The Federal Deposit Insurance Corporation (FDIC) has given Silicon Valley Bank employees 45 days of work at 1.5 times their salaries, according to an email seen by Reuters.
On March 10, the FDIC assumed control of the bank. Over the weekend, they would tell employees about their benefits. SVB Financial Group, the former parent firm, will supply information on healthcare.
The 8,528-person SVB Financial Group workforce was instructed to continue working remotely, with the exception of critical personnel and branch employees. In its “Employee Retention” communication to staff, the FDIC said that enrollment would be automatic for those who wished to remain.
Clients of the bankrupt lender, however, are now forced to take immediate action. Deposits at the bank are not nearly entirely federally insured.
Companies who have implemented a RIF have informed their employees that they would not be working there on Monday. They might rehire them, but they must move quickly if it takes three to six months to receive your money, Matt Cohen, the founder of venture capital firm Ripple Ventures, told the Financial Times.
