By Eric Johnston and Elisabeth Sexton
SEVERAL former St George Bank debt and currency traders are suing it, claiming their redundancy payouts fell short after it merged with Westpac last year.
The traders were among some of St George's highest-paid staff outside the executive ranks.
At the centre of the dispute is the formula used to calculate the payouts. The traders claim cash bonuses and awards under its medium-term incentive plan should have been included.
Instead, the payments were calculated on base salary alone, according to documents filed in the Federal Court, which also allege the bank failed to treat [the employees] with mutual trust and confidence.
Bonus payments often make up the bulk of total salary for key players in the financial markets.
Statements of claim have been lodged by St George's former head of securitisation, Roger Desmarchelier, former head of foreign exchange Glenn Wittingslow, and former debt market dealer Alan Doolan.
Claims have been filed by Paul Wilkinson and Ian Hamilton, but were not available for inspection yesterday.
A bank spokesman declined to comment on the legal action, but said: ''St George always seeks to ensure staff get their full entitlements.''
The statement from Mr Desmarchelier, who left in February, said his base salary for the year to this month was to be $246,720, his cash bonus at least $190,000 and his award under the incentive plan $48,900.
Mr Wittingslow, who left in July, was paid a base salary of $239,000 and promised a bonus of $220,000 and an award under the incentive plan of $62,000.
Mr Doolan, who left in February, got a base salary of $213,000 and was to get a bonus of at least $175,000.
The documents show St George's redundancy policy, in addition to paying for six weeks' notice, was seven weeks' pay for the first year of service, four weeks for years two to 10, three weeks for later years and one week's pay for each year the employee was over 45.