Union leaders are considering asking their members to boycott Bank of Ireland if the bank proceeds with the introduction of a new pension scheme.
Bank of Ireland recently introduced a different pension arrangement for newly-appointed staff which unions say is considerably weaker than the defined benefit scheme in place for existing workers.
Bank of Ireland recently introduced a different pension arrangement for newly-appointed staff
Speaking this morning, the bank's corporate affairs manager Dan Loughrey said "our calculations show that the new pension can give people the same level of benefits on retirement as the current pension and we have made these calculations clear to the trade unions."
He said the bank was introducing new pensions arrangements for new employees from the first of October. However, he accepted that while the new pensions "could have the same level of benefit", it is also possible that the new pensions can produce a lower level of benefit.
Mr Loughrey said the changes were being made in the context of everyone changing their pension schemes.
Union resistance to the bank's proposal solidified at an Irish Congress of Trade Union meeting yesterday. This morning, Joe O'Flynn, Siptu general secretary, said the union would consider asking its members and their families to close any accounts held with Bank of Ireland, if it proceeds with changes to its pensions.
He said there was unanimous agreement at congress to oppose the move, meaning that, potentially, up to 700,000 workers and their families could become involved in any action.
Mr O'Flynn added that any decision on a boycott of the bank could be taken by the executive council and would not require a ballot of all members.
