Zenith Bank, FBN Holding, and 9 other banks listed on the Nigeria Stock Exchange (NSE) spent N271.64 billion on personnel expenses in the first half of 2020, compared to the N254.06 billion recorded in same period in 2019. Interestingly, this accrued increase occurred at a time several companies were cutting down on their costs.

Research shows that COVID-19 pandemic had no impact on how much bank workers earned.

According to investigations, the banks increased their expenses by over N17 billion during the period under review and this shows a 6.92% increase.

Report had it that in Q1 2020 alone, 13 Nigerian banks collectively spent more than N178 billion as personnel expenses during the first quarter of the year.

This showed a 9.5% increase when compared to N162.6 billion, which the thirteen banks recorded during the comparable period in Q1 2019.

Personnel expenses encompass all of a company’s expenditures in relation to its staff’s remuneration and welfare, albeit within a specific financial reporting period. In other words, such expenses may include salaries/wages, other benefits, including health insurance costs, pension, and training among others.

From available data, FBN Holdings recorded the biggest personnel expense in H1 2020. As much as N49.53 billion was spent on workers across the nation, compared to the N46.77 billion spent in H1 2019. FBN Holdings Plc is a holding company for First Bank of Nigeria Ltd and other subsidiaries such as FBNQuest, and FBN Merchant Bank.

What this means: The figure above represents personnel expenses for all the subsidiaries across the FBN Holdings group of companies. Further checks by Nairametrics Research revealed that FBN Holdings has a total of 9,016 employees as of December 2019.

UBA Plc followed closely with N44.56 billion for its staff’s remuneration during the first six months of the year, compared to the N37.17 billion in H1 2019. UBA had about 11,200 employees, according to information gleaned from its full-year 2019 financial statement.


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