IRELAND - Bank of Ireland (BoI) has appointed Brian Forrester, the former head of Bank of Ireland Life, to lead a review of the firm's defined benefit fund and look at ways to tackle its €1.5bn (US$2.12bn) pension deficit.
In an e-mail to employees, BoI chief executive Richie Boucher said: "This deficit is creating a significant risk to the security of pension benefits now and in the future. This is a complex issue, with no single solution, and involves a wide and diverse range of stakeholders."
He said the firm is in the midst of a review of the pension system and is trying to "find a solution which is fair and consistent for, and involving, all stakeholders and which will enable us to continue to offer sustainable pension benefits."
Boucher said discussions are taking place between representatives of staff and with pension trustees.
BoI spokeswoman Anne Matthews declined to provide more details on the potential outcome of the review.
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