Amid the COVID-19 pandemic, Renmoney has disengaged over 300 employees as it looks at using technology to handle more aspects of its business operations.
Renmoney Microfinance bank is one of the top personal and business loan providers in Nigeria and has been in the business for over 7 years now.
According to insider reports; this decision by the Fintech company is in response to the organization’s move to go fully digital in some aspects of its operations.
This is in addition to the recent sack of 391 sales officers.
However, a statement by the organisation denied the COVID-19 economic slap might have a hand in the massive layoff.
Renmoney had announced that it invested in technology that will allow its operation digitally without needing the inputs of direct sales agents; thereby cutting down significantly on the time it takes to satisfy a customer’s needs.
According to the statement, this is in a bid to serve customers better and faster.
Direct sales channel operations like loan application, opening savings or fixed deposit accounts, will now be done using digital platforms; which will include a mobile app that will be launched soon.
According to a report; one of the major reasons for downsizing is usually an economic/financial crisis; and despite what was officially reported, there might also be some economic undertones.
An insider source is of the opinion that the sack may not be entirely hinged on the said ‘new technology’. He adds that he suspects that “shareholders’ interests” may be the culprit.
Similarly, an affected staff, pleading anonymity, agrees that the layoffs resulted from some internal issues that have been on for some time. However, he says they were compensated accordingly.
