LCR15343

FULL RECOMMENDATION CD/96/408 RECOMMENDATIONNO.LCR15343 INDUSTRIAL RELATIONS ACTS, 1946 TO 1990 SECTION 20(1), INDUSTRIAL RELATIONS ACT, 1969 PARTIES : SEMPERIT IRELAND LIMITED - AND - SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION DIVISION : Chairman: Employer Member: Worker Member:

SUBJECT:
1. Dispute regarding the application of the Voluntary Redundancy Package and the agreement reached in respect of a member.





BACKGROUND:

2. The worker was employed by the Company on 26th March, 1974. In 1990, the worker asked to be considered for voluntary redundancy. He was successful in his application and was made redundant from 27th July, 1990. At the time of his redundancy the worker's wages were £325.38 per week. The Union claims that the terms on offer to the worker were as follows:-

a payment of £26,400 net,
payment of full wages for 5 weeks between applying for and accepting redundancy,
2 weeks bonus,
one service day and
3 floating days.

On 27th July, 1990, the worker received a cheque for the amount of £25,480.11. He claims that he did not receive the amount he had been promised. Shortly afterwards, following a meeting with the Company, he received a further cheque for £200. The worker was still unhappy and took his case to the Employment Appeals Tribunal. The Tribunal found that the worker had received his full entitlements under the Redundancy Payments Acts, 1967 to 1991.



The worker contacted his Union and a number of meetings took place between the parties. On 27th May, 1996, the Union appealed the dispute to the Labour Court under Section 20(1) of the Industrial Relations Act, 1969. A Labour Court hearing took place on 10th September, 1996.



UNION'S ARGUMENTS:

3. 1. The Company has produced a number of documents which show the worker receiving various amounts of money, ranging from £23,172.94 to £34,278.94. He did not receive any of these amounts. He received £25,480.11 plus a cheque for £200. This was less than the agreed amount of £26,400.



COMPANY'S ARGUMENTS:

4. 1. The worker received a net payment of £26,278 made up as follows:-

Redundancy £16,594.38
Payments in lieu £ 3,904.56
Other (46 holiday hours) £ 393.88
TOTAL £20,892.82

Of the total of £20,892.82, £11,106 was paid to the worker's pension fund. On the balance of £9,786.62 (i.e. £20,892.82 - £11,106) the worker received £7,923 net. He received a tax-free lump sum of £13,780 from the Irish Pensions Trust Limited. Statutory redundancy was £4,375. With the cheque for the £200 this give a total of:-

£13,780
£ 4,375
£ 7,923
£ 200
£26,278 - Total

2. The Employment Appeals Tribunal dismissed the worker's case, stating that he had received all that was due to him. The Company has put into effect a large number of voluntary redundancies over the years and has never had a claim of under- payment.






RECOMMENDATION:

The Court considered the written and oral submissions of the parties and the subsequent additional information from the Company.

Based on the information before it, the Court is satisfied that the Company has honoured its agreement with the claimant.



Signed on behalf of the Labour Court



Finbarr Flood
31st October, 1996______________________
C.O'N./D.T.Deputy Chairman



NOTE

Enquiries concerning this Recommendation should be addressed to Ciaran O'Neill, Court Secretary.