AIB ‘rips heart out of EBS’ with 200 job cuts

EBS is set to shed a further 200 jobs, with the news coming a day after staff at its parent company AIB’s Northern Ireland operation First Trust Bank won a £2m (€2.3m) payout in bonuses and pay rises.

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Unite trade union accused AIB of “ripping the heart out of what was once an institution of the people”.

Unite regional officer Colm Quinlan said AIB is pressing ahead with cutting staff numbers with no regard to customer needs.

“They are pressing ahead though with savage cuts that will end the relationship it has with customers, many of whom are having to deal with distressed mortgages and are reliant on the human contact that drew them to the EBS in the first place,” Mr Quinlan said.

An AIB spokesperson said it announced the planned staff cuts as part of €200m cost-cutting measures.

“The voluntary severance scheme has been ongoing since the announcement and rolled out on a phased basis, according to business needs and capacity. As part of this phased programme across the group, some EBS staff are now in scope to apply for voluntary severance,” the spokesperson said.

Across the border, there was a different outcome for staff as Chief Justice Declan Morgan found the bank’s distressed state did not give it the right to cancel contractual bonuses.

“To give such a wide power to the bank in circumstances where a bonus was intended to be such an important element of remuneration available to employees, seems contrary to every aspect of the documents before us,” he said.

The ruling is expected to lead to 600 clerical staff each receiving an average of £3,000 (€3,500) in back pay.