Bank of Valletta employees are up in arms following a decision by management not to pay employees the full performance bonus in 2014, contrary to its stated intention.

The bank’s decision was communicated last week by CEO Charles Borg and was met with surprise and anger by many of the bank’s employees.

According to an internal circular issued by Mr Borg the bank decided that since not all appraisals related to last year’s performance bonuses were completed on time, no additional payments would be made.

The issue goes back to December, when the usual yearly appraisals of each employee’s performance targets should have been ready but weren’t. In the absence of a collective agreement, the bank decided to grant a one-time ex gratia bonus to all employees in recognition of their efforts throughout the year.

The ex gratia bonus was calculated on the average of the previous three-year performance appraisals and came with the proviso that “adjustments would be made to those employees who achieved a better actual score in 2014 than the average score used to calculate the bonus paid out in December”.

However, to the surprise of employees, many of whom were expecting the promised top-up, the bank appears to have gone back on that declaration.

It has now decided that “no additional bonus payments will be made for 2014”.

More in the Times of Malta.