Erstwhile Standard Bank deputy CEO Kenny Fihla will forfeit about R14.3m in long-term incentives after his resignation to join rival Absa.
Fihla surprised the market in March when he ditched Standard Bank to take up the post of head of Absa, just months after the role of deputy CEO was reinstated for him and control of the 19-country Standard Bank SA and rest of Africa portfolio was consolidated in his office.
Standard Bank’s annual report on Friday shows Fihla will forgo his long-term incentives, though he still takes home a healthy pay cheque of about R50m for the 2024 financial year.
Standard Bank CEO Sim Tshabalala has described Fihla’s exit as a “blow”, but backs the group’s talent pipeline to come through.
The group’s chair, Nonkululeko Nyembezi, in her letter to shareholders ahead of the lender’s AGM in June, hailed Tshabalala’s leadership of Africa’s largest banking group by assets.
“Management succession is also a multiyear endeavour, and the board is satisfied that it is receiving sufficient attention both at a board and management level, with a particular focus on growing our own timber in-country and at a group level,” she said.
“Sim Tshabalala continues to lead the group with aplomb and was recently recognised as business leader of the year [by the Sunday Times] — a prestigious and befitting accolade that is a testament to Sim’s exemplary leadership and, as Sim emphasises, to the professionalism and commitment of all the group’s people.”
All eyes are on Tshabalala on how he will reconstitute his executive council after Fihla’s abrupt resignation.
Fihla was largely seen as a possible successor to Tshabalala after he was granted more powers at the group in sweeping executive changes in September — which essentially put a large chunk of the bank’s operations under his guidance and earned him a place on the board.
His elevation to the role of deputy CEO saw him assume responsibility for both Standard Bank SA and the group’s Africa regions, with region CEOs Lungisa Fuzile and Yinka Sanni reporting to Fihla.
Due to the changes, Fuzile and Sanni lost their seats on the executive committee.
Reflecting on the group’s talent pool, Sharon Taylor, the chief people and culture officer, said the company has a rich history of recruiting a multinational cohort of talented individuals with long-term leadership potential.
“It is also evident in several seamless transitions at the group’s top table — including the appointment of Luvuyo Masinda as the chief executive of CIB and Doreen Rwakatungu Musiime as the chief audit officer,” she said in the annual report.
“Our talent management and succession practices across the group are mature and as a result we have excellent succession coverage across all key roles and a deep, diverse talent pipeline, which has enabled the appointment of internal talent into key roles. 62% of all vacancies in 2024 were filled by internal talent — a strong testament to our value of growing our people.”
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.