Labour Court Database
File Number: CD88340
Case Number: LCR11938
Section / Act: S67
Parties: ARNOTTS PLC - and - IRISH TRANSPORT AND GENERAL WORKERS UNION
Dispute concerning improvements in a sick pay scheme for 70 workers employed in the Company's restaurants situated in Grafton Street, Henry Street and North Earl Street.
Division: Mr Fitzgerald Mr McHenry Mr Devine
Text of Document__________________________________________________________________
CD88340 RECOMMENDATION NO. LCR11938
INDUSTRIAL RELATIONS ACTS, 1946 TO 1976
PARTIES: ARNOTTS PLC
IRISH TRANSPORT AND GENERAL WORKERS UNION
1. Dispute concerning improvements in a sick pay scheme for 70
workers employed in the Company's restaurants situated in Grafton
Street, Henry Street and North Earl Street.
2. As part of its claim under the 27th wage round the Union
sought an improvement in the sick pay scheme at present in
operation. In response the Company put forward its proposals for
changes in the sick pay schemes which were not acceptable to the
3. No progress was possible on this issue at local level and
eventually agreement was reached on the pay round subject to the
issue of the sick pay scheme being referred to the Labour Court.
4. The matter was referred to the Conciliation Service of the
Labour Court on 19th January, 1988. A Conciliation Conference was
held on 4th March, 1988.
5. The Union is seeking an improvement in the sick pay scheme
based on service. The Company proposed that the "carry over"
period be extended to three years and that the first three days of
any period of absence will not be paid where an employee has
already had two periods of absence, irrespective of duration,
within the same sick pay year.
6. The positions of the parties at the Conciliation Conference
were as follows -
Union's claim - Increased sick leave based on service as follows -
1 years service - 15 days sick leave
2 years service - 18 days sick leave
3 years service - 20 days sick leave
4 years service - 23 days sick leave
5 years service - 25 days sick leave.
The carry over arrangement of 3 years to apply to above.
Company's offer - The carry over period be extended to 3 years.
Individual employees to receive payment for the first 3 days
unless he/she already has had 3 periods of absence in that sick
7. As no agreement was possible both parties agreed to a referral
to the Labour Court for investigation and recommendation. A Court
hearing was held on 31st May, 1987.
8. 1. It is the workers' view that the Company's proposal
represents a disimprovement in the sick pay scheme. At
present workers are paid for the first three days of absence
of any illness and there is a facility to carry over any
unused sick leave for two years.
2. The Company's proposals would create severe financial
hardship for the workers.
3. The Union is seeking improvements in the sick pay scheme
along the lines proposed at the Conciliation Conference
without the loss of the first three days.
9. 1. The Company, in proposing the changes in the sick pay
scheme, is endeavouring to come to terms with the high
absenteeism rate among the restaurant staff which is the
highest in the Company. The changing of an inefficient sick
pay scheme is an important step in this process.
2. The effect of the Company's proposals is to extend the
duration of payments during illness by a maximum of 30 days,
giving employees a possible total of 60 days sick leave as
opposed to the present possible total of 30 days.
Additionally employees will receive payment for the first
three days of absence through illness unless they have
already had two periods of absence.
3. The lead on this latter point has already been given in a
claim on behalf of Part-Time employees by IDATU which
resulted in LCR 10465 in May, 1986, which has resulted in the
implementation throughout the retail trade in Dublin/Dun
Laoghaire of a sick pay scheme which excludes payment for the
first three days of any absence through illness.
10. The Court, having considered the submissions made by the
parties, recommends that the claimants accept the offer made by
the Company at the Conciliation Conference held on 4th March,
Signed on behalf of the Labour Court
7th July, 1988
M.D./P.W. Deputy Chairman