INDUSTRIAL RELATIONS ACTS, 1946 TO 1990
SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990
- AND -
SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION
Chairman: Mr Hayes
Employer Member: Ms Doyle
Worker Member: Ms O'Donnell
1. Dispute concerning:1. Pay Claim, 2. Service Hours, 3. Long Service Recognition (Pay), 4. Profit Sharing, 5. Sick Pay Arrangements, 6. Private Health Insurance
2. This dispute concerns a number of claims outlined above. 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 24th November, 2015 in accordance with Section 26(1) of the Industrial Relations Act, 1990. A Labour Court hearing took place on the 20th April, 2016.
3 1 The Company is only in a loss making situation after paying $2.9m to other Flextronics companies within the Group.
2 The members have not had a pay increase since 1st December, 2012 when a 2% increase was agreed and that expired on 30th November, 2013.
3 The Union believes that the Company is financially strong.
4 1 The Company is currently in a loss making situation and will continue to be for the foreseeable future.
2 The Company has continued pricing pressure from low cost geographies and is manufacturing in a high cost environment.
3. The Company is doing its best to find alternative replacement business to replace its anchor tenant that is exiting and which accounted for over 90% of revenue.
The Court has given careful consideration to the submissions of both parties to this dispute.
The Court recommends that management offer and the Union accept the following revised terms
Pay Increase: 3%
Duration: 18 Months
Other Conditions: The Offer is in full and final settlement of all cost increasing claims for the duration of the Agreement. The offer is also contingent on the Union’s commitment to co-operate with normal ongoing change required for the efficient operation of the company in the period covered by this Agreement.
The Court so recommends.
Signed on behalf of the Labour Court
18th May, 2016______________________
Enquiries concerning this Recommendation should be addressed to Ceola Cronin, Court Secretary.