Belfast Telegraph

Friday 22 August 2014

'Most AIB staff miss out on bonus'

The vast majority of Allied Irish Banks staff will not share 40 million euro of bonuses, union chiefs claim

The vast majority of Allied Irish Banks staff will not share in the controversial 40 million euro of bonuses, union chiefs have claimed.

The Irish Bank Officials Association (Iboa) said its frontline members faced abuse from angry customers over the pay-out, yet they were not benefiting.

Larry Broderick, Iboa general secretary, said: "An impression has been created in the minds of many members of the general public that ordinary bank officials in AIB have shared in a massive bonus bonanza - and once again branch staff throughout Ireland are bearing the brunt of further unjustified abuse and demeaning comments from various quarters. The vast majority of staff in AIB have not benefited from any such payments."

Finance Minister Brian Lenihan is to introduce a 90% tax on bonuses to senior bankers but the measure will not apply to the 40 million euro of bonuses for AIB executives which date back to 2008.

Mr Broderick said Iboa members in AIB were suffering from the "distorted" remuneration policies in the bank of the last decade, which he said placed emphasis on performance related wages over basic pay.

"These policies were introduced by the Bank's senior management - against the wishes of Iboa - on the basis of encouraging staff to meet short-term targets," he said.

The opposition branded the sudden announcement of the 90% levy on bonuses an attempt to appease vulnerable people hit hardest by the Budget 2011 welfare cuts, passed by the Dail on Thursday.

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