Bank of Ireland has agreed a 4 per cent increase for staff for 2025 with the Financial Services Union (FSU), matching a deal struck in November by its main rival, AIB.
The bank also informed staff on Thursday they will learn about discretionary bonuses around the time it reports full-year results on February 24th.
Union representatives remain in negotiations with PTSB, the third remaining domestic retail bank, on a fresh pay deal.
Bank of Ireland has also increased entry-level salaries in the Republic to €29,000 from €28,000 under the new accord, which remains subject to a staff ballot.
“The [pay] agreement follows intense local engagement over the last number of months including positive engagement from the Workplace Relations Commission,” said Shaeleen Martin, industrial relations organiser with the FSU.
“Our members were clear throughout the process they wanted to see a pay increase that would reflect their hard work throughout the year.”
Matt Elliott, chief people officer at Bank of Ireland, said it was pleased to be able to provide employees with clarity on pay for 2025, now subject to acceptance through ballot.
“As a leading employer in Ireland with a strong international presence, we are committed to providing competitive rewards and benefits, as well as positive career development opportunities for all our colleagues throughout the group,” he said.
Workers in Bank of Ireland received a maximum of 5 per cent of their salary in bonuses early last year as the lender returned to making performance-related payment for the first time in 16 years.
This followed an easing of remuneration rules across bailed-out banks by the government to allow for bonuses of as much as 10 per cent of salary, capped at €20,000.
Awards under the performance scheme depends on three key factors. Business performance, how the bank is “delivering for all of [its] stakeholders”, and the management of risk, according to the lender.
Bank of Ireland’s scheme will allow for maximum bonuses in line with Government limits. AIB, on the other hand, has capped its programme at 5 per cent of an individual’s salary, or a monetary limit of €12,700.
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