INDUSTRIAL RELATIONS ACTS, 1946 TO 2004
SECTION 20(1), INDUSTRIAL RELATIONS ACT, 1969
JURYS DOYLE HOTEL GROUP LIMITED
(REPRESENTED BY IRISH BUSINESS AND EMPLOYERS CONFEDERATION)
- AND -
(REPRESENTED BY SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION)
Chairman: Mr McGee
Employer Member: Mr Murphy
Worker Member: Mr O'Neill
1. Interpretation and application of terms of closure agreement.
2. Jurys Ballsbridge Hotel is due to close on Monday 13th August 2007 and a comprehensive severance agreement was signed by both Company and Union in February 2007 following the issue of Labour Court Recommendation No. LCR18737 dated 23rd October 2006 regarding closure terms. The Union subsequently queried the severance position regarding 5 maintenance staff whose payments for contracted work were not added into the calculation for arriving at the figure on which their redundancy payments are to be based. The Company contends that these payments were never part of their basic pay and refused to negotiate on the matter.
The claim could not be resolved at local level and was due to be the subject of a Conciliation Conference under the auspices of the Labour Relations Commission, however the Company declined to attend. The Union then referred the claim to the Labour Court on the 10th May 2007 in accordance with Section 20(1) of the Industrial Relations Act, 1969, and agreed to be bound by the Court's recommendation. A Labour Court hearing took place on the 1st August 2007.
3. 1. Payments for contracted work were part of the productivity deal entered into in 1991 and confirmed in 2004 following the removal of guaranteed overtime.
2. Contracted work payments are subject to Income Tax and PRSI, entered on the payroll and included on each Employee's P60 and therefore they are part of basic pay.
4. 1. The severance agreement defines pay for the purpose of theex-gratiapayments as being basic pay (including Sunday equivalent) and service charge. These Workers have had a service charge calculation included in their severance settlements. No mention had been made of contracted work.
2. Employees were balloted and they accepted the agreement in the full knowledge of how pay was to be defined.
Having considered the submissions of the parties and in the light of the Severance Agreement reached between the Company and the Union, the Court does not consider that the Union has established its case and does not recommend concession of the claim.
Signed on behalf of the Labour Court
7th August 2007______________________
Enquiries concerning this Recommendation should be addressed to John Foley, Court Secretary.