Allied Irish Banks is to cut over 2,000 job after posting a record €10.4 billion net loss on continuing operations last year.
The bank’s loss increased from €2.3 billion in 2009.
In a statement released this morning, the bank – which is 93 per cent Government-owned – said costs must be lowered as business and market conditions remain challenging and the environment for operating income generation “remains difficult”.
“It is expected that a reduction of over 2,000 staff will take place on a phased basis over 2011 and 2012”, the bank said.
AIB Plans To Cut 2,000 Jobs After Record Loss (Irish Times)
PUBLIC servants will get compensation for any loss of earnings they suffer from work-practice changes under the deal.Croke Park
And it is not yet known how much the agreed one-off payments will cost the State.
The Irish Independent has learnt that the deal means the public servants will get a lump sum of 1.5 times what they would have otherwise earned in a normal year if their overtime, allowances or work practices had been left untouched.
A worker who lost €10,000 in annual earnings due to changes in work practices would be entitled to a once-off lump sum of €15,000.
State Staff Will Get Lump Sum Compensation For Loss Of Pay (Irish Independent)