FSU critical of new share scheme proposal for senior AIB executives
Issued : 4 March 2018
The Financial Services Union has criticised the proposal by AIB to initiate a share option scheme for senior executives.
Responding to the announcement General Secretary Larry Broderick said, “It is incredulous that while ordinary citizens are still paying the price of the financial crisis that senior bankers are proposing the return of share option and bonus schemes.
“Our experience clearly demonstrates that such schemes only serve to promote short-term thinking in the financial sector. They are not in the long-term interest of staff, customers or the community they serve.
“AIB front line staff have played an enormous role in turning around the fortunes of the bank. They have accepted pay freezes, significant changes to terms & conditions and only in recent years has FSU been able to deliver modest pay increases. The initial reaction among staff as senior management line up a share option scheme has been very negative.
“My understanding is that this proposal has to be approved by the Minister for Finance. I would urge Minister Donohue not to stand over a return to the devalued practices of the past and reject the AIB share option scheme.
FSU’s senior industrial relations official, Billy Barrett, said, “Instead of proposing share option schemes for top executives, AIB should engage with FSU on a new reward structure that includes all staff in the bank. The primary call on any resources should be the frontline staff who have made tremendous sacrifices to bring the bank back from the brink. We will engage constructively in discussions focused on this aim, rather than schemes designed solely for those at the very top.”