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AIB Official Gets €138,000.00

August 22, 2016 | biocare

The Employment Appeals Tribunal ordered Allied Irish Banks to pay a dismissed senior manager €138,384.00. In making the award the EAT described the banks decision as disproportionate as the employee concerned had 37 years of employment with the bank and that lesser penalties such as demotion, warnings, temporary suspension should have been considered.

The employee concerned was summarily dismissed and given ten minutes to clear his desk before being frog marched from the building when it was discovered he had sanctioned personal loans to directors of a football club which was significantly indebted to the bank and which he was associated with in a voluntary capacity.

Defending the banks decision to dismiss the employee a senior manager told the tribunal the employee had put the loyalty of the football club before that of the bank. In summarising their decision the EAT stated although the employee was naive, reckless and careless there was no malice intended and the employee did not personally gain from sanctioning the loans.

(Ref: Employment Appeals Tribunal -v- Sean McHugh – July 2016)