Irish Independent – Bailed-out AIB to pay top staff €40m bonus
From the Irish Independent:
By Emmet Oliver and Thomas Molloy
Thursday December 09 2010
Executives at AIB — the bank taxpayers have bailed out to the tune of €3.5bn so far — will share €40m in bonuses just before Christmas.
In a move certain to spark fury, the bank has decided about 2,400 staff must be paid the bonuses for legal reasons after several of them took court action.
Cheques for an average of €16,700 are likely to be sent out to executives on December 17. Staff last year received €54.9m in bonuses.
Paying the bonuses — for work at the height of the financial crisis — comes as taxpayers are smarting from having their incomes slashed in the Budget.
Shareholders are also likely to be furious after their AIB shares tumbled from €23.95 to just 50c over the last two years.
Ironically, the bonuses are for work done in 2008 when the bank came close to collapse before the Government stepped in with a taxpayer guarantee.
AIB’s shares have fallen by almost 60pc this year alone.