INDUSTRIAL RELATIONS ACTS, 1946 TO 2004
SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990
- AND -
SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION
Chairman: Mr Flood
Employer Member: Mr Grier
Worker Member: Mr O'Neill
2. The Company is the leading Irish supplier of fresh mushrooms to the U.K. market. Its principal customers are major U.K. retailers.
The Company is currently undergoing a restructuring process. A number of redundancies were effected in Monaghan in September, 2003 in administration, canteen, transport and maintenance. The Company position is that it cannot afford to pay anything more than statutory redundancy. The Union claim was for 4 weeks pay per year of service plus statutory redundancy.
Local discussions could not resolve the issue. The dispute was the subject of a conciliation conference under the auspices of the Labour Relations Commission. As agreement was not reached, the dispute was referred to the Labour Court on the 12th December, 2003, in accordance with Section 26(1) of the Industrial Relations Act, 1990. A Labour Court hearing took place on the 7th of May, 2004.
- 3. 1.The Union claim of 4 weeks pay plus statutory entitlements, the first two redundancies being LIFO and the third voluntary is a reasonable position.
2.The Company has not indicated that it is experiencing financial difficulties at present.
3.Redundancy settlements in the food processing industry support the Union's position as being within the norm for the industry.
4. 1.The Company position is that it cannot afford to enhance the redundancy payment as requested by the Union.
2.The Company is fighting for its future and to retain sustainable employment in Ireland.
3.The jobs that were made redundant were very specific and LIFO could not apply.
It was clarified that the dispute in relation to selection for redundancy was no longer relevant as the employees had already left the Company. This matter may arise as part of the new discussions now taking place. The Court's position would normally be that L.I.F.O. should apply subject to retaining necessary skills.
The Court, after taking into account all of the information as supplied recommends that the Company pay the claimant 2 weeks salary per year of service, excluding statutory redundancy payment in settlement of this claim.
Signed on behalf of the Labour Court
31st. May, 2004______________________
Enquiries concerning this Recommendation should be addressed to Madelon Geoghegan, Court Secretary.