Wednesday 22 January 2020

Early retirement back on AIB agenda in plan for 2,000 job cuts

Getty Images
Getty Images

Laura Noonan

AIB is re-examining the possibility of including an 'early retirement' option in the bank's upcoming round of 2,000 redundancies, the Irish Bank Officials Association (IBOA) claimed last night.

Meanwhile, sources close to Bank of Ireland strongly denied reports that the bank would announce 1,000 redundancies at the end of the week, stressing that the bank hadn't even reached a deal with the Department of Finance on redundancy terms.

And IBOA chief Larry Broderick said AIB had not yet agreed terms with the department. Significant discussions remained around the issue of early retirement in particular.

"Early retirement is something we've always been looking for as part of a package," he said. "AIB has come back to us now and said they'll go to the department and explore options."

Mr Broderick stressed that any early retirement would also need approval of AIB's pension fund trustees, so it was "hard to see" how anything could be progressed imminently.

Bank of Ireland is 400 cuts into a programme to cut 750 jobs. At its recent full-year results, chief executive Richie Boucher refused to rule out further cuts.

Sources last night, however, rejected weekend reports that 1,000 job cuts would be announced later in the week. It is believed that BoI is not in a position to progress any job cuts because it has not yet agreed terms with the Department of Finance.

Mr Broderick said that staff at Irish Bank Resolution Corporation (formerly known as Anglo) would be "appalled" at the latest revelations about the bank's former management.

Reports this weekend showed that former chief David Drumm had likened himself to movie character Jerry Maguire and boasted "Show me the money" at a 2007 gathering of the bank's key management.

Irish Independent

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