AIB redundancy package could cost €26m

AIB has agreed a voluntary redundancy package that will cut 250 staff in Britain and Ireland and cost the bank a reported €26m, according to a report in the Irish Times today.

According to the paper, AIB and the Irish Bank Officials' Association (IBOA) have agreed a voluntary redundancy deal for staff over 50 years at the end of next April.

The package will apply to 203 employees in the Republic, and 40 staff in First Trust in Northern Ireland and a number of Irish staff in its British operation.

The deal provides for a one-off payment of €17,000, the payment of a service-related lump sum of up to one year's salary and a €10,000 grant for children in full-time education to employees who opt for it.