Dáil Éireann Debate, Wednesday - 4 February 2015
31. Deputy Paul Murphy asked the Minister for Finance the consultations he or his Department has had with AIB management concerning the recently announced intention to outsource jobs and other industrial relations issues notably reform of the pension scheme and upcoming pay discussions; his views on the industrial relations climate in the AIB group; and if he will make a statement on the matter. [4696/15]
View answerAs the Deputy will be aware under the Relationship Frameworks the State does not intervene in the day to day operations of the banks or their management decisions regarding commercial matters and hence any discussions around outsourcing, pension reform etc. are a matter for the bank, the staff and their union representatives. Notwithstanding this position, my officials do obviously take an active interest in how the bank's cost base evolves to ensure that the State's interest as shareholder are protected and to ensure that the Government's remuneration policy is enforced.
The bank has previously indicated that as part of its restructuring plan to reduce costs and increase efficiencies, outsourcing of certain functions would be considered in consultation with unions and affected staff. I have also been informed by the bank that there have been no compulsory redundancies as a result of its recent outsourcing activities. Any staff who transfer under outsourcing arrangements transfer under the TUPE regulations.
As regards the current industrial relations climate in AIB, I hold no particular views on the matter though would reiterate that I am pleased with the progress that the bank has made in returning to profitability which is down to the good work performed by both the staff and management in recent times. As always I would encourage both sides to work together to resolve any difficulties that might arise, such that AIB can continue to prosper and repay the taxpayer for their substantial support.
