Stocks fall as banks reveal job cuts

SHARES in Bank of Ireland and in Irish Life and Permanent, which are planning massive job cuts, fell yesterday, while shares in AIB, which is recruiting 200 extra staff, rose.

Bank of Ireland chief executive Brian Goggin is expected to announce 2,000 job cuts today in a drive to deliver annual savings of €130 million in a rationalisation move that will cost the company €200m in restructuring costs.

And Irish Life and Permanent’s banking arm, Permanent tsb, has offered a voluntary early retirement package to its 100 branch managers as part of a wider restructuring programme, that could result in a reduction of up to 10% of its 2004 workforce. The bank’s restructuring moves this year are expected to cost €14m but deliver annual savings of €14m by 2006.