IBOA meets NI Assembly on 1st Trust
Issued : 19 May 2010
Business World
A delegation from finance sector union, the IBOA, today met the Finance Committee of the North's Assembly to outline members' fears about the implications of the proposed sale of AIB's First Trust Bank subsidiary.
Today's engagement is one of a series of information briefings being conducted by the IBOA in the Republic of Ireland, the North and Britain to alert public representatives to the increasing concerns about AIB's plans to dispose of its businesses in the UK and Northern Ireland and to scale-back its operations in the Republic. This lobbying activity is being accompanied by a series of members' meetings in all three jurisdictions.
Outlining some of the key concerns of First Trust Bank staff today, IBOA General Secretary Larry Broderick, said:
"First Trust Bank (FTB) and its predecessors have been a vital cog in the Northern Ireland economy for decades. Last month's announcement that the Board of AIB Group is proposing to sell FTB came as a major shock to businesses, customers and staff right across Northern Ireland. We are here today to brief the Finance Committee on the possible impact of any sale - both on bank employees and the wider economy. A strong healthy banking sector is vital for the functioning of the local economy and the promotion of enterprise.
"With the current depressed mark et, any sale of First Trust is likely to be for a fire-sale price. What could in fact emerge is the purchase of First Trust for a knockdown price by an institution not committed to economic growth or the local economy, but simply in servicing the current loan book. If the bank is not sold, and remains part of the AIB Group, it is likely to feature in any rationalisaton of the bank on the island as a whole which could see further job losses. Once again those at the lower end of the scale are being scapegoated for poor decision-making made at the very top.
