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Dublin: 16 °C Monday 20 May, 2013

EBS cancels Christmas payments for staff

Staff are balloting for strike action after the building society said there would be no traditional Christmas payment for employees. The payment has been made every year for the past 45 years.

Image: Sasko Lazarov/Photocall Ireland

STAFF AT EBS are to ballot for strike action after being told they will not receive their traditional Christmas payment this year.

There were angry scenes at the company’s head office in Dublin today when staff were told that their Christmas payment had been stopped with no notice.

The payment, a ’13th month’ amount, equivalent to one month’s salary, was due to be included in pay packets this week. The provision is specified in employees’ contracts.

The payment has been made every year for the past 45 years.

It is not performance-related but is an annual payment paid at the end of each year.

The building society is instead offering staff interest-free loans worth a month’s salary.

“They claim the payment is a bonus but that was never the case,” said UNITE Regional Officer Colm Quinlan. “Management have sorted themselves out and left staff in the freezing cold in the week before Christmas”.

Even Scrooge would not have stooped as low as this.

UNITE trade union said that the non-payment of the December wage only applied to staff at or below assistant manager grades, who earn on average around €30,000.

However the company disputes this, saying that no bonuses of any kind of been paid to management since 2008.

EBS also said that it regretted “the timing of the communication”.

370 people will be affected by the non-payment of the bonus amount, according to the building society.

The company says the payment was stopped by a combination of AIB and the Department of Finance.

EBS was merged into AIB in July of this year. The government owns the vast majority of AIB and has forbidden bonus payments of any kind to staff.

Balloting for industrial action by staff is expected to be completed by next Tuesday.

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Comments (119 Comments)

  • I cannot stand this attitude of “welcome to the real world” “no sympathy” “What did they expect” etc etc etc Why are we so quick to attack one another, it is crazy! Just because people have jobs and get a salary does not mean they should be walked over by their companies, and again to re-iterate what others have said these are normal bank staff, not the big players earning a fortune, instead of attacking them we should all be more supportive, but that is hardly going to happen, people in private sector will have comments about public sector, people in public sector will have comments on private sector, people out of work will begrudge people working, etc etc etc

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  • Mary M 08/12/11 #

    Thanks journal.ie for finally changing that inflammatory headline from bonus to what this issue is actually about – payment (of salary I might add)

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  • How are some people not getting it…. read the facts and stop jumping on the bandwagon.
    These people are loosing a lot of their wages, stop delighting in their misfortune.
    If their wages are 30k a year they get it divided by 13 which is 2307 per month but they only get paid this for 12 months which is 27692 which leaves over 2300 that they are owed…. simple!!!
    I hope they get what they are owed.

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  • Join the club….. Bonuses i remember those days.

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    • From what other media are stating, it’s not a bonus? It’s seems its a way for staff to put part of their normal monthly salary aside and get it back before Christmas. If that’s the case – its actually theft. But don’t let that stop the austerity Rottweilers below.

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    • Exactly Donncha, Although this is being reported as a bonus it IS NOT! the staff at EBS put aside a portion of their wages each month during the year which is then paid to them before Christmas, it is essentially a savings scheme ‘ the 13th month’. Management have decided not to pay staff their ‘savings’.

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  • I completely agree with bonuses not being paid, however this is a deferred payment and part of a contracted salary. If we the public don’t support each other and say contracts are null and void then where does this leave the rest of us. The people most likely to be affected by this are the front line staff who have been dealing with the public disgust of how the banking system has been handled and those responsible since the actual banking disaster. I would like someone to explain to me how the EBS CEO recently exceeded the salary cap and how Enda Kenny recommended a salary increase of 32k to his friend! These are the people our anger should be levelled at and not the lay person on the front line who also has financial commitments and experiencing the same financial difficulties as the rest of us especially at this time of year

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  • Dreadful timing for staff and I do feel sorry for them given the shitty notice period but a 13th month’s salary for a non-target related bonus??!!! Jesus wept. That had to go sooner or later.

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    • It seems like it was part of the staff’s normal pay. Salary in 13 parts. The management have to reverse the decision to impose what is effectively an 8% cut without consultation. I hope their is no strike but the management have a lot to answer for.

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  • I have no love for the financial institutions of Ireland but people need start remembering that there are human beings working there. I feel very sorry for the sorry for the staff that have probably come to rely on this payment to see them through Christmas. If EBS were going to change their payment practice staff should have been informed of this months ago to give them time to readjust for December.

    Well done to all of the rank-and-file EBS staff that have come here to explain the exact situation to a bunch of people (I would include myself here) that just read the story they’re fed and believe the headlines. I hope you fight for your rightful payment and I hope you win.

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  • It is unfortunate for the frontline staff who are having to put up with a lot at the moment, I know there is little sympathy for them, but they are just front line workers line anyone else. It’s the management and directors I have a problem with. I hope the cancellation of bonuses applies to them shower of w…..bankers.

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    • exactly it affects people who are on low salaries and not the decision makes of the company – they have looked after themselves and protected themselves and will still get their pay…

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  • I would encourage anyone coming on here to read previous comments rather than making stupid and un-informed rants on here.
    Staff worked for this pay, they took less pay each month so they would have this pay come in before Christmas. No one would be happy about this.
    Please also note that headline of this article contained word bonus which is now changed to payments…company management will be giving information to the media and using words like “bonus” will create a negative reaction among the public and i feel this is being done to show staff lack of support amongst the general public should strike go ahead…so don’t fall for it there are good explanations on here as to what’s going on and what this pay is…

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  • Its owned by AIB which is owned by the state… Would be a bit rich to pay bonuses from failed banks.

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  • People who are putting in so called negative comments are going by the headline of this article “EBS will not be paying Christmas bonus ” so it’s up to the staff to put the record straight , when most people who read this article what do you expect them to say .

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  • The regular workers should get their bonsues, the criminals at the top should be locked up.

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  • Clearly if its salary that’s paid over 13 month’s it’s not a bonus! and no one seems to have noticed managers are still going to be paid this way. none of their children will be going without presents this Christmas

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  • Jmc 07/12/11 #

    Those 370 staff were due to get their wages this Friday for Christmas and were told on Tuesday they weren’t getting it . Don’t be so fecking negative towards ordinary bank staff

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  • SiPod 07/12/11 #

    This is completely wrong. To be told just before christmas shows the people involved lack humanity. People were relying on that money for Christmas presents for their kids etc. It goes to show what the people in power in this country thinks of the person on the street. What a shocker the management in this story have kept their bonus. It’s funny how the people in power get looked after time and time again while the ordinary worker on below average wages gets screwed over.

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  • My wife works for primark and they pay the exact same way. They calculate her pay every 4 weeks so she gets 13 pay packs. Think it’s a disgrace and the headline does mislead the actual story. Not sure ebs can give interest free loans as this product would then have to become available to customers. Ie they can no longer treat staff better than a customer with cheaper products

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  • EBS staff are not looking for sympathy in any way shape or form. Just a payment of salary contractually promised to them. This amounts to an immediate 8% pay cut, on top of a 5% cut already suffered, two weeks before Christmas… Would you accept that??

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  • It’s not a bonus. It’s salary paid over 13 months. Two months paid in Dec. So effectively it’s a pay cut for EBS staff and it’s disgusting that they are doing this to their least paid staff!

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  • @Frank , You do know that Bank Staff & their families pay tax aswell don’t you? Your talking like they are exempt!
    This anger should not be aimed at the bank staff, If things like this are let happen then what’s next, who’s next to be targeted, Who’s employer will jump on the band wagon?? I hope for your sake it won’t be yours.

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  • Ridiculous. Some of you are not listening!!! It sounds as if the staff have agreed to take a 12 month pay cut so they sort of build up the double pay, (13th) month so that they can have a lump sum at Christmas. I would willingly take less pay per month knowing at Christmas I was receiving money that would completely take the stress off Xmas. They’ve earned it. Haters out there begrudging people who have jobs…they are not moaning for their freebies…they are demanding what they’ve already earned and sacrificed the rest of the year for! Good luck on the strike. I’m behind you!!

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  • And you guys at EBS are looking for sympathy?

    None here.

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    • Fair enough after everything banking owes this country however this is appalling double standards and bad management once again. Tell staff 2 weeks before Xmas? And continue to pay it to the managers? Disgraceful. More evidence that the privileged classes can piss on the rest of us at will.

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  • Saaaavage profile pic Anita!

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  • Its the staffs wages. They are paid over a 13 month period and the company is probably using this method to reduce its pension contributions to workers by paying them for 12 months. When considering its not affecting management its low. The staff are just pawns in the big picture and with the merger with AIB next year (EBS and AIB staff) will be made redundant, There is no point in blaming the staff for what happened in the sector as no power. I think the CEO got a bonus a few months ago. I may be wrong but if correct totally double standards. The fact someone is in a job or not is irrelevent as all workers deserve to be treated with respect and not like this. AIB are saying the Dept of Finance are saying this has to be done and we know how much the DOF screw things up and no one gets fired there and still living in Croke Park la la land.

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  • Does anyone find it odd that a bank still thinks it’s appropriate to grant preferential loans to those associated with it (especially when it knows their ability to repay has been reduced by a 13th)?

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  • How much revenue would have been earned by the government had the staff have been paid their full contractual salary? Instead of this unearned tax going back into the system it’s now sitting most likely in an EBS account earning more money to provide for the managements bonuses.
    Note I said Managements Bonuses !! & staffs Salaries!
    The staff are being robbed of money that they have worked for through out the year. While yet again the senior people, like in every other organisation feel no pain.
    Make the rich richer & the poor poorer.

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  • I’m not a fan of financial institutions but I’m even less of a fan of the sensationalist, deceptive headline on this thread. It’s pretty sick that the workers are essentially getting screwed for a months wages. Hopefully they have some sort of defence for this and get what they’re owed.

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  • Your earlier headline was “EBS will not be paying christmas bonus to staff” correct me if I’m wrong !

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  • Its not a BONUS as its called….For the 5 week months staff get no extra pay and get payed in lump sum first week of december its more of a saving scheme and not a bonus…they have decided to stop it this year and are using the wording thats in staff contracts as a reason to get out…The people this affects are the front counter staff and admin starr – who are on very low salaries and this is something they earned during the past 11 months and should be honoured…The people who ruined the banking sector are still getting their 13th month payements as usual…its the lowest salary scale thats affected by this while seniour management have looked after themselves as usual!!!

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    • Couldn’t agree more. I’d like to see how all those who leave comments against the staff would survive without a months wages at 3 days notice

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    • They are talking cr*p and are not informed and this kind of talk will mean back lash against staff and this money will not be returned!!!

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    • Aaron 07/12/11 #

      I get paid the same amount each month whether there’s 4 or 5 weeks. I don’t get an extra payment at the end of the year because of it. What’s the difference?

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    • You’re not getting Aaron… r u ready for the maths?
      Let’s say staff get a salary of €5,200 a year… most companies would pay this out in 12 monthly payments..ie €433.33 a month..
      EBS however pay their staff a 4 week month … €400 a month.
      €400 x 12 months is €4800… and this is where the ’13th month’ payment comes in. The 13th month is paid just before Christmas, in this case would be €400. It is a way for the staff to save for Christmas. It is not a bonus or an ‘extra’ months pay!

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    • Aaron. Its the same for you as basic maths. If on €25Kpa its €25K divided by 12 and these staff get there basic pay divided by 13. They are being messed around and basically a months salary is being taken off them over a year. Would you like 11 months pay?

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    • Aaron 07/12/11 #

      Thanks for the math lesson but I didn’t need it. You pair on the other hand might want to take lessons in reading because what she said was its an additional payment to make up for when there’s an extra week in the month that they don’t get paid extra for.

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    • I read what is written, and I explained the meaning of it to you. It may be ‘implied’ that it is an extra months pay but I assure you it is not! Also be aware that this affects people on low salaries, and not the management, who as I understand it WILL be receiving their ’13th month’ pay!

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    • Aaron, there are 13 lunar months in a year. Essentially what the company used to do was withhold any pay over 28days per calendar month and store it up as a ’13th’ month so people would have a ‘little extra’ at Xmas. What this decision now amounts to is that they lose 4 weeks pay. It’s NOT a bonus, but that’s how the media and managers are spinning it. And it’s the lower paid workers who are losing out, not the managers. These front line staff aren’t the ones who ruined this country.

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  • Well said Skel Eton…. Yet again the fat cats get fatter and the hard working low wage earners get shafted…. People need to understand that this is THEFT. The employees contractually agreed wage is split into 13 months so essentially this extra month is the employees savings. I say get out there to all that are affected and get back what is rightfully yours.

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  • Three very simple words “The Labour Court”. No employer in the country is above being brought there!

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    • patrick 08/12/11 #

      Apparently there is a section of the credit institutions financial support act which allows the minister to change any bank employees contract at will. it’s illegal to do this for anyone not employed in a bank but since they’ve been taken over by AIB the department of finance can cut your wages by 20%. it’s an absolute disgrace that they can do this to staff at the lower end of the pay scale and then claim that the can’t/won’t change the high earners contracts

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    • Disgraceful, but a pay cut is not what is being requested or even enforced here! It is staff ‘savings’ esentially which management are refusing to pay.

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  • I’d venture to suggest that the headline is deliberately provocative.

    If, as others have posted earlier, it’s a means of getting the ‘extra’ weeks in months of the year paid when they haven’t been, then it is theft/breach of contract, as clearly, this is not a bonus, it’s earned wages.

    However, if otherwise…

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  • Kind of a pointless forum going on here…. People are acting like these people don’t have the “right” to protest or strike just because they feel more hard done by themselves…. I get worried when people in a country start turning on one another just because one side wishes to protest in some way. There’s still not enough protest to financial and government entities in my opinion. I don’t think the EBS staff will starve this Christmas, but i’d never tell them to pipe down just because of the fact.

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    • It’s incredible. Employees are arbitrarily given an 8% paycut without notice, and the response isn’t “let’s see that one wash in the Labour Courts”, it’s “hah-hah!”. Do people not realise that endorsing this sort of thing hands absolute power to employers?

      No-one is arguing that the financial institutions don’t have to put their rotten houses in order, and fast, but ignoring workers’ rights completely is hardly a step towards a better Ireland.

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    • well said Damien, if we start denying our right to industrial action were really gonna loose alot more !!

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  • Ok hands up I apologise the headline was very misleading didn’t realise it was staffs wages so I now take back my comment and really hope ye get the money owed to you and if not then strike and I wil for one support you do not let those bastards away with this best of luck :) again sorry

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  • Seriously. They’re lucky to have an employer that stiffs people wages? Need to get past tarring everyone that works for a financial institution.

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  • A lot of references to EBS ‘using the wording in the contract to get out of it’.

    You have my sympathies, this is weasel behaviour of the lowest order, but I’m curious – what is the wording that you refer too? If the contract has a loophole, then this is not breach of contract

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    • Great question Ronan! This is how I understand it, and please feel free to correct me if I’m wrong.

      The staff are paid a 4 week month durig the year( 4×12 = 48). EBS deduct the employees pension contribution from these 48 weeks but do not deduct it from the remaining 4 weeks. This allows them to class the 4 weeks payment as not ‘normal’ pay, even though staff are entitled to be paid a 52 week year. The onus to deduct the pension from staff pay, I would assume is on the employer, but because they have failed to do this for non-managerial staff it has left a loophole. Basically.. fat cat lawyers +fat cat bankers = screwed over normal working people.

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  • nobody in EBS lookin for sympathy just the money which is due to them!

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  • If they strike will I not have to pay my mortgage if nobody is in to process the payment? Silver lining maybe.

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  • At least they have 12-month salary…

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  • I’m gutted, would be better off on the dole, oh no you wouldn’t

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  • Barry 07/12/11 #

    Sorry EBS staff, welcome to reality for so many other people in Ireland, your company is loosing money so it’s either massive staff cuts or cost saving changes such as this.

    The general public I’m afraid won’t support you on this one

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  • No sympathy for any of them at all. They should consider themselves lucky that they are actually getting the other 12 months salary. Days of bonuses like those are well and truly over!!

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  • By my calculations, the pre-tax bonus would average €925,000 (that’s based on 370 people having a salary of €30k so the amount could easily be higher). That amount of money is equal to almost 31 jobs at €30k a year. If I worked for EBS I’d shut the hell up and be grateful for my 12 months pay that’s coming from the Irish taxpayer

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    • But if u worked for something and was told we will pay u in december and than two days before u are due to get payed they turn around and say well the way your contract is worded if we payed you we would be breaching the new regulations so we cant…tahts what happened here…There is a small group of peopel and assistant managers inculded in this group who would be on higher salarys due to their years of service and possition the rest are admin staff and cashiers who are extremely lucky to be making 24k including this pay!!!

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  • Iv never worked for a company that offers a Xmas bonus. We do get a profit share bonus but sure of the 8 years iv worked for this crowd iv seen maybe about €500 in total spread out over a period of years! I’d LOVE an extra months pay!!!!!

    Sorry, I’m all on for the democratic right to strike but this is not one I could support, especially as my EBS mortgage is do high!

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  • This argument is complete rubbish. If the bank have an employee at a defined gross pay (I.e 36,000) they have to, by law pay €3,000 a month or €692 a week. If they are stiffing the staff by paying them €2,768 a month (based upon 4 week months) they are breaking every labour law in the country. I don’t believe for a minute that any bank would leave themselves open to this. You can be guaranteed that the 13th month is a bonus payment over and above the normal yearly salary.

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  • Boo Hoo ! drowning in my tears for them and the sorry thing is that if they do strike they will probably get their bonus

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    • what do you know about this situation?

      you know nothing about the EBS pay package or how the staff are destroyed by this.

      Also, you seem to have ignored the fact that this only affects normal staff. Management are still getting their “bonus” because its not called a bonus in their package.

      Congrats. You’re on the side of the fat cats.

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  • are these people serious? they are lucky to have jobs.

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    • really allot of the staff affected by this would be better off on social welfare than working as thats how low some of the salary’s are…so get some facts before u put up stupid comments!!!

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    • Lucky to have jobs? Mangement is taking whats coming to them and cutting the 13th month to the normal staff of the company and you’re on the side of management in that case?

      Dumbass

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  • Don’t know about u lot but there’s 12 mths in my year!!!

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    • maybe you should read the comments before talking nonsense. As explained in previous comments as tom said ‘there are 13 lunar months in a year. Essentially what the company used to do was withhold any pay over 28days per calendar month and store it up as a ’13th’ month so people would have a ‘little extra’ at Xmas. What this decision now amounts to is that they lose 4 weeks pay. It’s NOT a bonus, but that’s how the media and managers are spinning it. And it’s the lower paid workers who are losing out, not the managers. These front line staff aren’t the ones who ruined this country.’

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  • Boohoo! Be grateful you have a job! No sympathy here!

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    • Stick to your guns EBS staff. It’s in your contract. As usually the top management are getting there bonus. EBS waited until your paychecks came out before ye found out. Strike if you have too. Give in one year and it’s gone for good. Good Luck.

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  • Quick – somebody tell the Gemans we work with a 13 month year so our debt figure annually must be divided by 13 and not 12. How much will that save the taxpayer.
    Is this the same bunch of people who borrowed interest free for SSIA’s and doubled their money. Now the poor people are paying them for 13 months a year. Only in Ireland would this happen.

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  • Hallo – the taxpayer is paying the wages.

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  • ANother example of how out of touch with reality unions are. This “bonus” should not be paid. No sympathy for workers who go on strike over this.

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    • Its not a BONUS as its been refer to…during the year pay is same for every month of the year and staff dont get payed for the 5th week in the months during the year so in december they get that money back…it happens in december as its the best time for famillys with christmas around the corner…staff wroked for this they are not lookign for a bonus just what they earned during the year.

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  • Well i never heard of Greed in Financial Institutes, what is the country coming to ?

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  • im sure if they check their pay receipts, they will be able to work out how much they get per hour and realise that their pay is in fact correct, but their little honey pot has been put on hold due TO THESE UNCERTAIN TIMES AND THE UNPRECEDENTED TIMES WE LIVE IN AS THE REST OF US HAVE TO LISTEN TO EVERY WEEK

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    • It’s not a bonus/honeypot! Read some of the other comments on here. The company holds back a portion of their monthly wages every month and usually gives it back to them in December. Except this year. So they are losing WAGES not a bonus

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  • Wow 13 pay cheques in 1 year for doin SFA. Boom! Welcome to the real world folks!

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  • Let them strike. A bonus is exactly that. A Bonus. Not a given.

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    • So do you agree with people’s Christmas savings, that they worked hard for throughout the year being withdrawn from them? Maybe you should read the comments above which clearly state that this payment is NOT A BONUS!

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  • Can we not just all get along :)

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  • Lucky to have bloody jobs so stop moaning over your bonus……Some of us can’t even get a days work no matter how hard I try never mind a bloody bonus !!!!

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  • Still living in banker land ,well welcome to the real world stop whinging , you are lucky to be in a job .

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    • Wow, you must have not read all the comments above showing its not as straightforward as the news story implies. You must have just felt like an un-informed rant. Pat yourself on the back.

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    • They are not – if u turned up to work and were told we are not paying u this months salary how would u feel…u would not be going around saying well at least i have a job…u b pissed off so its understandable how these peopel are feeling…U all seem to have ingored the part that mentions senior managers getting their pay!!!

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    • It’s in there contract Francis they are entitled to it.

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  • Are those in EBS for real??? They are Lucky to have a job and now they want bounces from a bank who are continuously been bailed out by us the tax payer get f**king real

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    • Its not a Bonus its pay earned during the year – management and aib are using wording of contracts as a reason for not paying them…

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    • Debbie why bother commenting to complain about something when it’s already been explained in previous comments !!! Read. The . Previous . Comments !!!!!!!! It’s obvious that some commenters are bank workers so why not listen to them , they are the ones not receiving their own wages!

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  • I see a lot EBS’ers read the journal… Get on with it,at least you have a months salary for December !

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    • Maybe anyone with a job should feel guilty about it? Not stick up for themselves incase they upset the begrudging people who don’t, I worked for a private company and got paid every 4 weeks, ended up with 13 pay packets a year(work it out) not a bonus, just my wage, I’m sorry to tell you I am still employed

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    • Sorry now…but a months salary that was earned through work,and as most people pointed out it’s front line staff who have to bear the brunt of the publics frustration at banks…and u begrudge them part if their wages??? It really is refreshing to see more supportive comments about this then the begrudgers who seem to enjoy seeing low pay workers not get paid their wages…what a fine country this is turning out to be!

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  • Aren’t they lucky

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  • A lot of people are working 3 day weeks as a result of cut backs which equals 30 weeks approx per year and this lot want to be paid for 56 weeks.

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  • Oh how terrible. I’ll be there on the picket line with them. In December. Idiots.

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  • What pay cuts have ESB staff taken since the beginning of the recession? Have any ESB staff received a pay rise??

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  • Don’t care.

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  • I thought EBS was shut down?

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  • These people should work for 188.00Euro per week as that is the rate which other people get from the taxpayers of Ireland who subsidise them for their week.

    Reply

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