Michael Noonan (Limerick City, Fine Gael)
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As the Deputy will be aware under the Relationship Frameworks the State does not intervene in the day to day operations of the banks in which it holds investments or their management decisions regarding commercial matters and hence any discussions around matters such as outsourcing are a matter for the bank, the relevant staff and their union representatives. Notwithstanding this position, my officials do take an active interest in how the bank's cost base evolves to ensure that the State's interests as shareholder are protected and to ensure that the Government's remuneration policy is enforced. 

I have been informed that AIB has today announced plans to outsource additional IT Services to third party providers and will now enter into formal consultation processes with employee representatives as required both by law and in line with engagement principles agreed with the IBOA.

I have been further informed that the companies involved in the proposed outsourcing are establishing Delivery Centres in Ireland (in consultation with the IDA). Both organisations are committed to expanding their operations in Ireland to service their Global clients and one of these already provides IT Services to AIB. The bank also advises that there are no planned compulsory redundancies as part of this activity.