Monzo already implemented voluntary employee furloughs and salary cuts in the U.K.
Now Monzo is continuing to take tough decisions in order to keep up its financial position amidst the coronavirus crisis which will result in economic downturn.
The company launched the Las Vegas office in the summer of 2018. The customer support team was created to help Monzo scale its customer service as it grew, thus without relying on its team in the UK to work overnight hours.
The Monzo executives wanted to create a workplace that supports the wellbeing of its employees and to help remote workers deal with the downsides of “unsociable hours”.
As time went on through, the banking group expanded customer wise, now having more than four million customers.
By opening a U.S. office the team could also service UK customers during the overnight hours. Instead, overnight support will now happen from the U.K.
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Monzo Las Vegas employees are being given two months’ notice, with full pay and healthcare. Also, the bank is offering support with CVs and reaching out to other employers and doing things like running interview prep sessions.
In addition, it is supporting applications for extended healthcare cover after the end of the notice period.
Unlike most neobanks, Monzo is a fully licensed bank, and therefore has a regulatory obligation to hold significant cash reserves.
Under this license, customer deposits up to £85,000 are also protected as part of the U.K. government’s deposit protection scheme.