Being the largest commercial employer in Malta, Bank of Valletta has always been at the forefront in offering workplace benefits to its employees. In line with this philosophy, and as a way of showing gratitude towards our employees, the Bank has just introduced a voluntary workplace pension scheme that offers a unique platform through which these same employees can plan ahead for their retirement.
Until this scheme was introduced, BOV employees were only covered by the state pension. The Bank was also aware of the fact that, after several years of employment with BOV, employees would have a standard of living that would be much higher than what the state pension can offer. Therefore, it would be very difficult for these individuals to maintain the same standard of living once they reach retirement age. This new voluntary workplace pension scheme is therefore the ideal solution.
Promoting the scheme
In the last months, particularly during discussions we had with the General Workers' Union as part of the negotiations for a new collective agreement, the possibility of setting up a voluntary workplace pension scheme was discussed and became a reality. I am very satisfied with the fact that both the Board of Directors and the Bank's Executive Committee immediately supported this proposal, which was one of the main pillars of our Human Resources plan going forward.
The Voluntary Occupational Pension Scheme is being introduced in many companies across Europe, however very few companies have implemented it in the local scene so far. We have once again adopted a proactive approach and in doing so are leading by example, so that other local entities can see the benefits of such a scheme and be encouraged to increase their current investment in human resources.
Investing in employees’ standard of living
The Bank’s sense of appreciation towards its employees is manifested in the terms of the scheme, particularly since we will be investing the same amount that the employee invests in the scheme, thereby effectively doubling their investment thanks to the Bank’s contribution (up to a maximum of €2,400 per year). While I am proud of the Bank’s position in providing benefits, I am confident that through this scheme we will continue to strengthen our position as an employer of choice.
Another interesting feature of this scheme is that we are not making any distinctions between the different grades that govern employment; the amount that the Bank is willing to invest in each employee is the same across all categories. The terms and conditions governing the scheme can even be tailored to the needs of individuals; for example, an employee has the option to take a break from making payments during particular periods. This can be due to various unexpected situations, but the bottom line is that employees do not lose out on the investment already made, but instead take a break until their situation returns to normal and they can continue with their payment programme.
An incentive that further strengthens the Bank's reputation
As the person responsible for BOV's human resources, I believe that this scheme will be a great opportunity for the Bank to attract more talent, build long-lasting relationships with current employees and maintain the talent that it already has. This is but one of a series of initiatives that the Bank is implementing as part of a holistic plan to continue strengthening the Bank’s reputation as an employer of choice. This also goes a long way to continue emphasising the importance of work-life balance and create a unique opportunity for employees to look ahead to their future.
Ray Debattista is Acting Chief People & Change within Bank of Valletta