Caixa Econômica Federal has announced to its employees a new voluntary redundancy program as it looks to further cut expenses, Valor Econômico reported, citing a statement it obtained from the state-run bank.
The membership period for the program will run from Feb. 23 to March 5, with the closing happening between March 1 and March 12, the report said. Retirees and employees able to retire by Dec. 31 may join the program. Employees who have been at Caixa for at least 15 years are also eligible to join.
The financial incentive for those who will subscribe to the program will be equivalent to 9.8x his or her basic compensation, but limited to 490,000 Brazilian reais.
The state-owned bank had opened two voluntary dismissal programs last year, including one in March 2017 wherein 4,600 employees signed up. In the second reiteration that was completed in August of last year, the bank cut 2,700 employees. The programs resulted in savings worth 500 million reais.
Caixa is expected to release a notice regarding the program on Feb. 22.
As of Feb. 21, US$1 was equivalent to 3.26 Brazilian reais.