Around 1,000 jobs were threatened today as Bank of Ireland revealed it will sell off a number of its subsidiaries.
The lender said it will seek buyers for its New Ireland Assurance Company and the mortgage company ICS Building Society.
Under EU competition rules, Bank of Ireland has been forced to sell off some of its assets in return for the recent massive taxpayer bailouts.
Trade union Unite, which represents 750 of the 1,000 workers at Bank of Ireland Life, New Ireland Assurance and ICS, said it will work with any new owner to safeguard jobs.
“This announcement is not the first tremor to hit Irish bank workers and it will not be the last,” said Unite regional officer Colm Quinlan.
“We will engage with existing and potential new owners of these important financial institutions to ensure an efficient recovery of confidence in the sector while protecting the terms and conditions of employment of those workers whose energy will be the foundation of that recovery.”
The lender is also intending to sell its Bank of Ireland Asset Management division, its US foreign exchange business FCE, its stakes in asset management firm Paul Capital and the Irish Credit Bureau.
The bank said it expects a decision on the proposed measures, including the final terms of an EU restructuring plan, from the European Commission by mid-2010.
“Therefore, at this stage, there can be no certainty as to the outcome of the State aid proceedings and the content of the final EU Restructuring Plan,” a spokeswoman said.