The Association of Senior Staff of Banks, Insurance and Financial Institutions (ASSBIFI) has issued a stern warning to Unity Bank Plc, demanding the immediate reinstatement of more than 100 employees whose jobs were terminated in the wake of its merger with Providus Bank.
Union Issues Deadline, Threatens Industrial Action
ASSBIFI has given Unity Bank a firm deadline of January 8, 2026, to reverse the dismissals or face the possibility of large-scale industrial unrest. The union described the mass termination, which saw many employees receive their letters on January 1, 2026, as a shocking and distressing move that violated established labour regulations.
In a letter signed by its acting president, Nike Joseph, the union specifically demanded the recall of at least 42 staff members already identified. ASSBIFI emphasized that the bank's action breached both the Nigeria Labour Act and the specific terms agreed upon for the Unity-Providus merger.
Alleged Breach of Merger Agreement and Due Process
The union contends that Unity Bank's management, led by Managing Director Ebenezer Kolawole, had previously assured staff that no one would be laid off as a direct result of the merger without proper consultation. ASSBIFI argues that this recent move ignored that understanding and failed to follow agreed procedures for staff disengagement.
The termination letters reportedly instructed an immediate withdrawal of the affected employees' access to official bank systems, a move the union claims was executed without valid justification or compliance with due process. ASSBIFI has requested an urgent meeting with bank management to seek an amicable resolution, stating that dialogue remains its preferred path.
Stakeholders Call for Fairness and Regulatory Oversight
Reacting to the dispute, civil society commentator and public affairs analyst, Comrade Basah Mohammed, highlighted the human cost of corporate restructuring. He noted that while mergers involve tough decisions, agreed processes and human considerations must not be sidelined, as job losses have profound consequences for families and livelihoods.
Mohammed called on relevant regulators to ensure labour protections are upheld during such corporate consolidations. He stressed the need for transparency, fairness, and dialogue to resolve the current impasse, restore confidence, and prevent further escalation.
The dispute stems from the recent corporate takeover where Providus Bank, which holds a regional banking licence, absorbed the structure and identity of Unity Bank Plc. Under this arrangement, Unity Bank's share capital is to be cancelled, leading to its dissolution, with Providus Bank's certificate serving for the enlarged entity.
