Paschal Donohoe (Dublin Central, Fine Gael) | Oireachtas source

As the Deputy will be aware, decisions with regard to staff and the management of branch networks are the responsibility of the board and management of individual banks, which are run on an independent and commercial basis. As Minister for Finance, I do not have a role in these commercial decisions.

The withdrawal of Ulster Bank from the market and the decision by Bank of Ireland to close 88 branches in the Republic of Ireland are a deep blow, particularly for their customers and staff, and they represent very unfavourable developments for the Irish banking market. Bank of Ireland has commented it will be working closely with its employees at these branches and will be setting out a range of options for them, including relocating to a different branch, moving to a new role in the bank, or voluntary redundancy for those who choose it. I also welcome Bank of Ireland's announcement of a partnership with An Post to ensure counter services will still be available for its customers locally.

With regard to Ulster Bank, while the management of staff matters is a matter for the bank and any counterparty that acquires its business, I expect all stakeholders will be very sensitive to the needs and rights of staff. This includes full compliance with the European communities regulations of 2003, which refer to the protection of employees on the transfer of undertakings and the honouring of all agreements in place between the bank and its staff representative bodies. In addition, I would expect such banks to engage with staff body representatives, as appropriate.

The Deputy will be aware I met with representatives from both Ulster Bank and its parent company in recent months. During these engagements, I strongly emphasised the importance of timely communication with staff, customers and other stakeholders about the future of Ulster Bank. I also met with the Financial Services Union, FSU, and the Minister of State, Deputy Fleming, met the FSU yesterday.

See this speech in context