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The Bank of Cyprus is downsizing again, launching a new voluntary exit plan for 40 to 50 employees as it seeks to cut staff and rein in expenses.
According to Kathimerini's Panayiotis Rougalas, the plan, open for two weeks, offers tax-free compensation of up to €200,000 per participant. The bank has carried out similar small-scale programs in recent years that proved effective in reducing personnel costs.
In the first half of 2025, staff expenses climbed to €105 million, up from €96 million a year earlier, a 9% annual increase. The total includes €6 million in performance-based pay and €4 million in severance provisions, compared to €5 million in performance benefits during the same period last year.
Excluding those items, personnel costs still rose about 4% year over year, reflecting wage hikes and cost-of-living adjustments applied early in the year.
As of June 30, 2025, the Bank of Cyprus employed 2,858 people, nearly steady from March but slightly fewer than at the end of 2024, a sign the bank’s steady downsizing is continuing.
