Staff at Ulster Bank are once again considering strike action, claiming the bank has failed to honour existing agreements that have created staff shortages.

The 1,500 staff, who are members of the Irish Bank Officials Association (IBOA), are protesting at the shortage of relief staff to cover for shortages and are unhappy with a new expenses policy.

They are also concerned about the level of security at Ulster Bank branches following a number of recent raids.

IBOA general secretary Mr Larry Broderick said Ulster Bank's senior management had so far refused to engage with the union to try to resolve these problems. "We are now putting down a marker. It is either jaw jaw or war war," he told The Irish Times yesterday.

A spokesman for Ulster Bank refuted the union's claims, stating that the agreements relating to the Horizon change programme at the bank had been fully implemented.

He said that many of the changes implemented through this programme had been designed to improve customer service and that the bank was happy that this had been achieved.

"This is an internal matter which we will deal with internally," he said.

Mr Broderick said he had held a series of meetings with IBOA members in Ulster Bank over the past couple of weeks.

During these sessions, staff reported a significant deterioration in the attitude of management towards staff. He pointed to instances where the bank had sought to impose changes without consultation or agreement with the IBOA.

"Increased workloads, changing terms and conditions, and reduced staffing levels are having a detrimental effect on the morale of bank staff. These developments are extremely unsettling for staff but are also likely to have huge implications for Ulster Bank customers, who have been assured that the new Horizon change programme will improve the quality of service to them not worsen it," Mr Broderick said.

He added that, if the bank refuses to engage in discussions about these problems with the IBOA, staff could be asked to vote on a strike ballot next month.

Ulster Bank, which is part of the Royal Bank of Scotland group, will report its 2002 results today.

The Horizon programme was adopted following the takeover of the bank by its Scottish parent. It introduced new pay scales and changed the functions carried out by branch staff.

It was bitterly opposed by staff who had previously threatened to strike.