Royal Bank of Scotland’s personnel policies are dominant

An independent chairman has issued a set of recommendations dealing with the transposition of personnel policies from the Royal Bank of Scotland (RBS) into Ulster Bank and First Active, both of which were taken over by RBS in 2003.

The recommendations, which will impact mainly on 4,000 members of the Irish Bank Officials Association (IBOA) deal with a range of key personnel issues such as discipline and grievance; sickness/absence; attendance; and performance. Other key areas include maternity leave/pay and what is known as 'post probation pay'. A smaller number of members of the Services Industrial Professional & Technical Union (SIPTU) are involved.

The independent chairman, Mr Kieran Mulvey, who is also chief executive of the Labour Relations Commission, stated in his findings that the Royal Bank of Scotland (RBS) was attempting to introduce the Group’s personnel policies in the Ulster Bank Group and First Active plc. His findings recognize that balance of power within the organisation has shifted towards RBS and that the pattern and shape of HR policies will now be set by RBS.

The unions have secured significant gains in regard to maternity benefit - up from 14 to 18 weeks - and in respect of back pay for probationary staff. IBOA general secretary, Larry Broderick, 'very much' welcomed Mr Mulvey's overall recommendation, 'as it brings to closure a number of key outstanding industrial issues between IBOA and Ulster Bank…by using the principles of the Co-operative Agreement between the Bank and Union we have overcome what were regarded as insurmountable obstacles'.

A partnership-based Co-operative Agreement, which was signed by Ulster and IBOA in 2003, which was also chaired by Kieran Mulvey, signalled a significant improvement in relations between the finance union and Ulster Bank at the time. Mr Mulvey has since acted as an independent chairman on issues such pensions, severance and outsourcing, establishing a working relationship with management and unions.

Mr Mulvey said the Group is prepared to consider a one year trial period 'to assess their effectiveness and the applicability of the policies and make any minor adjustments as may be appropriate after such a trial period'.

The unions told Mr Mulvey that they recognised that the RBS Group 'are seeking to develop a certain degree of consistency in the application of major elements of its human resource policies across the Group’s operations in Ulster Bank and First Active'.

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