Negotiations will start shortly on what the new executive chairman of AIB, Dan O'Connor, should be paid. But the figure should be no more than €276,000 per annum, according to the Covered Institution Remuneration Oversight Committee (Ciroc) report, which governs pay in the sector. Colm Doherty will be paid €500,000 and new board member Michael Somers will be entitled to €55,000 per annum based again on the Ciroc report. Its a long way from the days of Eugene Sheehy's time at the bank- even in 2008 Sheehy was able to collect total remuneration and benefits worth €1.1bn.
Like AIB the chairman of Bank of Ireland should be paid no more than €276,000. This post is currently held by Pat Molloy, the chief executive of the bank in the 1990s. The ordinary directors of the bank should be paid no more than €55,000 a year. As for chief executive Richie Boucher he was paid as an executive director €1m per annum, before becoming chief executive and having his remuneration significantly eroded to just above €500,000. That is a long way down from what Bank of Ireland chief executives used to be paid. In the year to March 2009, Brian Goggin was paid €3m, although this included a payment ``in lieu of notice'' of €1.4m. In the year before that Goggin was paid €2.9m.
The pay of Mike Aynsley, the Australian chief executive, is not known at this stage, but its likely be no more than €500,000. His predecessors certainly operated a different remuneration level. David Drumm was paid an extraordinary €2.1m in total remuneration, including pension contributions totalling €934,000. The current chairman of the bank, Donal O'Connor, a former senior partner in PricewaterhouseCoopers is paid €218,000 per annum.
Denis Casey the former chief executive was paid €932,000 in the company's last financial year and he was paid €1.3m in the year before that. His replacement Kevin Murphy is paid €500,000 in line with the Ciroc guidelines. The chairwoman of the bank, Gillian Bowler, who also sits on a number of other Irish listed companies is paid €218,000 per annum, this was not down by much from the fees she collected before the financial crisis which amounted to €288,000.