A 24-hour strike at Bank of Ireland's information technology division due today has been postponed to allow its 300 staff to consider new proposals designed to allay concerns about job security.

The bank has brokered a contract with the international technology giant, Hewlett-Packard, to outsource the information technology functions carried out by the bank's ITSIS unit.

Following lengthy discussions between the IBOA, HP and Bank of Ireland, a number of the concerns were addressed and staff will be asked either to approve or reject them in a secret ballot.

IBOA general secretary Mr Larry Broderick said some progress had been made but further progress was required on key outstanding issues.

"In the interest of our members and customers, the IBOA has proposed deferring the 24-hour stoppage to enable us to carry out an exhaustive ballot of our members and for our negotiating team to seek further clarification on a number of outstanding and unresolved issues," he said.

Bank of Ireland said it was pleased the industrial action had been called off. "The welfare of all affected staff has been central to our discussions with possible outsourcing partners and we believe that the terms and conditions of transfer we have agreed with HP fully reflect that concern," it said in a statement.

The bank has confirmed that a guarantee of no compulsory redundancies will be offered for a period of two years from the date of transfer and it has also agreed to guarantee a further one year's salary in the event of compulsory redundancy.

Any redundancy pay will be equivalent to six weeks' pay for each year of service with a minimum of three-months' pay up to a maximum of two years.

Staff have also been offered €400 per year of service with a minimum of €3,500 in compensation for their transfer.

Staff at Cabinteely, Dublin, were considering the proposals last night.

The IBOA had been looking for members to be given guaranteed job security for the seven years of the HP contract.