Robert Obioha
One of the realities of the Coronavirus (COVID-19) pandemic in Nigeria and elsewhere is the new normal it has engendered in the way things are done. The disease has so much affected social life and the world of work that there must be new ways of carrying out our daily human activities. And no sector can be said to be free from the debilitating effects of the global pandemic that has seriously impacted education, religion, economy, the media, oil industry, financial institutions and virtually all sectors.
There is also no doubt that the COVID-19 lockdown put in place to stem the spread of the pandemic adversely affected all sectors of the economy in Nigeria and elsewhere. Most companies, including those in the financial services sector were also badly affected. During the initial stages of the lockdown, the banks, which ought to be among those classified as providing essential services, were unfortunately excluded. Instead, they were allowed to provide online services. It took some effort for the banks to be allowed to provide skeletal services on stipulated days of the week.
And due to the fact that some Nigerians including some of the elites do not patronize online banking services, the lockdown was not easy for them to access banking services. It is sad that some of them do not have the Automated Teller Machine (ATM) cards. It is, therefore, expected that the COVID-19 lockdown had seriously affected banks and even other corporate organizations, including the media industry to the extent that they would have incurred some losses during the lockdown. Even with the gradual easing of the lockdown in virtually all parts of the country, the culture of social distancing will naturally lead to the banks shutting down some of their branches either temporarily or permanently. It is, indeed, part of the tough decisions the banks must take to remain in business. This is one issue the regulator must bear in mind.
Considering the economic impact of the pandemic, it has become necessary that companies must adopt some organizational and business operational restructuring to stay afloat in the new normal of social distancing culture and the possibility of fewer on-ground resources at work places. Even companies abroad are already doing so. It is not limited to companies in Nigeria. And with the recent revelation by health experts that the COVID-19 pandemic has come to stay with us, there is urgent need for Nigerians, especially those who use banking services to appreciate the critical role of embracing digital or online banking system in carrying out some of their transactions. With the rampaging COVID-19 pandemic, people must embrace the new culture of remote work and operations. The era of performing all banking operations physically is gone. All of us, including those adamant to change, must be prepared to live with the new reality.
In most companies, workers have accepted the reality of working from home. The new culture of work has also affected the banking sector to the extent that they cannot keep all their branches open even with the gradual easing of the lockdown. It is expected that it will take some time before some Nigerians will accept the new reality of not going to the banking halls to obtain banking services. This is so because some people are used to the old order of doing things, which the new social distancing culture may not permit.
For the banking sector and even some other sectors, the COVID-19 era calls for human resource re-skilling, retooling, financial inclusion and e-banking. For enhanced service delivery, the new banking era demands a balance between digital bankers and the traditional skilled resources. Although the Central Bank of Nigeria (CBN) has cautioned banks against downsizing of their workforce due to the impact of the pandemic, the reality on ground is that with digital banking and social distancing culture arising from COVID-19 pandemic, many organizations including the banks are likely to shed some weight in terms of workforce.
The pandemic has equally exposed those workers their services may not be needed as many customers embrace digital banking. Job losses in organizations such as banks should be factored into the new normal we are in. It is a new global reality that is not limited to Nigeria. It is based on the foregoing that the recent leaking of a video footage of Access Bank’s Group Managing Director/CEO, Herbert Wigwe’s discussion during an internal engagement session and where he came up with some far-reaching business realities arising from the COVID-19 pandemic should be better appreciated.
Although loss of jobs should be part of the new normal created by the coronavirus, there is also fresh hope that new jobs will still be created with new skills adapted for the workplace of the future. It is worth mentioning that job requirements are changing on a daily basis and this could potentially mean that those who do not embrace change would definitely be left behind. This is further premised on the fact that the new normal will call for a different kind of output and skills.
Now that the pandemic is changing the way we work, experts are calling for specialization, especially in the digital area. Interestingly, the bank is reportedly thinking in this direction while taking proactive steps to stay on top of the financial sector. In other words, the bank is already preparing its workers with skills set to meet the new normal. With technology, the bank has brought innovations and efficiency to the financial services delivery and its new outlets are channeled to bring banking closer to the communities.
There are also plans to extend the services in six Nigerian cities. This is part of the bank’s commitment to increase access to banking services in communities across the country and also meet customer needs. Job losses in a period of the pandemic are inevitable. The earlier those in the sector come to terms with such reality, the better. They should think ahead and realize that this is the new normal which all must embrace. This is the new reality that workers in all sectors must live with as long as the COVID-19 pandemic lasts.https://www.sunnewsonline.com/covid-19-banks-and-the-new-normal/
Obioha writes from Lagos
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