Sources close to the liquidator of IBRC have confirmed that contracts for around 170 staff based in the UK were not automatically terminated last week when the Government introduced legislation liquidating the company.

The legislation in question does not apply outside of Ireland.

However, workers based in Britain and Northern Ireland will be made redundant in due course, when they leave IBRC.

At present no dates have been fixed for any staff to depart from IBRC and, in the interim, they preserve their existing terms and conditions.

Earlier Irish Bank Officials Association General Secretary Larry Broderick met with IBRC liquidator Kieran Wallace to discuss the implications of the liquidation for staff.

Asked about progress on the liquidation for staff based in the UK, Mr Broderick said Mr Wallace had confirmed that the liquidator was not in a position to implement the liquidation there.

He said those employees remain as IBRC staff on their existing terms and conditions, and their employment would not be terminated.

He said they were now faced with a situation where staff in the UK were continuing to work as normal, while staff in Ireland had had their employment terminated.

In light of that, Mr Broderick urged the Government to look again at the position of staff in Ireland.

He described the meeting with Mr Wallace as quite constructive.

Mr Broderick said Mr Wallace had given a very firm commitment that all staff would be put back on their existing terms and conditions of employment.

However, he said that they had had a "robust" exchange about the fact that staff were only receiving statutory redundancy.

He said the liquidator had indicated that he would not honour an agreement between the IBOA, IBRC and the Government, as that was not within his remit.

Under previous redundancy agreements, staff would receive four weeks’ pay per year of service rather than statutory, which gives staff two weeks’ per year of service capped at €600 per week.

He said that was a matter which they would take up directly with the Government.

The union will meet the liquidator again later this week.