EMCC European Monitoring Centre on Change

Allied Irish Banks (AIB)

Company/Organisation:
Allied Irish Banks (AIB)

Geographic Location

Country: European Union
Location of affected unit(s): Irish Republic and UK

Company

Sector: Financial services
Financial and insurance activities
64.1 - Monetary intermediation
Number Employed: 13200

Employment Effects

Announcement Date: 08-03-2012
Planned Job Reductions min: 2500
Planned Job Reductions max: 2500
Type of Restructuring: Internal restructuring
Employment Effect Start: 01-04-2012

Additional Information

Allied Irish Banks (AIB), a Dublin-headquartered bank and financial service provider, plans to cut 2,500 jobs across its UK and Irish Republic workforce. This represents around 19 per cent of the group's workforce. It is expected that at least half of the job losses will occur this year.

The restructuring takes place with the intention of saving 170 million Euros in staffing costs.

A consultation process has begun with unions about the terms of severance. The bank hopes to achieve the cuts through voluntary redundancies, but other options will be considered if the desired savings cannot be made this way.

In early 2011, the bank had announced to cut 2,000 jobs in Ireland alone (see here).