© Reuters. FILE PHOTO: A locked door to a Silicon Valley Financial institution (SVB) location on Sand Hill Street is seen in Menlo Park, California, U.S. March 10, 2023. REUTERS/Jeffrey Dastin/File Picture
By Lananh Nguyen and Pete Schroeder
NEW YORK (Reuters) -Staff of Silicon Valley Financial institution have been provided 45 days of employment at 1.5 occasions their wage by the Federal Deposit Insurance coverage Corp, the regulator that took management of the collapsed lender on Friday, in response to an e mail to employees seen by Reuters.
Employees can be enrolled and given details about advantages over the weekend by the FDIC, and healthcare particulars can be offered by the previous dad or mum firm SVB Monetary Group, the FDIC wrote in an e mail late Friday entitled “Worker Retention.” SVB had a workforce of 8,528 on the finish of final yr.
Workers have been informed to proceed working remotely, aside from important employees and department workers.
The FDIC didn’t instantly reply to a request for remark.
Silicon Valley Financial institution imploded after depositors, involved concerning the lender’s well being, rushed to withdraw their deposits. The frenetic two-day run on the financial institution blindsided observers and shocked markets, wiping out greater than $100 billion in market worth for U.S. banks. SVB ranked because the sixteenth greatest financial institution within the U.S. on the finish of final yr, with about $209 billion in property and $175.4 billion in deposits.
The lender’s fundamental workplace in Santa Clara, California and all of its 17 branches in California and Massachusetts will reopen on Monday, the FDIC mentioned in an announcement Friday.