INDUSTRIAL RELATIONS ACTS, 1946 TO 1990
SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990
- AND -
SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION
TECHNICAL, ENGINEERING AND ELECTRICAL UNION
Chairman: Mr Duffy
Employer Member: Ms Doyle
Worker Member: Mr McCarthy
1. Pay restoration.
2. This dispute concerns a claim for the restoration of a 10% pay cut and for a 2.5% increase in pay. This 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 29th June 2015 in accordance with Section 26(1) of the Industrial Relations Act, 1990.
A Labour Court hearing took place on the 20th August 2015.
3. 1. The Workers agreed to a 10% pay cut in 2010.
2. The Business has made a profit every year since then.
3. The Workers have contributed to this profit and are entitled to expect the return of the 10% pay cut in one payment.
4. 1. The 10% pay reduction was part of an attempt to save the Company and ensure its long term competitiveness.
2. It was always the view that pay rates would increase when this was possible within the context of a competitor cost base.
3. The offer that was made, of four phased pay increases, is a fair and reasonable offer given the uncertain times.
It is noted that the agreement reached on a 10% pay reductions provided that the original rates would be restored when the financial circumstances of the company permitted. It is further noted that the company have made an offer to commence the process of pay restoration.
Having regard to the submissions made by the parties the Court recommends that the Company’s offer be modified as follows: -
•5% increase with effect from 1stJune 2015
•2.5% increase with effect from 1stDecember 2015
•2.5% increase with effect from 1stMarch 2016
Further Increases in Pay
The Court further recommends that the parties commence negotiation after the payment of the final phase of the restoration on an increase in pay to take effect in 2017.
Signed on behalf of the Labour Court
25th August, 2015.Chairman
Enquiries concerning this Recommendation should be addressed to Ciaran Roche, Court Secretary.