Ulster Bank staff consider strike

Ulster Bank: A pawn in a larger takeover game

Staff at the Ulster Bank have voted in favour of a union plan for strike action because of fears over their jobs, pay and conditions.

The Irish Bank Officials' Association held a ballot of workers over possible strike action because of fears that the bank may be planning compulsory redundancies.

The IBOA also fears that staff may be required to reapply for regraded jobs involving slashes in salaries of thousands of pounds, as part of a restructuring programme.

Following its takeover - along with its parent bank National Westminster - by the Royal Bank of Scotland last year, the Ulster Bank announced what it called its change programme designed to make the bank more competitive.

The negotiations with the IBOA that followed have been heated.

Before Christmas the IBOA balloted staff over possible industrial action.

In the ballot, 81% of the 1,200 IBOA members who voted were in favour of industrial action, if the bank proposed to push through wage cuts or compulsory redundancies. The IBOA has 1,500 members at the bank.

The cross-border bank has 117 branches in the Irish Republic and 94 in Northern Ireland. In the Irish Republic 95% of staff have already backed action.

'Unrepresentative'

But Ulster Bank's management rejected the outcome of the Northern Ireland ballot.

It said the result did not represent a true majority of its 2,300 staff.

The bank's management also said the ballot was based on "unfounded allegations" by the IBOA.

It denied the claims it has plans to impose compulsory redundancies or unilaterally implement new terms and conditions.

Chief Executive of Ulster Bank Group, Martin Wilson said: "It is wrong of the IBOA to claim that a majority of those who voted is actually a majority of bank staff.

"In fact the IBOA's own figures demonstrate that only 42% of all Northern Ireland staff voted for strike action.

"As a result I am calling on the IBOA to set aside the current ballot in favour of waiting on the recommendations of the independent tribunal which I am convinced will provide the best solution to the current dispute.

'Marketplace alignment'

Martin Wilson added: "The IBOA called the strike ballot based on two unfounded allegations, firstly that the Bank had a compulsory redundancy plan and secondly that we intended to unilaterally implement new terms and conditions ahead of the tribunal recommendations.

"Essentially this ballot was called to stop the Bank doing something we have consistently said we had no plans to do."

However, speaking on BBC Radio Ulster, Tom Reed, director of Change Management with the Ulster Bank, said that while the bank was "involved in a growth strategy to increase our staff, not reduce numbers," more than 300 staff had already expressed an interest in accepting voluntary redundancy packages.

He added that while the bank would await the outcome of the tribunal it did intend to "align salaries with what is currently being paid in the marketplace".

'Precautionary measure'

The IBOA has said it has no plans for strike action unless the bank attempts to force through its proposals.

Larry Broderick of the IBOA said: "Any action will only take place if unjustified reductions to salaries and compulsory redundancies are imposed on staff."

But he called on Ulster Bank's management to honour existing agreements in respect of both salaries and no compulsory redundancies and urged the bank "in the interests of staff and customers to avoid the need for industrial action".

"The IBOA is happy to sit down and negotiate change with Ulster Bank on existing agreements, however we are very concerned at attempts by the bank to proceed, irrespective of ongoing arbitration, with new managerial appointments and the implementation of restructuring plans," he said.

Mr Broderick added: "Given that independent tribunals are considering the issue in dispute, I call on the bank to defer implementation, pending on the outcome of Tribunal decisions in both Northern Ireland and the Republic of Ireland.

"Our position is very clear, this ballot is a purely precautionary measure to best protect the interests of staff and demonstrate to management how seriously angered and dissatisfied Ulster Bank staff feel."

The Irish Congress of Trade Unions backed the Ulster Bank staff and accused management of "a complete breach of good industrial relations practice".

The union added: "We are appalled that an employer, especially a high-profile bank as Ulster Bank is, should attempt to make staff resign and reapply for positions in the way proposed."

Both the IBOA and the bank have said they will wait for the outcome of an independent tribunal which is considering the bank's restructuring plan.

Its ruling is expected soon.