Pearse Doherty (Donegal South West, Sinn Fein)
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To ask the Minister for Finance the number of letters that were issued by AIB to former employees of the bank requesting that they take a voluntary reduction in their pensions; the number of responses received by AIB to these letters; the number of responses that indicated the person would take a reduction and the percentage of reductions involved; the number of responses that have refused to accept a redundancy; and if he will make a statement on the matter. [51024/12]

Michael Noonan (Limerick City, Fine Gael)
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AIB has informed me that it is in an on-going process of writing to former senior executives of both AIB and EBS requesting a voluntary reduction in their pension levels. The individuals served in senior management, lending or control positions across the institutions during the period 2005-2008. AIB is not disclosing the names of the individuals on confidentiality grounds but the Bank has to date issued in excess of 20 letters. The bank is not in a position to release information on former employees without the express consent of the individuals. The bank has, to date, received a number of responses from the individuals concerned. Given this is an ongoing process from a tax, legal and Revenue perspective the Bank is not in a position to confirm the levels of reductions involved to date.

Pearse Doherty (Donegal South West, Sinn Fein)
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To ask the Minister for Finance the name of the company currently conducting the review into bankers remuneration; the date on which this company received the contract to undertake the review; the details of the tendering process used in awarding this contract; the total cost of the review; and if he will make a statement on the matter. [51025/12]

Michael Noonan (Limerick City, Fine Gael)
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The Deputy should note that I have already provided the information he seeks when responding to his parliamentary question of 15 November 2012 (Ref No 50590/12) on the same subject. For his convenience I am including the information below.

“The Deputies will be aware that my Department is presently engaged in a Review of Remuneration Practices and Frameworks at the covered institutions. I have recently engaged, as I informed the Opposition Spokespersons on Finance, the services of Mercer (Ireland) Limited following a limited competitive tender competition to assist my Department in bringing this exercise to a conclusion. The estimated cost of the review, at this stage, is approximately €120,000.

The object of the review is to thoroughly review all remuneration practices at the covered institutions with the object of simplifying remuneration and compensation structures, discouraging excessive risk-taking and to better align pay and reward to long term value creation. Present Government policy on remuneration dictates that no employee, at the covered institutions may receive more than €500,000 (excluding pension contributions) per annum and remains in force.

Numerous engagements by my officials and Mercer have taken place since the awarding of the contract. I am expecting the consultant’s report to be delivered by year end whereupon consultations with the various stakeholders will commence. As I have said previously, I fully recognise that there is a real public interest in the levels of remuneration at the covered institutions and have committed to placing the details underpinning the review into the public domain”.