Tensions Rise At FirstBank After Allegedly Parting Ways With 100 Senior Executives

FirstBank, Nigeria’s oldest financial institution and a subsidiary of FBN Holdings, has come under fire following the abrupt exit of nearly 100 senior executives. This move, which insiders describe as a sweeping reorganization, has sparked concerns about the bank’s internal stability and its treatment of long-serving staff.

According to sources with direct knowledge of the matter, the bank’s board, led by billionaire businessman Femi Otedola, approved the mass exits as part of a controversial restructuring strategy aimed at repositioning the institution for 2025. Among those reportedly affected is a prominent executive director whose tenure was not renewed.

The decision has drawn criticism for what some see as a lack of transparency and respect for institutional knowledge. While FirstBank claims that some of the exits were voluntary, staff close to the matter suggest many were pressured to leave under the guise of restructuring.

This latest development adds to a year already marked by turbulence within the bank’s leadership. Since Femi Otedola assumed the role of chairman, FirstBank has seen a string of abrupt changes in its boardroom and executive management. Critics argue that these frequent shakeups have created uncertainty, potentially undermining employee morale and stakeholder confidence.

In 2024 alone, the bank witnessed the exit of former Chairman Tunde Odukale, followed by the appointment of Ebenezer Olufowose. Further changes included the appointments of Olusegun Alebiosu as Managing Director and Ini Ebong as Deputy Managing Director. In October, Wale Oyedeji was named Group Managing Director of FBN Holdings, all within a few months of each other.

Despite the bank’s claims of aligning with long-term growth goals, many industry observers believe the mass layoffs could damage its reputation. With FirstBank’s historical status as a trusted financial institution, the perceived mishandling of senior staff exits may cast a shadow over its corporate governance practices.

The timing of the reorganization also raises eyebrows, coinciding with the bank’s recent N149.5 billion rights issue to meet the recapitalization target set by the Central Bank of Nigeria. While FirstBank’s share price has performed well in 2024, gaining 18.47% year-to-date, the long-term impact of these internal upheavals remains uncertain.

Efforts by Readership NG to obtain a statement from the bank’s Marketing and Corporate Communications department regarding their side of the story were unsuccessful, as calls and messages remained unanswered at the time of press.