LCR15582

FULL RECOMMENDATION CD/95/627 RECOMMENDATIONNO.LCR15582 (cc95/1082) INDUSTRIAL RELATIONS ACTS, 1946 TO 1990 SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990 PARTIES : CELTIC LINEN LIMITED (REPRESENTED BY THE IRISH BUSINESS AND EMPLOYERS' CONFEDERATION) - AND - SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION DIVISION : Chairman: Ms Owens Employer Member: Mr Brennan Worker Member: Mr Rorke

SUBJECT:
1. (1) Right of recall, (2) Payment of shift premium.





BACKGROUND:

2. Celtic Linen Limited is involved in the laundry business. It employs 150 workers at its location in Wexford. In the period April/September each year it operates an evening shift to handle the increase in business which occurs due to the holiday season.

The dispute before the Court concerns (1) the right of recall of approximately 40 workers employed in the evening shift and (2) payment of shift allowance. Local level discussions failed to resolve the issues and the matters were referred to the Labour Relations Commission. Conciliation conferences took place on the 27th September and the 25th October, 1995. As agreement could not be reached the dispute was referred to the Labour Court on the 7th November, 1995. A Labour Court hearing took place in Wexford on the 27th May, 1997, the first available date suitable to both parties.




RIGHT OF RECALL

The Union is seeking some form of assurance that the workers concerned would be offered employment from one year to the next. The Company has proposed to operate a list for recall comprised of employees who have worked for three successive seasons. The Company's proposal is unacceptable to the Union.

UNION'S ARGUMENTS:

3. 1. Many of the workers concerned have worked for the Company for many years with no guarantee of employment from one year to the next.

2. The Union is seeking a recall system based on seniority i.e. workers who have completed a 13-week probationary period to be offered employment on the basis of work being available. This system operates successfully in many industries where seasonal employment operates.

COMPANY'S ARGUMENTS:

4. 1. The Company is prepared to operate a list comprising of employees who have worked three successive seasons. Those on the list would have first offer on the work.

2. At the end of each season employees would have to indicate their availability for the next season.

3. The Company is opposed to an automatic right of recall. The system proposed balances the rights and interests of all parties.


PAYMENT OF SHIFT ALLOWANCE

The Company paid a shift premium of 20% to the evening crew up to 1994. The premium was withdrawn for the 1995 season. The Union is seeking that the premium be restored on the grounds that a premium is appropriate for the work patterns involved (4.00 p.m./5.00 p.m. start - finish 10.00 p.m./1.00 a.m.). The Company argues that it cannot afford to pay premium to the evening crew.

UNION'S ARGUMENTS:

5. 1. The Union is concerned that the Company has taken advantage of a vulnerable group of workers by offering re-employment at substantially reduced rates of pay.

2. Workers employed in similar employment with another company in the Celtic Linen Group based in Carlow receive a shift premium.

COMPANY'S ARGUMENTS:

6. 1. The business is labour-intensive and the Company must respond to the market place which is highly competitive. Customers frequently switch between suppliers on the sole consideration of price.

2. The evening crew work pattern is convenient for the majority of those working it. A substantial number of those working evenings have expressed a preference for this pattern.


3. The pattern worked by the evening crew does not constitute a rotating shift pattern and hence a shift premium is not appropriate in the circumstances.




RECOMMENDATION:

The Court has considered the submissions from the parties and recommends as follows in relation to the two items in dispute.

(1)Right of recall

The Court finds that the Company's proposals as set out in the submission should be accepted subject to the following amendments

(i) The list of those who had worked for one season (alteration of 3 to 1).
(ii) Add - additional clause
Employees on the list will be recalled on the basis of seniority.

(2)Shift premium

The Court recommends payment of an evening shift premium of 16.6% with effect from 1st April, 1997.



Signed on behalf of the Labour Court



Evelyn Owens
8th July, 1997______________________
F.B./D.T.Chairman



NOTE

Enquiries concerning this Recommendation should be addressed to Fran Brennan, Court Secretary.