Central Bank Executive Officers’ Union justifies controversial salary hike

• Says was essential to ensure uninterrupted operations

A key trade union defended the sharp salary hike of the Central Bank (CB) employees, citing it as an essential measure to stop brain drain within the institution and maintain operations with no disruptions.
The Executive Officers’ Union in a statement yesterday revealed that the CB lost over 100 of its experienced and qualified staff over the past one-year period to the private sector, multilateral organisations and foreign central banks.

“If this salary revision didn’t take place, the existing trend could have further worsened, with a considerable number of remaining employees leaving the country for better prospects; this could have disrupted the operations of the CB,” the Executive Officers’ Union stressed. As there are no other avenues such as private practice to earn additional income, the union argued that a competitive salary is a must to retain its highly qualified experienced staff, who possess top academic qualifications. To let them carry out their duties with no external interference, it stressed that they need to be compensated accordingly. Further, the union noted that promotional opportunities are limited for central bankers, as it’s a closed service.
Meanwhile, the Executive Officers’ Union clarified that the salary increment was facilitated under the triennial Collective Agreement entered into with the trade unions covering 2024-2026, following negotiation between the management and unions.
The union also denied that the pensions of the retired CB employees increased by 70 percent.
Instead of complaining about brain drain, the union reiterated that solutions are required to retain human resources in the country by focusing on measures such as pay hikes.