Serious allegations of workplace discrimination, unfair compensation practices, and mismanagement have emerged from within I&M Bank, one of Kenya’s established financial institutions, according to information provided by a current employee who requested anonymity for fear of retaliation.
The whistleblower, who claims to have worked at the bank’s head office for over eight years, describes a toxic corporate culture characterized by favoritism in promotions and bonus allocations, tribal discrimination, sexism, and racism in management decisions.
“People and especially clients might visit the branches and see staff smiling, but all is not well,” the source stated.
“The bank presents itself as a professional institution to the public, but internally, employees are suffering under unfair practices.”
According to the allegations, the bank’s April bonus distribution system has created significant disparities among staff, with some executives reportedly receiving bonuses equivalent to three to six months’ salary while junior officers receive as little as 15 days’ pay or nothing at all, despite contributing to the bank’s revenue generation.
The source also raised concerns about accountability in fraud cases, claiming the bank lost approximately Ksh 200 million last year in incidents that resulted in selective disciplinary actions.
“One of the operations managers who approved processing of the fraudulent transaction did not face any disciplinary action because they are on good terms with the branch manager who is related to a director,” the whistleblower alleged.
The allegations extend to what appears to be systematic efforts to prevent staff turnover, with the bank reportedly extending the resignation notice period from one month to three months for manager-grade employees.
Additionally, the source claims that promotions often come without commensurate salary increases.
“Staff are promoted on paper to a higher grade but their salaries do not commensurate with their new grades. They are told that they will slowly be graduated to the full salary package for the new role after three years, yet responsibilities begin right away,” the source explained.
Perhaps most concerning are allegations of racial discrimination in senior leadership appointments.
The whistleblower claims qualified Kenyan professionals are frequently passed over in favor of expatriates from India, even when the Kenyan staff have successfully managed departments for extended periods.
“The Kenyan still does his work including the new boss’s work apart from training them for the position,” the source stated, adding that Kenyan staff are denied contract extensions after reaching retirement age while their Indian counterparts allegedly continue working past retirement age.
The whistleblower expressed hope that new CEO Gul Khan, who reportedly “is trying his best,” might address these issues but claimed he faces resistance from “senior management who benefit from the already established system.”
This is not the first time I&M Bank has faced internal criticism.
The source referenced a previous incident where “an email from another angry staff leaked” and the author was allegedly “tracked down and unceremoniously fired for speaking the truth.”
As Kenya’s banking sector faces increasing scrutiny from regulators regarding governance practices, these allegations highlight potential challenges in workplace culture that could affect the industry’s stability and reputation if left unaddressed.
