Bank staff accept Labour Court recommendations on AIB pensions

The Irish Bank Officials Association said yesterday that its members had AIB have accepted the recently issued recommendations from the Labour Court covering changes to pension arrangements, extended working hours, contractual pay, redeployment, transfers, outsourcing and future engagement.

Commenting on the results of the workers' ballot, IBOA general secretary, Larry Broderick, said: "Our members in AIB have accepted these recommendations on the basis that the commitments contained in the proposals are honoured by both AIB management and the Government.

“Even though our members in AIB have already made considerable sacrifices in recent years, the recommendations from the Labour Court and the independent mediator make even more significant demands. Nevertheless they have signalled in this ballot vote that they are prepared to rise to the challenge in order to assist in AIB’s recovery.”

These costs reductions are part of a wider move by AIB to reduce its overheads by €350 million. The bank was also under a direction from the Government to reduce its payroll costs by 6 to 10 per cent following the publication of the Mercer report on remuneration at banks with State shareholdings. The same direction was given to Bank of Ireland and Permanent TSB.

“I trust now that the Government will desist from any further opportunistic attacks on bank workers,” Mr Broderick said.