Banking workers welcome recapitalisation

BANKING workers have welcomed the Government decision to invest up to €10 billion in the recapitalisation of the six Irish financial institutions.

However, finance union IBOA wants assurances from the Department of Finance that it will not allow private equity funds to play a role in the future of Irish banking.

IBOA general secretary Larry Broderick said the union had been calling on the minister for some time to give a recapitalisation commitment in order to bring greater certainty to an increasingly volatile and irrational market in bank shares. “Although the minister’s announcement offers greater certainty, we still need greater clarity as to his overall vision for the future of Irish banking. We, therefore, urge the minister to consult with all of the stakeholders in the Irish financial services sector — the traditional shareholder base and the employees who will be essential to ensuring the necessary changes in the culture of banking.”