INDUSTRIAL RELATIONS ACTS, 1946 TO 2004
SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990
IRISH BUSINESS AND EMPLOYERS' CONFEDERATION
- AND -
SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION
Chairman: Mr Duffy
Employer Member: Mr Grier
Worker Member: Ms Ni Mhurchu
1. Non payment of final phase of Programme for Prosperity and Fairness (PPF).
2. The Company is a manufacturer of toroidal transformers and related magnetic components. The parent Company has three manufacturing plants worldwide, one of these is based in Co Donegal. The Company currently employs 43 staff, 28 of these have been on lay-off since September 2004.
The dispute before the Court concerns the non-payment of the third phase of the Programme for Prosperity and Fairness (PPF) which was due in April 2002.
The dispute could not be resolved at local level and 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 10th May, 2004, in accordance with Section 26(1) of the Industrial Relations Act, 1990. A Labour Court hearing took place on the 9th March, 2005.
3. 1.The Union is seeking to have all monies owed to six full-time members of staff paid in full and backdated to 1st April, 2002.
4. 1.Due to current trading difficulties the Company does not have the financial reserves to implement the 4% increase due under the Programme for Prosperity and Fairness.
2. The Company is hopeful that the parent Company will process orders through the Donegal operations and that staff members can be recalled to work in the near future.
The information before the Court concerning the financial circumstances of the Company indicates a clear inability to pay the increases claimed. The Court notes that the Union are not disputing the accuracy of the information provided.
In the circumstances of this case the Court recommends that the parties review the position following the application of the next adjustment in the national minimum wage.
Signed on behalf of the Labour Court
21st March, 2005______________________
Enquiries concerning this Recommendation should be addressed to Madelon Geoghegan, Court Secretary.