Piraeus Bank announced a new voluntary exit program. In particular, with a maximum compensation limit of 250,000 euros, the program concerns employees in the Bank’s central support units. In other words, employees in the Branch Network and in customer units of the Bank are excluded.

Objective of the program is to enhance efficiency, contain operating costs and renew human resources. Those who join the program are given the option of leaving immediately or leaving on long-term leave. In the first case, the maximum amount of compensation is 200,000 euros, while in the case of the sabbatical, the maximum amount is 250,000 euros.

The new Piraeus volunteering includes special social features, as it includes additional benefits and facilities for the employee and his family, competitive conditions and additional incentives, especially for those who are close to retirement.

Who is eligible to participate?

In particular, employees of Piraeus Bank and Piraeus Financial Holdings SA, with indefinite-term dependent labor contracts / salaried mandate, have the right to express interest in the Program. provided that they will have completed 5 years of continuous service to the Group by December 31, 2024. The Program is valid until October 14 and those interested will be informed of the outcome of their request on October 18.

Excluded from participation in the Program are employees who on October 3, 2024:

• Have Executive General Manager or General Manager level of responsibility.
• They have a Management Consultant role.
• They are employed with a fixed-term employment contract or with other contractual relationships such as in the context of an internship, or those who are paid with a Service Provision Certificate, or those who belong to the staff of external partners including PDServices staff loaned to the Bank.
• They are employed in subsidiary companies of the Group either with a dependent labor contract or with a loan contract from the Bank.
• They are employed in the Branch Network or in customer Units of the Bank.
• Participate or have participated in development programs, such as Talent Development and Talent Pipeline Development programs.
• They have communicated in writing their will for their future voluntary departure from the Bank or the Parent Company.

The options

OPTION 1: Immediate Withdrawal

A. Compensation Calculation Criteria

Criterion A.I. Age

Table 1 below shows the number of gross wages (based on the calculation of the gross monthly salary of July 2024), which the employee is entitled to receive, according to his age range (based on the calculation of the completed years on December 31, 2024 ).

Criterion A.II. Children

For the participants in the Program, an addition of two (2) gross monthly salaries (based on the calculation of the gross monthly salary of July 2024) to the gross amount of compensation, resulting from the A.I. criterion, is provided for each child (regardless of age) during October 3, 2024.

B. Immediate Severance Pay Limits

For employees who fall within the age range of 55 years and above of the A.I. criterion, the total gross amount of the compensation (sum of the A.I. and A.II. criteria) cannot exceed the amount of €200,000.

For the rest of the employees, the total gross amount of compensation (sum of criteria A.I. and A.II.) cannot exceed the amount of €160,000.

In the total gross amount of compensation, the corresponding tax that will be borne by the employee will be calculated and the corresponding net amount will be awarded.

OPTION 2: Leave on Long Term Leave

The employee is given the opportunity to choose to participate in a Long-Term Leave of two (2) years with pay, with the possibility of extension for employees aged 50 and over, as specified below, receiving a lump sum before the start of the Long-Term Leave.

During the period of the Long-Term Leave, the employee is fully exempted from the obligation to be present and provide work at the Bank / Parent Company and is entitled to be employed in another job. Upon completion of the Long-Term Leave period, the employment contract is automatically terminated.

A. Long Term Leave Amounts

I. Lump-sum Gross Amount, which is equal to:

  • 60% of the total gross compensation amount of the Immediate Retirement (Option 1), for those employees who fall within the age range of 55 years and above of the A.I. criterion. of Option 1.
  • 50% of the total gross compensation amount of the Immediate Retirement (Option 1), for the remaining employees.

In the Lump-sum Gross Amount, which will be paid one day before the start of the Long-Term Leave, the corresponding tax that will be borne by the employee and the corresponding net amount will be calculated.

II. Monthly Amount to be paid during the Long Term License, for a period of two (2) years and corresponds to:

  • 80% of the gross monthly salary, as it was formed in July 2024, for employees who fall within the age range of 55 years and above of the A.I. criterion. of Option 1.
  • 70% of the gross monthly salary, as established in July 2024, for the remaining employees.

Especially for employees aged 50 and over (based on the calculation of completed years on December 31, 2024), it is possible to further extend the period of Long-Term Leave, up to seven (7) years, with a corresponding distribution of the total gross amount , corresponding to the Long-Term License lasting two (2) years and equal monthly payments.

B. Long Term License Amount Limits

For employees who fall within the age range of 55 years and above of the A.I. criterion. of Option 1, the sum of the Lump-sum Gross Amount (I), the monthly gross amounts paid and the amounts of employer contributions of the Long-Term Leave period (II), cannot exceed a total of €250,000.

For the rest of the employees, the sum of the Lump-sum Gross Amount (I), the monthly gross amounts paid and the amounts of the employer’s contributions for the Long-Term Leave period (II), cannot exceed a total of €180,000.

In the event that the total amount of Long-Term Leave (I and II) exceeds the above limits, the monthly gross amount paid (II) will be adjusted accordingly depending on the duration of the Long-Term Leave, which will have been selected and agreed upon. The employee may request that the Long-Term Leave be terminated earlier than the time duration which will be initially agreed upon. If the relevant request is accepted by the Bank / Parent Company, the interruption of the Long-Term Leave can be done by paying him a one-off salary, which will remain until the end of the initially agreed period, plus the corresponding employer contributions. In such a case of a lump sum payment, the total amount, which will result from the sum of the initial lump sum payment, the monthly amounts that have already been paid (with the corresponding employer contributions) and the remaining lump sum, will not be able to exceed the total gross amount, which would be given in case of choosing Immediate Withdrawal (Option 1).

Additional Benefits

I. Career Transition Programs

In collaboration with external specialized partners, “Outplacement” programs have been designed, which will guide the participants who wish to, in their smooth transition to new professional paths.

The possibilities offered concern:

  • In support of professional transition, by taking advantage of opportunities that exist in the labor market
  • In entrepreneurship consulting with guidance and support for setting up a new business

II. Medical and Hospital Care

It will be provided for five (5) years from the date of termination of the relationship with Immediate Retirement (Option 1) or from the start of Long-Term Leave (Option 2), medical coverage (Hospital / Outpatient) for employees and those already on the date retirement (or commencement of Long-Term Leave) insured, their dependents. Especially for the Long-term leave, depending on its duration, the maximum period of coverage can be up to seven (7) years according to Option 2 (A.II).

During the Long-Term Leave, the Bank / Parent Company will continue to pay employer contributions to the Occupational Insurance Fund (TEA) based on the gross monthly salary paid. In addition, the possible participation of the employees in the Child Support group program will continue, according to the respective terms of the program, as they will apply each time to the active staff.

III. Existing Loan Obligations at Piraeus Bank

Housing or consumer loans, which may have been received by employees prior to their participation in the Program, with preferential staff terms will be maintained with the same preferential terms until their repayment, provided that they are and will remain in the future in accordance with with the contractual terms of the loan or credit, as applicable from time to time. For those who leave voluntarily, the current general regulations, which will apply to the current staff, will apply to the rest of the above products, under the more specific conditions provided herein.

For the Bank’s credit cards, preferential interest rates and other preferential staff terms are retained for one (1) year, from the termination of the employment relationship / salaried mandate relationship (Option 1). In the case of Retirement on Long Term Leave (Option 2) the retention will be valid until the end of its duration.

Debts from salary advance loans, which may have been received by the employees who will participate in the Program, will be offset against the compensation that will be paid upon termination of the employment contract with Immediate Termination (Option 1) or with the lump sum of Termination with Long-Term Leave (Option 2).

In cases of existing delays in loan obligations, the receivables and overdue debts should be paid, before the payment of the compensation of Option 1, which will be paid with the termination of the contract, or offset with it. In accordance with Option 2, any overdue debts will have to be paid before or set off against the lump sum, which will be paid before the commencement of the Long Term License.

After the date of termination of the employment contract, during Immediate Retirement (Option 1) or the start of Long-Term Leave (Option 2), any request submitted regarding a new grant or a modification of the terms of an existing grant will be considered in accordance with the applicable credit policy that will apply to customers and preferential staff pricing will not apply.