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UP TO 400 staff at the former Irish Banking Resolution Corporation will miss out on improved termination terms because they left the organisation too early.
A communication from Labour Relations Commission chief Kieran Mulvey to former staff at IBRC, seen by TheJournal.ie, confirms those who resigned or left the company will miss out on the deal.
It states:
The best proposal I could achieve is a termination payment for staff who see out their contracts with the Special Liquidator. On this basis, unfortunately, those staff who have left or resigned are not eligible for this payment.
Essentially, this means that unless a staff member at IBRC sees out their contract or is told by the liquidator they can leave, they will only be entitled to statutory redundancy and not the improved package negotiated by the LRC last month.
Many of those affected were among the lower-paid employees at IBRC.
‘A kick in the teeth’
A former member of staff, who was at Anglo before moving to IBRC, and spoke to TheJournal.ie on the condition of anonymity, said:
“It’s a kick in the teeth for those who had no option but to leave. We were on month-to-month contracts and we didn’t know if we were going to be retained. It was a no-brainer if a better offer came along.”
“Staff were offered zero incentive to stay, having previously made the decision to assist in the wind down only for the guarantee of a redundancy to be taken away mercilessly.”
Legal challenge
The reason for this, according to the IBOA, is because creditors of the IBRC could legally pursue payments made to those who left early.
IBOA said that Finance Minister Michael Noonan made clear that enhanced redundancy payments could not be made to these people because:
“This would leave open a potential legal challenge from creditors over the use of assets secured through the liquidation.”
The IBOA said that in this context, the deal that was struck is “a positive and welcome resolution for Union members who remain in IBCRC in Special Liquidation.”
Under the terms, staff at IBRC will receive payments of between €2,000 and €18,000 on a sliding scale, depending how long they were at the organisation, Irish Nationwide or Anglo Irish Bank the two bodies that were rolled together to make IBRC.
A source close to the negotiation process said: “It is incredibly unjust and hard on those who did not get it. It wasn’t the union’s position, but when a mediator says ‘this is the only situation I can achieve’, they have to put it to members to vote.”
Meanwhile, the fatcat bond holders were compensated fully. Didn’t happen though when ordinary working men and women were persuaded by Mary O Rourke to beg borrow or steal to buy shares in Eircom…..
You may be sure that the majority of the managers and higher level workers lost out on nothing . As usual Mulvey, an ex trade union leader, is a disgrace !
Bloody whingers they were happy when the bank was doing well.
They were happy when the bonuses were coming in.
Lucky to be getting anything should only be statutory and be glad of it.
Frankly, they suffer because they are playing golf with the wrong crowd
My heart bleeds
No bank in receipt of state funds should have been allowed to offer anything beyond statutory redundancy. Maybe not a reflection on the person but the company was dead. I await with interest to see where John Moran pops up now he has allowed recapitalisation of banks.
Staff who resigned not entitled to redundancy… Shock Horror
my dad got his mortgage from anglo when it was a fella in an office.he got €4000 to build the house in dublin, and in the height the house was worth €650,000. in walkinstown. mental stuff
But he built it in the rare old times yeah ?
Anglo Irish Bank never offered residential mortgages
rare old times is right mate. even in walkintown… the house is big and had an extension with utility room and jax. it really makes ye remember how crazy it all was
Maybe I’m Missing something, but if you leave a job for a better offer, even if the company you work for is in trouble, you are not entitled to any redundancy. How is this even an issue for reporting in the media????
I have no sympathy for Anglo staff they did a crap job building a busted bank, paid themselves well and the country was left holding a bill for their collective stupidity. Just suck it up the same as contractors who never got paid or small business that went bust. I shared a lift with a stupid girl who had worked for Anglo and she could see no connection with the loss of services in society and her former company’s bad business decisions
Comments closed for Seanie et pals court case-but open for actual current staff working 9-5 same as u-shame on you Journal
Good. Finally a little bit of justice. It appears the country is slowly releasing its head from its anoos
Maybe I’m Missing something, but if you leave a job for a better offer, especially if the company you work for is in trouble, you’re not entitled to reduntancy!!!!!!
“The reason for this, according to the IBOA, is because creditors of the IBRC could legally pursue payments made to those who left early.”
Excellent. They can go after Fitzpatrick then, biggest payout in one person right there.
The lapdogs for the leprechauns who ruined the country,let them starve,call it the Anglo famine.
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