STAFF IN AIB’s Capital Markets division have been informed of the level of bonus they will receive based on last year’s performance . . . but payment of the bonus has been deferred.

The bank confirmed in a statement yesterday that “bonuses have been agreed” for staff in Ireland, Britain, the US, Australia, Germany, France and Poland.

“Where performance has met the qualifying criteria, bonuses payments will be made,” the statement read.

However, following an inquiry from The Irish Times, AIB issued another statement saying the payments have been deferred.

A spokesman could not confirm when the bonuses would be paid. He also declined to say how many staff would benefit from the bonuses. The capital markets division at AIB employs about 2,300 staff, but not all of these would have contracts that entitle them to bonus payments.

“In recognition of the current difficult economic environment, the payments, for which a variety of staff throughout the division’s Irish and international operations qualify, are being made at a significantly reduced level,” the bank said. “Only 50 per cent or less of the bonus pools generated by performance are being paid.”

Traditionally, all staff working in the capital markets area of financial services receive bonuses. The level of bonus could be up to 10 times more for front office staff compared to back office workers, who have limited interaction with clients. Market traders and staff who interact with customers receive the highest bonus payments which can be multiples of their base salary.

AIB previously announced that its group chief executive, other members of its executive committee, and named senior executives were forgoing bonuses.

The bank said “the evaluation process which determines whether bonus payments will be made in other AIB divisions is currently under way, so a decision has not yet been made”.

Bank of Ireland’s financial year runs until the end of March, so bonus payments are not yet due.

A spokeswoman for the bank said it was “too early for any commentary at all” on whether they would be paid.