IBRC employees vote in favour of termination payments package

Departing IBRC employees have voted to accept the recommendation from the independent mediator Kieran Mulvey on termination payments.

Staff at the former Anglo Irish Bank, which is to be wound down shortly, had expressed unhappiness with the severance package offered earlier this year and threatened possible industrial action.

This came after staff, many of whom had been with the bank for a number of years, were told they would only receive basic statutory redundancy after IBRC was liquidated in an all-night sitting of the Oireachtas in February 2013.

Employees are now set to get additional redundancy payments from a €5.5 million fund set aside by the special liquidators to the institution. The joint special liquidators, Kieran Wallace and Eamonn Richardson of KPMG, said a sum of money will be set aside to facilitate the provision of termination payments to certain IBRC employees who were employed on 7 February 2013, the date on which IBRC was placed into liquidation.

However, any employee earning in excess of €120,000 annually is not entitled to the additional payments.

Workers with less than 2 years’ service would receive a termination payment of €2,000. Workers with 2 to 10 years’ service would receive €15,000 while workers with over 10 years’ service would receive €18,000 as a termination payment.

These amounts would be paid to all staff made compulsorily redundant in addition to their statutory redundancy entitlement.

Staff voted to accept the revised payments offer on Wednesday.

IBOA general secretary Larry Broderick said some questions remain to be resolved with the mediator - including the arrangements for the distribution of the payments. However, he added the union was hopeful these outstanding issues would be addressed quickly.