IDFC FIRST Bank today announced that its senior management has
volunteered to take a 10% cut in compensation in the current financial
year 2020-21. Mr. V Vaidyanathan, MD & CEO, IDFC FIRST Bank, has
voluntarily offered to take a pay cut of 30% in his compensation
including Fixed compensation as well as all allowances.
On the employee front, the Bank has honoured all offers that were made
to new hires before the pandemic, including all lateral hires as well
as 550 management trainees. This is in keeping with the Bank’s
philosophy of honouring its commitments in all circumstances.
The Bank also paid 100% of the variable pay to 78.2% of employees for
the period pertaining to FY 19-20 despite the arrival of the pandemic.
Please find below detailed press release for your reference
IDFC FIRST Bank Senior Management takes 10% pay cut
MD and CEO takes 30% cut in compensation
Chennai, May 25, 2020: IDFC FIRST Bank today announced that its senior
management has volunteered to take a 10% cut in compensation in the
current financial year 2020-21. Mr. V Vaidyanathan, MD & CEO, IDFC
FIRST Bank, has voluntarily offered to take a pay cut of 30% in his
compensation including Fixed compensation as well as all allowances.
Mr. Vaidyanathan said, “Such pay cut forms part of the Bank’s
austerity measures which start at the top. Further, we feel the pain
our customers, big, small, micro enterprises and people at large are
going through, and we also want to be empathetic to the situation.”
The management is reviewing the impact of the pandemic every day and
is making all efforts to safeguard customer interest in line with its
mission statement which recognizes the customer as its First
Stakeholder. The Bank’s branches and customer service teams have been
operating at near-to-full capacity with minimal reduction in services
throughout the lockdown to meet its customers’ needs.
On the employee front, the Bank has honored all offers that were made
to new hires before the pandemic, including all lateral hires as well
as 550 management trainees. This is in keeping with the Bank’s
philosophy of honoring its commitments in all circumstances.
The Bank also paid 100% of the variable pay to 78.2% of employees for
the period pertaining to FY 19- 20 despite the arrival of the
pandemic. Variable pay for FY 19-20 was cut more, progressively, for
employees with greater seniority, and bonus for senior management was
cut by 65% of the eligible amount.
IDFC FIRST Bank’s employees voluntarily contributed one day’s salary
totaling Rs. 3.29 crore to the PM CARES Fund. In addition, the Bank
contributed Rs 5 crore to the PM CARES Fund to support the nation’s
fight against coronavirus. In addition, Mr. Vaidyanathan personally
contributed Rs. 47 lacs to COVID relief, including Rs. 25 lacs to the
PM CARES Fund for COVID Relief and Rs. 5 lacs for Chief Ministers
COVID Relief Fund. Inclusive of employees’ contribution, the Bank
contributed a total amount of Rs. 10.86 crore towards the COVID Relief
related activities so far and continues its work in this area. A large
number of these activities are centered in Maharashtra.
The Bank also launched a number of COVID relief initiatives that
involved its customers and employees at large. These included
Ask-for-Mask, Gaon-Gaon Mask, Shramik-Sahayata Program, Share-a-meal,
Jaankari mein Samajhdari, COVID Warrior-on-Wheels, and Give India
Foundation programs. Under these programs, the Bank has selected women
borrower customers and is paying them at commercial rates for
producing 3.5 lac masks which are distributed in their own rural and
urban communities, providing cash support of Rs. 3000 to migrant
laborers, paying select customers and NGOs for preparing and
distributing meals for displaced workers, spreading awareness about
COVID prevention through catchy videos in vernacular languages, and
providing home-to-hospital-to-home car pick-up service for doctors and
healthcare workers. The implementation of these programs is monitored
at the highest levels at the Bank.
The Bank is committed to playing its part in supporting customers as
well as vulnerable communities during this difficult period.
About IDFC FIRST Bank
IDFC FIRST Bank was created by the merger of IDFC Bank and Capital
First in December 2018. The Bank provides a range of financial
solutions to individuals, small businesses and corporates. The Bank
offers high attractive solutions for savings and current accounts, NRI
accounts, salary accounts, demat accounts, fixed and recurring
deposits, home and personal loans, two-wheeler loans, consumer durable
loans, small business loans, forex products, payment solutions and
wealth management services. Customers can choose where and how they
want to bank: 464 bank liability branches, 128 asset branches, 356
ATMs and 652 rural business correspondent centres across the country,
net banking, mobile banking and 24/7 toll free Banker-on-Call service.
