Bento Africa, a Nigerian HR technology startup, has temporarily suspended operations following allegations of tax and pension irregularities, the resignation of its founder and CEO, Ebun Okubanjo, and a workforce dispute over unpaid salaries.
In an email to clients, Bento’s board of directors stated that the temporary shutdown is necessary to restore stability. The company also advised clients to pause payroll funding during this period but expressed optimism about resuming normal operations soon.
In January 2024, Bento laid off its 10-person engineering team after employees refused to work until they received their salaries for the month. Despite stepping down as CEO on January 30, Okubanjo informed staff on January 31 that salary payments would be “strategically delayed” to prioritize processing client payrolls.
As a result, employees halted operations due to financial hardship, effectively crippling Bento’s payroll services. Several clients reported on social media that Bento failed to process salary payments in the first week of February 2024.
Although the company had previously automated payroll disbursements, recent technical and financial difficulties forced it to switch to manual payment processing. Bento cited challenges with payment processors and reconciling underfunded accounts as key reasons for the disruption.
In a separate email to customers, Bento confirmed that it has since paid January salaries and reactivated key employees to clear pending payroll obligations. However, some customers are still experiencing delays in salary disbursement. The company has assured affected clients that refunds will be processed before the close of business on Tuesday for those whose salaries cannot be disbursed.
The CEO’s abrupt resignation, unresolved payroll processing challenges, and allegations of financial irregularities—including failure to remit tax and pension contributions—have cast doubt on Bento’s long-term stability. However, in its email, the board reassured customers that it remains confident in restoring normal operations soon.
As Bento Africa navigates this crisis, the outcome will determine its ability to regain trust and sustain its position in Nigeria’s HR tech space.
