Central Bank governor Philip Lane facing unrest after staff endorse motion of no confidence

New Central Bank governor Philip Lane is facing mounting unrest among the bank’s workforce just a week into his tenure after staff overwhelmingly endorsed a motion of no confidence in the bank’s senior management. 

More than 90% of Unite members balloted voted in favour of the motion following revelations of what the union describes as secret bonus payments made to a small cohort of staff.

Central Bank staff are understood to be seeking a meeting with the governor to discuss their concerns.

Unite members are also looking for access to the legal information on which the bank relied when introducing the payments schemes.

A spokesperson for the Central Bank confirmed that Mr Lane had received a letter from the union and called on Unite to engage in “agreed industrial relations procedures”.

The union took the decision to table the no confidence motion in the Central Bank’s senior staff after a second so-called retention payment scheme came to light last week.

The scheme, which was in operation between 2011 and 2014, followed confirmation from the Central Bank the previous week that 29 staff had received top-up payments worth more than 20% of their salaries in a scheme introduced last year.

More than €230,000 has been paid out under both schemes.

The bank said the payments introduced last year did not have an end date and would cost no more than €501,000.

“Unite members are committed to ensuring that the Central Bank, which is charged with oversight of the banking sector as a whole, conforms to the highest standards of transparency and probity.

"The fact that, in the ballot which concluded yesterday, fewer than one in 10 Unite members at the Central Bank voting expressed confidence in members of senior management who promoted these bonus schemes is an indication of the concern our members feel, and our determination that a culture of clandestine payments and misinformation should not become the norm in an institution as crucial to public life as the Central Bank,” said Colm Quinlan of Unite regional office.

Former Trinity College economics professor, Mr Lane assumed his role as head of the Central Bank last Thursday beating the likes of Department of Public Expenditure secretary general Robert Watt to the top job.

Unite represents a large proportion of Central Bank staff and most long-serving staff members.