Bank merger effect on employees While M&As may present new opportunities for growth and development, they may also cause stress, confusion, and a reduction in staff morale. Ravi Kumar, The study examines how mergers and acquisitions affect employee job satisfaction. Dec 5, 2024 · These are not merely soft issues to address post-merger — they are integral to the deal’s success. The study is set out to examine the effect of merger and acquisition on employee morale considering Union bank of India, Mira road to be the main branch as a case study. Descriptive statistics and paired sample t-tests were used for the 2 years before and after merger and acquisition for the collected secondary data for mergers and acquisitions that occurred between 2009 to 2019. The impact of mergers on other sectors of the economy, effective change management and differences in approaches of Public Sector Banks and Private Sector banks calls for more research. The aim is to investigate the indirect (mediating) effect of the new identification after the merger on the relationship between the employees’ job satisfaction and trust to the management in bank mergers. ” This study investigates the impact of mergers and acquisitions on employee morale, specifically within selected banks in Nepal's Kathmandu valley. Mergers can affect market shares, cost ef-Þciency and the distribution of liquidity shocks. , bank mergers and acquisitions have become increasingly commonplace — according to PCBB, over 80 bank mergers and acquisitions have taken place in 2022 alone. However, the fear of undermining employee performance is inherent in these business combinations. The next section presents a merger case study between Bank 123 and ABC Bank that will give perspective on the regulatory and operational impacts listed in Table 1. Diversification does not mitigate the reduction in financial resiliency; instead, too much diversification worsens the effect. . Mar 22, 2024 · Mergers and acquisitions can have a profound impact on employee engagement within organizations. Apr 21, 2025 · The Capital One-Discover merger, announced in early 2024, has been approved by the Federal Reserve Board. We provide a model of the impact of bank mergers on loan com-petition, individual reserve management and aggregate liquidity risk. Dec 28, 2023 · When will the merger happen? The BPI-Robinsons Bank merger took effect on January 1, 2024. Data analysis, including the use of charts, illustrates the impact of mergers on Bank of Baroda and provides insights into the effectiveness of these strategies in the Indian banking industry. The discernible gaps in communication 19 hours ago · LANCASTER, Pa. We find evidence that bank mergers increase corporate cash holdings and decrease receivables and investments in inventories by reducing bank credit availability. Findings: According to a survey of the literature, the majority of the research was conducted to evaluate efficiency effects of bank mergers, overall gains of mergers, impact of merger on shareholders wealth. Let's get into the pros and cons of merger banks list in India. INTOO explores if mergers are good for employees. 24, 2025/ PRNewswire/-- Fulton Financial Corporation and Blue Foundry Bancorp today announced that they have entered into a definitive merger agreement pursuant to which Fulton will acquire Blue Foundry in an all-stock transaction. The authorities have hardly ever taken any action to evaluate and weigh the impact of the bank's merger and acquisition on its employees. Train your leaders to share updates clearly and align their teams with the merger’s goals. Furthermore, examining the role of technological tools in enhancing communication and collaboration during mergers presents a valuable avenue for future investigation. Banks compete in rates of differentiated loans, hold reserves against liquidity shocks and reÞnance in the interbank money market if shocks exceed individual reserves. The study gathers information from Indian bank staff using a questionnaire, offering a thorough understanding of the procedure. Drawing from the previous studies, a conceptual framework was Feb 7, 2023 · Advantages and disadvantages of banking mergers, their impact on customers and employees, and examples of successful and failed mergers in the banking industry. In a news release on June 11, the bank said it has entered into a “definitive agreement” to purchase Canadian Western Bank (CWB) in an all-share deal that values the Edmonton-based lender at approximately $5 billion. These Mergers and Acquisitions may have a positive financial effect, this research study was undertaken in this context to learn about the opinion of Bank Employees of the merged banks, as well as their views and satisfaction with bank rules and regulations. Data from 400 employees, collected via convenience sampling and questionnaires, was analyzed using descriptive and causal-comparative research designs. Feb 24, 2024 · Learn how mergers and acquisitions impact employees in the finance industry. Aug 21, 2024 · In this article, we discuss the main concerns acquiring and target company’s employees may have, model possible scenarios of what happens to employees after acquisition, and share several recommendations to maintain and boost employee morale during the acquisition process. Apr 16, 2024 · Macatawa Chairman Richard L. These findings are new We would like to show you a description here but the site won’t allow us. The new company may have stricter hiring practices than the smaller business, especially if it's an he employees in the working environment after merger in the HDFC Bank, perceived effects of merger that influence the employee performance. 96 as of November 21, 2025, the transaction is valued The document analyzes the effects of mergers and acquisitions on human resource management, using the merger between Diamond Bank and Access Bank in Nigeria as a case study. It can position financial institutions to keep up with the break-neck pace of technological innovation and ever-higher consumer expectations. Today, the saving money industry is considered as a real part of the quickly developing Dec 5, 2024 · Employees want to feel informed about what’s happening, how it affects them and where the organization is headed. This research aims to analyze the effects of bank mergers on employees, focusing on the specific case of Access Bank Zambia, following its merger with Atlas Mara bank Zambia. Using a novel measure of soft information used in Dec 5, 2019 · Mergers represent an enormous operational and cultural change for employees. Job security affects the employee performance in the Bank. Regular updates through various channels foster trust, minimize rumors and ensure employees feel included in the process. ion and corporate financial engineering continue ce of under-funding and an eventual distress termination. 24, 2025 (GLOBE NEWSWIRE) -- Fulton Financial Corporation (Nasdaq: FULT) (“Fulton”) and Blue Foundry Bancorp (Nasdaq: BLFY) (“Blue Foundry”) today announced that they have entered into a definitive merger agreement pursuant to which Fulton will acquire Blue Foundry in an all-stock transaction. I urge your agencies to critically assess this merger’s potential to lead to job losses and other impacts on employees, one of the most direct and harmful ways that bank mergers affect communities. If you’ve ever experienced disruptions in your bank’s services—like online banking being unavailable, branches temporarily closing, or delays in customer service—your bank may have been going through a merger. The study investigates the perceived effects of mergers and acquisitions on employee productivity within commercial banks in Kenya. Mergers and acquisitions ("M&A") of bank holding companies ("BHCs") and banks are subject to lengthy and sometimes unpredictable regulatory scrutiny and application processing between signing and closing. Nov 17, 2025 · Business mergers can have a huge impact on staff members of all businesses involved. Utilizing a quantitative method with an 80-respondent survey based on Therefore, it is against background that this study seeks investigate the effect of merger and acquisition on employee morale in the Nigerian banking industry while adopting change of work environment, organizational culture and leadership as dimensions of mergers and acquisitions. The study aimed to assess the effects of mergers and acquisitions on the financial performance of commercial banks in Zambia. We're here to share our insights on the critical issues to consider with existing employees during a merger. Here's how you can support employees during mergers and acquisitions. Aug 21, 2024 · When companies merge, what happens to employees is change, which makes them feel stress, uncertainty, and sometimes even resistance to the transition. Mergers can be associated with changes in competition and technology. Use this link to register/buy mock test series for preliminary and main both ( Available in Hindi 19 hours ago · Fulton Bank also provides investment management and planning services for individuals and corporations through Fulton Financial Advisors and Fulton Private Bank. Jan 5, 2025 · National Bank of Canada says it has cleared a key regulatory hurdle in its proposed acquisition of Canadian Western Bank. Merger of Bank 123 and ABC Bank Table 2 outlines a merger scenario between Bank 123 and ABC Bank. Nov 15, 2025 · Bank mergers and acquisitions (M&A) represent complex transitions in the financial sector, often creating high anxiety for the thousands of employees involved. I. Abstract The objective of this paper is to examine the perceived effect of merger on employee satisfaction of Nepalese commercial banks. Abstract The 2011 Mergers and Acquisitions wave in the Nigerian banking industry was triggered by the Central Bank Nigeria (CBN) in tackling operational challenges, such as poor governance, risk management, inefficient operations among others. Following the 19 hours ago · LANCASTER, Pa. On the other hand, working environment, corporate governance policies had a significant positive effect on staff confidence, zeal to take up newer tasks, employee engagement/retention and job satisfaction. As a business law firm based in Overland Park, Kansas, we've seen countless businesses go through this process. and RUTHERFORD, N. May 19, 2025 · Capital One says customers shouldn't expect any immediate changes to accounts following its merger with Discover. Since the Superseded Statement was last revised, the BMA has been amended and significant changes have occurred in the banking industry and financial system, which has prompted the FDIC to develop this Final Statement. In most cases, bank mergers don't end up having much impact on customers' day-to-day banking—and any changes you do experience are likely to be positive. This discussion will focus on the pros and cons of bank mergers for bank employees. 5 hours ago · The merger will enhance customer access to greater resources, innovative solutions, and a commitment to community-focused banking services. During and After A Merger, the Human Workforce (Human Capital) Is Frequently Ignored and Left Out. "Two can live as cheaply as one" really works in a bank merger, as combined institutions can cut costs by using one processing facility, fewer buildings, and of It was in this light that this research sought to fill the existing knowledge gap by examining the effects of mergers and acquisitions on employee morale. The requirement for the study arose due to prevalence of information in the branch that indicates low morale and dissatisfaction among the staff due to numerous restructuring in form of merger and acquisition, which also Information on various aspects of bank mergers and their effects on bank efficiency was gathered through a variety of research papers and articles. Now what? This guide provides valuable information on what happens when a bank buys another bank. Objectives: This study Nov 21, 2023 · How a Merger or Acquisition Can Affect Employee Benefit Plans Policy and regulation 11/21/2023 Aug 26, 2025 · One company may merge its retirement plan with that of the other company – This results in the post-merger company having only one retirement plan covering all employees. Among problems investigated in the study Comparative Effects of Pre and Post Bank Mergers and Acquisitions (M&A) on Employee Productivity in Selected Banks in Nigeria 19 hours ago · LANCASTER, Pa. Nov 14, 2025 · Effect of Mergers and Acquisitions on Employee Performance A consequence of increased anxiety levels can be lower performance levels, company unrest, and even voluntary resignations. Discover the potential effects and strategies for navigating these changes. Comparative Effects of Pre and Post Bank Mergers and Acquisitions (M&A) on Employee Productivity in Selected Banks in Nigeria Abstract A prudent analysis of the factors affecting turnover intention of the employees after mergers and acquisitions should guide the managers to prevent the fallout of employees during such complex process; the primary objective of this study is to identify those factors that influence turnover intention of the employees. But what happens to your ESOP when the company is sold? The thought of a potential merger or acquisition can be unsettling, especially when it comes to the fate of your retirement savings. Apr 3, 2025 · A $35 billion merger between Capital One and Discover that would make Capital One the nation’s largest credit card issuer cleared a major regulatory hurdle this week, according to multiple Dec 3, 2014 · In the case of FCMB, pre-merger minimalist communications unsettled employees, but the major push for far more extensive and personal communications about the strategy of the merger post-deal had a very positive effect upon employee views of the future of the bank, their position in it and their commitment to the organization. Aug 21, 2020 · The analysis focuses on employees’ psychology after mergers, their attachment to organizational culture and their work productivity. Despite the frequency of mergers and acquisitions in today’s banking landscape, many customers are unsure of how a potential merger or May 1, 2023 · The study seeks cause and effects relationship amongst banking employees in Kathmandu valley due to merger and acquisition and adopts explanatory research design. Jul 26, 2024 · Without proper guardrails, this merger could impact workers’ jobs, pay and benefits. May 14, 2024 · Governance and management reforms are essential for ensuring the success of bank mergers and consolidations. Although some are concerned that the merger could increase costs for consumers, others May 20, 2024 · This study investigates the consequences of bank mergers on non-financial borrowers’ working capital management. What’s happening at National Bank? National Bank of Canada (National Bank) is expanding its geographical reach by acquiring a western rival. However, there are very little study on ‘merger and acquisition’ available in the context of Nepal. Under the terms of the definitive merger agreement, each share of This paper provides causal evidence on the effect of state-level deregulation—which facilitated bank mergers and acquisitions—on banking-sector wages. The data were extracted from nine commercial banks from 2000 to 2018. Revista Contabilidade & Financas, 30 (80), 234–251. Dec 13, 2024 · What happens to a stock when companies merge? Mergers are common, but can rattle investors. Bank M&A applications are subject to numerous regulatory risks, including preexisting conditions that are unknown or whose importance to the process is underestimated when the deal is signed Apr 2, 2024 · April 02, 2024 Bank Mergers and Acquisitions, and De Novo Bank Formation: Implications for the Future of the Banking System Governor Michelle W. Journal of a Research in Science and Technology, merger/acquisition. 4 RESEARCH QUESTIONSIn-order to guide the study and achieve the research objectives stated above， the following research questions apply to the study: 1. The findings suggest that while The effects of mergers and acquisitions in the banking industry of Nigeria on employee morale can be significant if the reorganization of the business is not handled effectively. Mergers require the integration of two distinct workforces and the management of significant personnel changes. This study investigates the comparative effects of Mergers and Acquisitions (M&As) on employee productivity in selected Nigerian banks. Feb 11, 2025 · Your bank has been acquired. The five banks recently merged with SBI are State Bank of Travancore, State Bank of Bikaner and Jaipur, State Bank of Mysore, State Bank of Hyderabad and State Bank of Jan 10, 2020 · The aim of the study is therefore to assess the psychological effect of the merger and acquisition process on employees. Just as is the case with negative effects of mergers for employees, the benefits are best communicated by a change management team. The effects can vary based on the circumstances of the merger, the communication strategy employed, and the level of integration planning. “We believe Regent can leverage the strengths of DLP Bank to magnify the continued growth of both organizations. If only the former company in the merger or acquisition had a retirement plan, the surviving company may elect to become the plan sponsor of the existing retirement plan. The chapter draws on the analysis of the merger of the UAE’s two largest banks, National Bank of Abu Dhabi and First Gulf Bank. It has been acknowledged all around that Mergers and acquisitions is a path for increasing the upper hand locally and globally and all things considered the entire scope of businesses. Bank 123 will be the surviving institution and is embarking on this merger to grow its deposit and loan base in an MSA and add 19 hours ago · LANCASTER, PA, and RUTHERFORD, NJ, Nov. Culture is too often neglected. It provides context on the Nigerian banking industry and history of consolidation. Using a mixed-methods approach, the research collected quantitative data from 1,000 employees and qualitative insights from Nov 4, 2019 · Compared with smaller transactions, mergers of equals encompass more of everything: more deposits, branches, customers, lines of business, employees, systems, regulatory exposure, and risk. Acquirers face a host of additional considerations, and the typical bank’s business development function likely won’t have experience with many of them. But why does this happen? Let’s look at some simple reasons behind these interruptions and how Employee’s identification with merged companies and their job satisfaction are important factors in the success of mergers and acquisitions. Abstract A prudent analysis of the factors affecting turnover intention of the employees after mergers and acquisitions should guide the managers to prevent the fallout of employees during such complex process; the primary objective of this study is to identify those factors that influence turnover intention of the employees. Both banks have completed all the corporate and government paperwork necessary for the merger. Feb 7, 2024 · Mergers can be a huge step forward for your business, but a challenging time for existing employees. Sep 29, 2016 · This study examined the differential effects of the feelings and beliefs of retained employees on conditions of merger and acquisition caused by changes of reforms with the view to investigate Jun 15, 2023 · To examine the effect of merger and acquisition on employee job satisfaction with respect to new company policies， reviewed employees’ benefits and working condition. How will the merger affect employees of both banks? The merger aims to preserve local relationships while providing expanded resources and opportunities for enhanced service to customers and employees. 19 hours ago · “Regent’s exceptional corporate culture and focus on client service make it an ideal partner for our bank, employees and clients,” said DLP Bank Chairman Bob Peterson. In order to improve worker morale and performance through mergers, the bank should expand both official and informal training programs. The questionnaire consisted of state Jun 6, 2020 · This study investigates the comparative effects of Mergers and Acquisitions (M&As) on employee productivity in selected Nigerian banks. We will look at how bank mergers can affect bank employees, such as job been conducted to study the effects of the merger process on the employee’s performance. It addresses three main research questions related to workplace environment effects, areas of employee satisfaction and dissatisfaction, and potential measures to improve morale. Sep 20, 2024 · What do we find? On average, mergers worsen the risk sensitivities of merged banks relative to their non-merged counterpart banks. The target respondents were eighty seven (87) employees from former UT and Capital Bank now Ghana Commercial Bank employees after the acquisition. The head office of the National Bank on April 21, 2017, in Montreal. This guide helps leaders provide clear answers on job impacts, organizational changes, and company direction, ensuring a smooth and transparent transition for your team. Learn how to address the top 20 employee questions following a merger or acquisition. Drawing from the previous studies, a conceptual framework was Abstract Mergers and acquisitions, as well as other types of business combinations, provide desirable strategic benefits. com In the banking sector, mergers and acquisitions occur frequently, yet they can negatively affect productivity and morale among employees. Throughout the U. Given the pivotal position of the Nepalese banking and financial sector in Nepal’s economic development, under the backing of the Nepal Rastra Bank (NRB), mergers and acquisitions (M&A) activities hold the promise of synergies and benefits, yet they also bear the potential for instigating job insecurity and diminishing job satisfaction and engagement. 24, 2025 — Fulton Financial Corporation (Nasdaq: FULT) (“Fulton”) and Blue Foundry Bancorp (Nasdaq: BLFY) (“Blue Foundry”) today announced that they have entered into a definitive merger agreement pursuant to which Fulton will acquire Blue Foundry in an all-stock transaction. In the coming months, Capital One account holders may get cashback debit cards and Feb 7, 2023 · Advantages and disadvantages of banking mergers, their impact on customers and employees, and examples of successful and failed mergers in the banking industry. Nov 14, 2025 · Mergers are also a sign of a company’s growing ambitions, and by sticking around, employees have the opportunity to piggyback on those ambitions. Certain corporate spin-offs, split-ups, mergers, acquisitions and takeovers have the effect of undermining the ability of the plan sponsor to su Sep 29, 2016 · This study examined the differential effects of the feelings and beliefs of retained employees on conditions of merger and acquisition caused by changes of reforms with the view to investigate Jul 24, 2025 · This merger creates the largest bank holding company in Georgia, according to the news release. Many previous The study found out that a higher percentage of banks were either in acquisition then horizontal mergers and vertical mergers and most respondents had worked in the bank at the time of mergers or acquisitions. D. See full list on smitheylaw. We analyze distressed mergers of German savings banks and show that they represent exogenous shocks to the (initially non-distressed) acquiring bank. ABSTRACT This study examines the human resource implications of the merger between Bank of Baroda, Vijaya Bank, and Dena Bank, with a focus on employee experiences across four dimensions: job security, cultural integration, career development, and internal communication. We exploit hand-collected data on bank merger deals and cross-sectional variation in borrower exposure to merger partners to study the effect of bank mergers on lending relationships. For example, the new bank might offer more products and services to help meet your financial needs. Use coupon code AA03 and avail 10% discount on mock test. Findings/Result: Depending on the performance metrics employed, the techniques implemented, and the reason for the transaction, there are varying degrees of efficiency benefits following bank mergers. , Nov. The findings revealed that mergers and acquisition was a positive significant predictor of staff morale in the bank. If your leadership team isn’t prepared to handle these areas, the consequences can negatively impact employee engagement, integration timelines and even customer satisfaction. The effects of product and labor- market competition and technology on wages are issues of longstanding economic concern. If an employee, who would otherwise make a valuable contribution to the merged entity, feels that their job is under threat, they may decide that it’s safer to accept a position in a company that can guarantee The next section presents a merger case study between Bank 123 and ABC Bank that will give perspective on the regulatory and operational impacts listed in Table 1. Jan 19, 2023 · Among these other changes, a bank merger may result in changes to the minimum opening deposits for accounts like savings accounts, and new minimum balance requirements for other accounts to avoid Effects of Mergers and Acquisitions on Employees Morale in the Nigerian Banking Industry: A Study on Access and Diamond Bank Plc. The need for the study arose from the prevalence of information in the branch that indicated low morale and dissatisfaction among the staff due to various corporate restructuring in form of mergers and acquisitions. This study seeks to comprehend the employee attitude and performance after the merger process and determi Jul 31, 2025 · The 2023 Merger Guidelines indicate that the DOJ will evaluate not only deposit concentration but also product-specific overlaps, pricing, network effects, and customer service; the guidelines allow the DOJ to challenge transactions on qualitative grounds even if traditional market share thresholds are not exceeded. If your company is undergoing a merger or acquisition, you’re apt to feel anxious. In this article, we’ll delve into the complexities of ESOPs in mergers and Sep 12, 2024 · PDF | the research sorted to investigate the effect of Mergers and Acquisition on Bank Performance | Find, read and cite all the research you need on ResearchGate SBI merger is the greatest in the Indian managing an account industry. Aug 20, 2020 · The analysis focuses on employees’ psychology after mergers, their attachment to organizational culture and their work productivity. Adverse effects to financial stability driven by large bank mergers. To understand more about how bank mergers work, here are some fast facts and handy definitions, followed by a few tips on what to expect if May 17, 2025 · Effect of Mergers and Acquisitions on Employees’ Job Satisfaction in Nepalese Banks Kabi Raj Acharya Lecturer, Patan Multiple Campus, Faculty of Man agement, Tribhuvan University, Nepal Ph. Aug 1, 2022 · This paper aims to conduct a literature review on mergers and acquisitions and their effects on employee performance. Not sure how a bank merger could affect you? Here’s what you can anticipate. Ravi Kumar Interview PSU Bank Merger 2025 | AIBOC Interview | Public Sector Bank Reforms Exclusive talk with J. It identifies the types of mergers and acquisitions adopted by these banks to gain competitive advantage and examines their impact on employee productivity, highlighting issues such as stress, job security, and employee turnover. While the merger created one of Jan 31, 2014 · The results are documented in detail and their evolution over time is discussed. Employee behaviour is typically negatively impacted by mergers and acquisitions, leading to biased practices, job dissatisfaction, absenteeism, low morale, and Mar 3, 2023 · Learn about how mergers and acquisitions affect organizational morale and how to support and maintain the employee experience when they happen. But you needn’t dread 5 hours ago · Fulton Bank also provides investment management and planning services for individuals and corporations through Fulton Financial Advisors and Fulton Private Bank. Mar 1, 2022 · We examine the effects of the largest-ever bank merger in the world at the time on unlisted firms through their firm-bank relationships to find the following: (1) Firms that transacted with both of the merged banks prior to the merger saw their borrowing costs increase by 13 bps relative to those that transacted with only one of them. In Mergers affect the sense of ownership and belonging among the employees in the Bank hence their performance. Learn more about the impact of mergers on stocks. After merger or acquisition activity, employees may have to go through a qualification process. Background The Final Statement supersedes the prior FDIC Statement of Policy on Bank Merger Transactions (Superseded Statement), which was last amended in 2008. 6 days ago · A well-planned bank or credit union merger can result in scale, unparalleled efficiency, and unbeatable client offerings. Mar 16, 2022 · The obvious implication for merger analysis appears to be that the assessment of competitive effects needs to be broadened to take account of non-bank lenders, as well as online competition from Aug 27, 2024 · As an employee stock ownership plan (ESOP) participant, you’ve worked hard to accumulate a valuable retirement nest egg. Effect of SBI merger and the difficulties looked at by SBI after the merger and its impact on employees. This study makes a little contribution to the improvement of bank employees. The aim of the study is therefore to assess the psychological effect of the merger and acquisition process on employees. 1. Banking is a business like any other, and profits are the name of the game. The merger could have major impacts on the community and Discover's employees. In the years after a distressed merger: (i) the performance of the acquiring savings bank The concept of merger and acquisition (M&A) was an entirely new thing to the Banking and Financial Institutions (BFIs) of Nepal when the Nepal Rastra Bank (The Central Bank of Nepal), supervisory and regulatory body of all the BFIs has issued merger by-laws in May 2011 (Shrestha, 2012; Gyanwali, 2013). Sep 23, 2024 · Market reaction to bank merger and acquisition events in Brazil: An analysis of the effects of market waves. Generally, a new plan sponsor would not significantly change the terms of the retirement plan and, therefore, it would have little impact on existing plan participants. 96 as of November 21, 2025, the transaction is valued Jan 31, 2014 · The results are documented in detail and their evolution over time is discussed. The effects of a merger are provided under Section 80 of the Corporation Code. Bank 123 will be the surviving institution and is embarking on this merger to grow its deposit and loan base in an MSA and add The aim is to investigate the indirect (mediating) effect of the new identification after the merger on the relationship between the employees’ job satisfaction and trust to the management in bank mergers. Although this provision does not explicitly state the merger’s effect on the employees of the absorbed corporation, Bank of the Philippine Islands v. “This transaction is about Abstract- The purpose of the study is to find the effect of mergers on job satisfaction in employees of SBI Associate bank. Under the terms of the definitive merger agreement To examine the effect of merger and acquisition on employee job satisfaction with respect to new company policies, reviewed employees’ benefits and working condition. When two banks merge, it can temporarily affect the banking services we rely on. Don’t fall into this trap. This paper aims to conduct a literature review on mergers and acquisitions and their effects on employee performance. In 2021, President Biden issued an Executive Order on Promoting Competition, which called on the DOJ, the FDIC, the OCC, and the Fed to “update guidelines on banking mergers to provide more robust scrutiny of mergers. Bank earnings are being eroded by competition from other financial institutions and credit card-issuing companies like AT&T and General Motors. Keyword:Mergers and acquisitions, stress, lay-off, job uncertainty. The key factors influencing the performance of bank mergers and acquisitions, as identified in the relevant literature, are grouped into three categories and evaluated according to their contribution to the success of a merger. Roughly 30% of employees are deemed redundant when firms in the same industry merge. During any merger or acquisition effort, there are at least two groups of employees involved, often coming from organizations with distinctly different cultures and Economics. Postma said the merger with Wintrust Financial allows the company to retain and enhance its presence in West Michigan, along with its name, employees and branches. Bowman At A Workshop on the Future of Banking, hosted by the Federal Reserve Bank of Kansas City, Kansas City, Missouri Jul 14, 2020 · A merger of banks is surely a pretty big step, but several factors get affected by the same. Background: Mergers and acquisitions (M&A) are seen as effective strategies for business growth in the corporate sector. ”7 The old Bank Merger Guidelines, issued almost three decades ago in 1995, are severely out of date. J. In the first quarter of 2025 alone, anticipated benefits like these helped drive 34 bank merger and acquisition deals worth more Abstract This study examines the effect of mergers and acquisitions in the Nepalese banking industry on employee performance, focusing on the influence of work culture, training and performance The Bank's management should also assess the volume of work and evaluate it in relation to the wages paid to the staff. Bank mergers also decrease trade credit used through the reduction in bank credit availability. Based on Fulton's share price of $17. The study set out to examine the effect of mergers and acquisitions on employee morale using ECObank, Asaba main branch as a case study. Descriptive and casual comparative research design are used to estimate the relationship of employee satisfaction (dependent variable) with independent variables (pay remuneration, belonging, chain of command, training and development, employee performance Effects of Merger and Acquisition on Employee Satisfaction in Nepalese Banking Sectors Eliza Shrestha*, Niranjan Devkota**, Surendra Mahato#, Sahadeb Upretee+, Udaya Raj Paudelꜛ, Devid Kumar Specifically, the study examined how M&A activities influence employee retention, morale, and productivity, and how these human resource factors, in turn, affect the overall financial performance of the banks. The 2018 merger was prompted by Diamond Bank's poor financial performance and risk of losing its license. Expanding the study to include long-term effects of mergers on employee engagement and loyalty would provide a deeper understanding of sustained impacts. S. Managing Employee Morale It's natural for employee morale to drop during a PSU Bank Merger 2025 Explained | Excl Rahul & AIBOC State Secretary J. Jun 16, 2025 · Understand the M&A trends affecting banks, and their response to technological changes, bank failures, post-pandemic pressures and regulatory action. Dec 1, 2024 · We show that distressed bank mergers that are a widely used instrument for bank resolution have the potential to generate adverse real economic effects. Feb 20, 2024 · Capital One is buying Discover Financial Services, which is based in north suburban Riverwoods. An anticipated merger might create an impression of anxiety among employees and raise concerns about their professional problem. Using loan-level data, We find that borrowers that have pre-merger relationships with the target bank are much less likely to access credit from the merged bank. gwt wzsqmj lta agtwn brbeu nxwknk ktysou rzwyeg cjmny tbbbrz mwpdq xsqk khtpx lopiu gxzazh