FULL RECOMMENDATION
INDUSTRIAL RELATIONS ACTS, 1946 TO 2001 SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990 PARTIES : IRISH FLAVOURS & FRAGRANCES (REPRESENTED BY IRISH BUSINESS AND EMPLOYERS' CONFEDERATION) - AND - AMALGAMATED TRANSPORT AND GENERAL WORKERS' UNION DIVISION : Chairman: Mr Flood Employer Member: Mr McHenry Worker Member: Mr O'Neill |
1. (1) Payment for introduction of shifts
(11) Payment of shift premium of 25%
BACKGROUND:
2. The Company is a subsidiary of an American Multinational Corporation and has operated in Ireland since 1978. 86 people are employed at the plant in Drogheda, Co Louth, 36 of whom are plant floor operatives. All plant operatives are members of the Amalgamated Transport and General Workers' Union. The factory has operated on day work for twenty years and the Company is now seeking the introduction of shift working for six workers on a two shift cycle. The Union is seeking a shift premium of 25% and an introductory payment of £15,000 (19046.07 Euro) for all of their members to facilitate the introduction of shifts.
- This dispute was the subject of a conciliation conference under the auspices of the Labour Relations Commission on the 7th of February, 2001, but no agreement was reached.
In a letter to the Union dated the 24th of May, 2001, the Company made a formal offer to Shop Floor Employees which related to the introduction of shift (a two shift operating system).
COMPANY'S ARGUMENTS:
3. 1. The Company/Union agreement provides for the introduction of shift-working.
2. It is essential that shift-working be implemented to meet current demands and ensure that the Drogheda plant remains competitive.
3. The Company has given an commitment to compensate for any loss of earnings that may arise from the introduction of shift- work.
4. The introduction of shift work would create more employment locally.
5. The Company has given a commitment that shift-work would be implemented on a voluntary basis in the first instance.
UNION'S ARGUMENTS:
4. 1. Shift work causes, loss of quality family time, of quality social time, of summer hours, of work camaraderie, of sports time activities, of overtime earnings and that health risks rise due to shifts.
2. Shift premium of 25% is paid in companies both locally and nationally.
3. If individuals work permanent shifts, then pensionable salary should include shift premium.
RECOMMENDATION:
The Court, having considered the written and oral submissions made by the parties, recommends that the Union accepts the Company proposals as outlined in the letter of the 24th of May with the following modification:
The lead-in payments of £350 (444.41 Euro) and £900 (1142.76 Euro) should be paid as outlined but should not be offset against payments due as compensation for loss of overtime.
The Court notes the Company statement that its proposal on Pensions, while a different scheme to the current Defined Benefit Scheme, is designed to have the same effect. The Court recommends that the employer produce examples for the individuals affected, illustrating the financial effect of the proposal.
Signed on behalf of the Labour Court
Finbarr Flood
13th November, 2001______________________
HMCD/CCChairman
NOTE
Enquiries concerning this Recommendation should be addressed to Helena McDermott, Court Secretary.