Saturday 17 March 2018

Send bills for late pay to BoI, public sector workers are told

Donal O'Donovan

Donal O'Donovan

Gardai, nurses and other public sector workers hit by delayed payment of their wages have been told to pass any financial costs back onto Bank of Ireland.

Yesterday, the bank was forced to apologise for the second time in a month after public service workers and pensioners were left without their pay yesterday.

Some nurses, gardai and postal workers - both working and retired - were left without their pay after problems at the bank led to a delay in processing some state salaries. Teachers and employees of Irish Rail and An Post were also affected.

The technical glitch, the second at Bank of Ireland in a matter of weeks to hit public sector workers, affected payments from the state to staff including whose accounts are with other banks.

It is not yet known how many people were affected in total,but it is believed to be fewer than the number whose pay was delayed at the end of July, again following a processing failure at the bank.

Yesterday's pay delay affected people who are paid fortnightly.

Last night, the bank insisted that all payments would be completed by the end of yesterday. "Other banks have now received any delayed payment originating from Bank of Ireland.

"Many of these payments have already processed and all credits will be in accounts by the end of today. The bank extends an apology to those who experienced a delay today," Bank of Ireland said in a statement.

This is the second time in a month that some public servants suffered delays in getting paid as a result of issues at Bank of Ireland.

Trade unions reacted angrily to the delays. "The Public Sector Executive Union (PSEU) have made - and will continue to make - representations on the unacceptability of this matter to the Department of Public Expenditure and Reform. They are considering what further action needs to be taken given the seriousness of this issue," the union said.

Sean Carabini the assistant general secretary of the PSEU said in a message to members of the union: "No state employee should incur any additional charges as a result of today's error. Should anyone find themselves in a situation whereby unexpected additional charges have been incurred as a result, Bank of Ireland have asked that they send details of the claim (including bank details and amount of claim) to"

At the start of August, Bank of Ireland's chief executive Richie Boucher said a problem that had affected thousands of public sector workers at that time was an "isolated incident" and had been fixed.

He insisted the bank had invested very heavily in technology and that its systems are robust.

Yesterday Labour Party TD Michael McCarthy told RTE that customers should consider moving their accounts if the bank failed to fix the problem permanently.

"We need an assurance from Bank of Ireland that this issue will be sorted promptly.

"If that's not the case, people should look elsewhere, if this situation was to deteriorate further," he said.

While the bank insisted that the latest so called glitch at Bank of Ireland is in hand, all such incidents raise fears of a repeat of the Ulster Bank outage two years ago that lasted weeks.

Irish Independent

Business Newsletter

Read the leading stories from the world of Business.

Also in Business