1,800 banking jobs at risk

The banking sector is looking at outsourcing and consolidation as one of the key solutions to restructuring its Irish operations, with AIB, Danske Bank and Bank of Ireland all considering removing functions from Ireland according to the banking union, IBOA.

General secretary of the IBOA, Larry Broderick, said across the three banks Ireland could lose a further 1,800 jobs as certain functions move overseas.

“There could be up to 1,800 further jobs lost. These staff have already been through the restructuring process and are in a very vulnerable position,” he said.

AIB is considering outsourcing up to 1,000 jobs as it seeks to reduce costs. The bank is investigating whether it would be cost effective to outsource certain functions including IT.

A spokesperson said that outsourcing had always been considered as part of the bank’s restructuring.

“AIB has previously indicated that as part of its restructuring plan to reduce costs and increase efficiencies, outsourcing of certain functions would be considered in consultation with the IBOA and affected staff,” the spokesperson said.

The IBOA is also concerned that a review by Danske Bank of its remaining Irish operation could result in hundreds of jobs being moved to Latvia.

Bank of Ireland is also in ongoing negotiations to outsource further operations following moving its IT systems to IBM.