Danske Bank agree to average pay increase of 6.2 per cent for staff in 2023

The FSU said the new agreement will see Danske Bank's entry salary increase from £18,300 to £20,225 in 2023.

THE union representing bank workers has announced a new agreement with Danske Bank which will see the average pay rise by 6.2 per cent next year.

The Financial Services Union (FSU) said the deal, which emerged from an enhanced pay review, is scheduled to come into effect on April 1 2023.

The union previously concluded a three year pay deal with Danske Bank in 2020, where members had accepted a 3 per cent pay increase for 2023.

Most Danske Bank staff are already in line for a £1,000 one-off cost of living payment following talks with the FSU in September.

Mandy La Combre, senior industrial relations officer with the FSU said the new agreement will see the bank’s entry salary increase from £18,300 to £20,225.

“We have been in negotiations with the Bank for the last number of weeks and believe this is a positive outcome for our members,” she said.

“Bank staff, like everyone else are struggling with the cost-of-living crisis. This agreement will give certainty on pay for 2023 and together with the cost-of-living payment help financially support staff at a difficult time”

READ MORE: Bank of Ireland and AIB confirm cost of living payments for staff

The FSU’s general secretary John O’Connell said: “At a time when workers are struggling to pay their heating bills and see weekly shopping bills escalate it is important that profitable employers work with Unions to ensure that staff are financially supported.

This enhanced pay deal is very welcome and is something that the FSU will look to replicate across other employments.”

The agreement follows a number of FSU deals with other banks around cost of living payments. Bank of Ireland will pay £1,250 to all UK staff on bands 1-5, while AIB have also confirmed all staff from bands 1-5 will receive a tax free ‘Appreciate Award’ up to the value of €1,000/£1,000, which can be spent with a list of participating retailers.

Danske Bank’s cost of living payment will see staff in grades 2-7 receive £1,000 with those at grade 8 receiving £500.