Comment on the Labour Court's Recommendation on the December Payment in Irish Nationwide
Issued : 3 August 2011
IBOA The Finance Union has expressed major disappointment with the Labour Court's recommendation that the December payment for ordinary staff in the former Irish Nationwide Building Society should not be paid.
It is more than a little ironic that we should receive news of the Labour Court's finding on the same day that the behaviour of the former Chief Executive of the Society has once again made headline news in the media.
The difference between Mr. Fingleton and the rank-and-file staff of the Society could not be more stark. Although it is generally acknowledged that the former Chief Executive and some of his senior executives were primarily responsible for the collapse of Irish Nationwide, they have so far escaped relatively unscathed.
The ordinary staff, who joined IBOA following Mr. Fingleton's resignation, bear no responsibility for the disastrous policies pursued by the former management - but they are paying the penalty in terms of job losses and the ongoing withholding of the December payment which had previously been paid annually for over thirty years.
Equivalent to two weeks' pay, this payment was a small seasonal boost to staff who typically earn between €22,000 and €30,000 a year. They are not fat cats. This is not a lavish bankers' bonus. It was a modest award for staff on very modest salaries.
The Union will consider the Labour Court's recommendation carefully and consult with our members over the coming days to determine our response. With Irish Nationwide's former CEO still thumbing his nose at the Anglo Irish Board which now has responsibility for the Society's affairs, the prevailing feeling among staff is one of frustration and discontent.
So under these circumstances, it would not be surprising if our members decided to withhold co-operation with the restructuring of the INBS business with Anglo as part of the new IBRC institution. However, we will not prejudge their response until we have had an opportunity for full consultations with our members.
