Four NTMA staff net €170k retention payout

The NTMA last night emerged as a third finance agency of the State to have agreed a “retention payment” scheme with staff.

The NTMA confirmed it has paid four members of staff retention payments totalling €170,000 this year.

Already, the Central Bank has confirmed it has paid staff around €234,176 in such retention payments since 2011 while Nama staff will receive retention payments from a €20m pot earmarked for voluntary redundancy severance packages.

No member of staff at Nama has received a retention payment or bonus payment this year or in 2014.

The retention payments at the Central Bank resulted in 92% of Unite members at the bank backing a vote of no confidence in management.

An NTMA spokesman last night confirmed that one member of staff received a retention payment of €60,000 last year, while this year three staff members received an aggregate €110,000 in retention payments.

NTMA key facts & figures for 2014 pic.twitter.com/ePv81w3imT

— NTMA (@NTMA_IE) July 23, 2015

The spokesman said the NTMA’s retention payments are “on a limited and exceptional basis in order to retain the expertise and experience of key staff in critical business areas”.

In a written Dáil reply to Fianna Fáil finance spokesman Michael McGrath, Finance Minister Michael Noonan confirmed that, between bonuses and retention payments, NTMA staff received €325,700 in the past two years, made up of €189,200 this year and €136,500 last year

In 2014 the NTMA made performance-related payments totalling €76,500 to 11 staff in respect of 2013; while in 2015, performance-related payments totalling €79,200 were made to 16 staff for 2014.

These bonus payments had been disclosed by NTMA in its 2014 and 2013 annual reports.

Mr Noonan confirmed that staff at 13 other agencies under his watch, including Revenue, the Comptroller and Auditor General, and the Financial Services Ombudsman, did not receive any bonuses or retention payments this year or last year.

In a separate Dáil reply to Mr McGrath, Mr Noonan outlined the rationale behind the retention payments to Nama staff.

He explained that the Nama redundancy programme will not exceed €20m and includes “a retention payment element which is designed to ensure that Nama retains key staff, and the expertise they hold, within the organisation for as long as they are needed”.

Mr Noonan said: “The ability of Nama to obtain the best-achievable financial return for the State is heavily dependent on its retention of expertise.

"That view has been strongly endorsed by the Nama board.

“Given that, I agreed with the Nama board in the context of Nama’s accelerated senior debt redemption target and its ancillary residential and commercial development funding activities, that a redundancy programme reflecting public sector norms and also comprising a retention payment element would be introduced to enable Nama retain key staff.”

Mr Noonan said: “The retention payment for individual staff is dependent on Nama achieving its targets and on satisfactory individual performance ratings and will only be paid in the year the staff member leaves the organisation.

“The overall cost of Nama’s redundancy programme of €20m should be read in the context of projected cash generation by Nama over its life of €40bn.“