Thursday, 17 April 2014

Questions (76)

Michael McGrath

Question:

76. Deputy Michael McGrath asked the Minister for Finance if he will provide details for each of the State supported banks, including Irish Bank Resolution Corporation in liquidation, of the number of employees with a remuneration package of between €100,000 and €150,000; a remuneration package of between €150,001 and €200,000; a remuneration package of between €200,001 and €300,000; a remuneration package of between €300,001 and €400,000; a remuneration package of more than €400,000; if any such employees have yet taken a reduction in their remuneration on foot of the Mercer report; and if he will make a statement on the matter. [18476/14]

View answer

Written answers (Question to Finance)

As the Deputy will be aware the Review of Remuneration Practices and Frameworks at the Covered Institutions (the "Mercer Report") was published by my Department on 12 March 2013. The following breakdown of total salary and remuneration appears on page 43 of that review.

 -

AIB

AIB

BOI

BOI

Number of staff

Salary

Remuneration

Salary

Remuneration

€300,000 - €399,999

7

11

20

34

€400,000 - €499,999

3

11

12

15

€500,000 or over

0

0

6

11

Note 1: There are differences in data methodology, timing and exchange rates which account for differences in the data presented here and that shown in responses to parliamentary questions. Data for PTSB and IBRC is not shown  for reasons of data protection. There is a whole host of additional disclosures in the report that give further detailed breakdowns of pay across the banks, in particular the chart on page 42 and the table on page 46 which shows a breakdown by institution by grade of the number of staff, their salary and total remuneration as follows -

 #

AIB

BoI(2),

IBRC

PTSB

Chief Executive

Number of employees

1

1

1

1(4)

#

Salary

€425,000

€623,000(3)

€500,000

€400,000

#

Total Remuneration

€488,800

€776,400

€683,600

€460,000

Senior Executives (1)

Number of employees

8

8

7

9

#

Salary

€327,200

€408,3003

€365,100

€209,300

#

Total Remuneration

€434,200

€517,400

€535,700

€269,600

Executives

Number of employees

118

103

46

20

 #

Salary

€174,800

€198,700

€184,100

€173,900

 #

Total Remuneration

€230,100

€251,800

€253,900

€220,100

Senior Manager / Manager

Number of employees

2,199

3,326

291

271

 #

Salary

€87,100

€76,800

€87,200

€83,000

 #

Total Remuneration

€108,300

€96,600

€115,600

€109,200

Assistant Manager / Senior Specialist

Number of employees

3,508

2,405

219

554

 #

Salary

€51,500

€49,800

€55,100

€52,700

 #

Total Remuneration

€62,300

€61,200

€61,900

€65,200

Senior Clerical / Specialist

Number of employees

1,584

3,617

237

518

 #

Salary

€44,100

€41,800

€40,400

€43,800

 #

Total Remuneration

€54,600

€49,900

€45,100

€54,900

Clerical

Number of employees

7,034

4,789

200

982

 #

Salary

€32,600

€29,600

€31,300

€30,000

 #

Total Remuneration

€37,300

€35,800

€34,500

€34,400

Notes:

1. The Leadership Team in AIB.

2. US employees are not included in the corporate grading structure and are therefore not included in this analysis.

3. Salary figures are net of a voluntary waiver where applicable.

4. 2012 Chief Executive data extracted from responses to recent Parliamentary Questions.

Since the Mercer Report was published further remuneration reductions have been targeted and implemented by the various banks particularly in the pensions area. At Bank of Ireland a circa. €400m gain was crystalised in the bank's balance sheet at year end, reflecting reduced benefits flowing from the bank's main pension fund. In addition the Deputy will be aware that current and former staff at ptsb have incurred the closure of their defined benefit pension scheme while at AIB the defined benefit pension scheme was closed to future accrual and staff agreed to various other measures including increased working hours.

Finally I have been advised by the Special Liquidators that there were a total of 978 employees in IBRC on the date of the Special Liquidation, 07 February 2013. Of these, 468 people remain employed and 10 of these are currently serving out their notice periods. The remaining 458 employees are currently scheduled to exit at various dates as the liquidation is completed. I am advised that the average salary of staff in IBRC (in Special Liquidation) has fallen to €72,000.

Since the Mercer report was published there have been no general salary increases at the Government supported banks while the payment of bonuses remains prohibited.