Labour Court Database __________________________________________________________________________________ File Number: CD86805 Case Number: LCR10969 Section / Act: S67 Parties: NENAGH TEXTILES LTD - and - ITGWU |
Claims under the 26th wage round for increases in pay and conditions of employment.
Recommendation:
5. Having considered the submissions made by the parties and in
particular bearing in mind the generally difficult trading
position of the textile industry the Court recommends:
(a) Increase in basic wages.
(i) an increase of 2.50% with effect for 1st October,
1986,
(ii) a further increase of 2.50% with effect from 1st
April in respect of an agreement to last until 1st
October, 1987.
(b) Compassionate Leave.
The Court recommends that the Company concede 2 days
such leave on the death of an immediate member of the
family.
(c) Other claims.
The Court does not recommend concession of the other
claims made by the Union.
Signed on behalf of the Labour Court
John O'Connell
______________________
9th February, 1987 Deputy Chairman
M.D./J.C.
Division: Mr O'Connell Mr Heffernan Mr O'Murchu
Text of Document__________________________________________________________________
CD86805 THE LABOUR COURT LCR10969
CC861293 INDUSTRIAL RELATIONS ACTS, 1946 TO 1976
RECOMMENDATION NO. LCR10969
Parties: NENAGH TEXTILE MILLS LIMITED
(REPRESENTED BY THE FEDERATED UNION OF EMPLOYERS)
and
IRISH TRANSPORT AND GENERAL WORKERS' UNION
Subject:
1. Claims under the 26th wage round for increases in pay and
conditions of employment.
Background:
2. The Company which employs approximately 40 operatives has been
in existence for 33 years. During that period it manufactured
carpets, towels, upholstery and curtain fabrics. Due to trends in
the market place, the Company now manufactures upholstery and
curtain fabrics for the home and export market. Over the years
the employment content has diminished from over a hundred to the
present number. The 25th wage round expired on 30th June, 1986.
The Union, by letter dated 17th June, 1986 served the following
claims on the Company under the 26th wage round to take effect
from 1st July, 1986:
(1) An increase in basic wages of 12%.
(2) An additional increase of 15% for weavers, weaver
helpers and warpers.
(3) Request that a worker (maintenance man) be released of
boiler duties without loss of wages.
(4) Improvement in standard of toilet facilities.
(5) Introduction of compassionate leave with pay on the
death of a near relative.
(6) Parity of pay as between the yarn store and finished
goods store.
A meeting took place between the parties on 24th July, 1986. The
Company rejected the Union's claims. The Company did not make any
offer at this meeting. The matter was referred to the
conciliation service of the Labour Court on 30th July, 1986. A
conciliation conference was held on 25th September, 1986. The
Company in an effort to settle proposed a long pay pause of about
nine months followed by an increase of something like 2%. This
was rejected by the Union. As no agreement could be reached both
sides agreed to refer the matter to the Labour Court for
investigation and recommendation. A Labour Court hearing was held
in Limerick on 2nd December, 1986.
Union's arguments:
3. (a) Wages:- The workers concerned are highly skilled, who
apart from shift premia where applicable, do not
receive any plus payments. The wages paid are much
lower than the average manufacturing industry wage.
(b) In recent years the workers have been put on short-time
due to downturns in business. This has depressed their
earnings still further.
(c) The trend for settlements under the 26th wage round in
this area is an increase in excess of 7% for 12 months.
(d) Additional increase for weavers, weaver helpers and
warpers:- Over the years, newer, faster and more
sophisticated machines have been introduced by the
Company. The workers concerned have had to adapt in a
very substantial way to take over and operate these
machines. As no bonus scheme is available, the only
alternative method to reward these workers is by way of
an additional increase in their basic wage. There has
been an increase of the order of 20% in the volume of
cloth produced.
(e) Claim on behalf of maintenance main:- The worker
concerned carries out all maintenance and preventative
maintenance duties. For a number of years he has been
required to report for work on a Monday morning at 3
a.m. to light boilers (oil fired) and generally get the
Mill ready for the first shift which commences at 6
a.m. We accept that he is paid overtime etc. for this
work. However, the extremely early rise on Monday
morning effectively rules out any socialising on a
Sunday evening or night for him with his family. He
now seeks to be relieved of this duty and is asking
that the change be without loss of wages. Over the
past few years, plant in all parts of the factory has
been modernised demanding greater skills and adaption
from him. He has not been compensated in any way for
the new technique and responsibility demanded.
(f) Improvement in toilet facilities:- There are ongoing
discussions at plant level in this very fundamental and
basic requirement. The fact that (i) it has to be
raised formally at all and (ii) that having raised it,
that it is still being discussed 6 months later surely
indicates a certain attitude.
(g) Compassionate Leave:- It is standard practice for many
years in all reasonable employments that there is a
provision for time off with pay for employees to attend
the funeral and burials of their relatives. The normal
practice is 3 days. There is no such arrangement in
Nenagh Textile Mills and we feel it is past the time
when same should be introduced.
(h) Parity of rates of pay between the yarn storekeeper and
the finished goods storekeeper:- There is a
differential of #4.49 between these two jobs which are
in our view similar and demand the same level of
attention and ability. There is no sound reason why
they should not be put on parity.
Company's arguments:
4. (i) The sales in the Company have declined in the past 3
years because the products have become too expensive.
Three quarters of the Company's products are exported
mainly to the U.K. Efforts to open up european markets
are being undertaken by management, and are meeting
with little success as the prices are not competitive.
The home market has been largely lost to cheap imports
from the U.K.
(ii) The present rates of pay compare favourably to other
textile firms (details supplied to the Court). The
wage settlements have been 30% higher than the national
average over 5 years and 70% higher than our
competitors in England.
(iii) Up to the last few years the constant reinvestment and
very modern equipment enabled the Company to continue
in spite of the very high wage settlements. This is no
longer the case and we cannot now compete with the U.K.
The weakness of Sterling has compounded the problem.
(iv) The weavers and warpers claim that output in these
areas has increased. This is untrue. The table of
loom utilization and output against target bears this
out (details supplied to the Court). A point to
remember here is that a written agreement was made in
1985 that each weaver would man 12 looms without cost
increasing demands.
(v) Week-end boiler duties are one of the maintenance man's
principal and essential duties and he receives extra
payment for this. His basic wages compare very
favourably with wages paid for similar work in other
companies.
(vi) There is a distinct difference between the
responsibility of the yarn storekeeper of finished
goods. Differential is #4.50 per week.
(vii) The Company is prepared to concede one day
compassionate leave if a near relative - a child,
parent or spouse dies.
RECOMMENDATION:
5. Having considered the submissions made by the parties and in
particular bearing in mind the generally difficult trading
position of the textile industry the Court recommends:
(a) Increase in basic wages.
(i) an increase of 2.50% with effect for 1st October,
1986,
(ii) a further increase of 2.50% with effect from 1st
April in respect of an agreement to last until 1st
October, 1987.
(b) Compassionate Leave.
The Court recommends that the Company concede 2 days
such leave on the death of an immediate member of the
family.
(c) Other claims.
The Court does not recommend concession of the other
claims made by the Union.
Signed on behalf of the Labour Court
John O'Connell
______________________
9th February, 1987 Deputy Chairman
M.D./J.C.