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STATE-OWNED Permanent TSB is to lay off around 250 staff, after confirming plans to close 16 of its branches as part of an internal reorganisation.
The bank, which was taken into full State ownership in March 2011 through the recapitalisation of Irish Life & Permanent, said its plans were intended to create “a smaller, profitable ‘new’ Permanent TSB bank by 2016″.
The bank will lose the equivalent of 250 full-time staff, meaning the number of personnel actually cut could be higher than this if the redundancies include staff currently sharing part-time roles.
Permanent TSB said it would launch a voluntary severance scheme where employees would offered three weeks’ pay per year of service, on top of their statutory entitlements.
Between 120 and 150 of the jobs are to be lots in the downsizing of the branch network – where 16 of the bank’s 92 branches will close, while another two will become self-service-only – with the remainder being cut from head office.
The bank said one of the four branches it operates in Dublin city centre – which currently includes four branches, at St Stephen’s Green, Grafton St, O’Connell St and Henry St – will be shut.
The bank said, however, that it would invest heavily in another one of its central Dublin branches in order to create a “flagship” central Dublin branch.
Overall the bank said it hoped to cut its operating costs by about 10 per cent through the measures, which will also see a reorganisation of the bank’s main functions so that CHL, its UK mortgage business will be a separate entity from a management point of view.
Chief executive Jeremy Masding said the objective of the internal reorganisation was “to secure a viable future for a core banking business” while also trying to minimise losses from the bank’s loan book.
“We face significant challenges, however we are very confident about our future prospects once this restructuring plan has been implemented,” Masding said.
The plans have been approved by the EU-IMF Troika after being submitted to the European Commission in what the bank said was a “detailed viability plan”.
The Unite trade union, which represents a majority of the workers in the bank, said it would meet with staff in the coming weeks to discuss the plans.
National Co-ordinator Walter Cullen said there was a “significant job of work needed in order to win the confidence of staff”.
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While we all moan about the banks I do feel sad for the staff getting the bullet.
Agreed, this certainly does suck big time for any of the lower level front line staff how didn’t get all the big bonus’s that people constantly complain about.
Goes to show exactly how much value our banks leave on their Irish customers.
In for the long haul????
Rubbish.
Vultures!
once again frontline staff pay the price for the treason, stupidity and greed of there bosses in the banks, and of course the government are on hols so no donkey minister to come out promising to help these people.
Problem is if people want banks and stuff to takes hits and close up shop then the front line staff are going to take then hit also, people can’t get what they want and still expect front line staff to be expected.,
If a bank has to take a hit then its going to be in trouble and its logically going to closes premises,
As a customer, permanent tsb is one of the best banks in Ireland at the moment then other banks we have. So I am sad to hear that their closing 16 branches.
Only another 250 joining the ever lengthening dole queues, probably 99% the lowly paid frontline desk staff. It’s never the ones who cause the issue in the first place, Middle & Senior management…!!!
A big shame for people let go….it’s skeleton crew in most branches as it is….
Crazy considering what perks senior management get. Gym membership, full paid maternity leave for a year, 2/3 of your final salary as your yearly pension. E.g final salary is 99000, your pension when you retire is 66000 a year until you die. Etc etc.. I accept that these are the perks of another bank but I’m sure TSB have ridiculous perks like this for senior management
Anybody know which branches are getting the axe?what about Stephens green HQ?
Is their a list of the branches that are closing.?
How does forming new separate management for CHL cut costs?
have your say