There are strong indications that staff at Ulster Bank are prepared to take industrial action over proposals that they claim will impose redundancies and cut salaries at the bank.

The Irish Bank Officials Association yesterday revealed that in an indicative ballot of 2,000 Ulster Bank staff in Northern Ireland, 80 per cent voted against the plans, which the association says will lead to a reduction in staff levels by up to 20 per cent and impose pay cuts of between £3,500 (€4,444) and £10,000 per year.

Although the results of a ballot for industrial action of Ulster Bank staff in the Republic is not expected until tomorrow, a spokesman for the IBOA said yesterday that there were strong indications of support for industrial action based on feedback and word-of-mouth.

However, even if Ulster Bank staff support moves towards industrial action, it is unlikely such action will be taken before Christmas, the spokesman added.

Mr Larry Broderick, assistant general secretary of the IBOA, said that the ballot of Northern Ireland Ulster Bank staff unequivocally demonstrated their dissatisfaction and disillusionment with the proposals. "They are saying we emphatically oppose the salary cuts, enforced transfers and compulsory redundancies proposed and want proper respect and recognition for their contribution to the bank, which I believe is a totally acceptable request. "This ballot is a purely precautionary measure to stop the Bank imposing redundancies and new terms and conditions on staff," Mr Broderick said.

However, Ulster Bank chief executive, Mr Martin Wilson, insisted that compulsory redundancy was not part of the bank's plans and that new terms and conditions were part of the ongoing negotiation process.

Commenting on the IBOA vote in Northern Ireland, he called on the organisation to focus on an independent tribunal examining the bank's plans there, which is not expected to deliver its recommendations until January 2001.