LCR11025

Subject:
Claim for compensation for loss of overtime for three carpenters and four painters.

Recommendation:
5. The Court is of the view that the management's offer of 4
hours overtime per person per week is reasonable in the
circumstances now pertaining in the Hospital and accordingly does
not recommend concession of the claim.

Division: Ms Owens Mr McHenry Mr Walsh

Text of Document__________________________________________________________________

CD861001 THE LABOUR COURT LCR11025
CC861850 INDUSTRIAL RELATIONS ACTS, 1946 TO 1976
RECOMMENDATION NO. LCR11025

Parties: ST. VINCENT'S HOSPITAL

and

IRISH NATIONAL PAINTERS AND DECORATORS' TRADE UNION
UNION OF CONSTRUCTION, ALLIED TRADES AND TECHNICIANS



Subject:

1. Claim for compensation for loss of overtime for three
carpenters and four painters.

Background:

2. Prior to April, 1986, workers in the maintenance section of
the Hospital were working regular weekly overtime worth 21 hours
basic pay to carpenters and 28 hours to painters. Due to the
financial circumstances which hospitals find themselves in,
cutbacks throughout the health service have become prevalent. St.
Vincent's Hospital implemented a number of measures in an attempt
to reduce expenditure. One of these measures was the elimination
of overtime in the maintenance department. With effect from
April, 1986, the overtime was withdrawn. During local level
negotiations Management indicated that four hours guaranteed
overtime would be available each week but this offer was rejected
by the Unions'. No agreement being reached locally, the matter
was referred, on 20th October, 1986, to the conciliation service

of the Labour Court. A conciliation conference was held on 12th
November, 1986 at which the Unions' quantified the loss for
painters at approximately #4,000 per annum and for carpenters at
#3,000. Because of the current financial constraints the Hospital
stated that it was not prepared to offer any compensation for the
loss of overtime. No settlement was possible and the issue was
referred, on the 17th December, 1986, to the Labour Court for
investigation and recommendation. A Court hearing took place on
12th February, 1987.

Unions' arguments:

3. (a) The staff concerned were working structured overtime
for periods ranging from 3.50 to 5 years. Saturday
overtime was worked for the last 15 years. The
overtime amounted to 21 hours per week for carpenters
and 30 hours per week for painters. Resulting from the
elimination of the overtime the craftsmen suffered a
considerable financial loss (details provided to the
Court).

(b) The workers' standard of living has been completely
eroded with the elimination of overtime. The workers
have suffered a further financial burden because they
were committed to joining the V.H.I., as their
earnings, when working overtime, exceeded the limits
laid down to qualify under social welfare.

(c) The accepted practice in the Eastern Health Board is to
grant compensation for the loss of structured overtime.
The Unions' believe that the same practice should apply
in this case, as both Boards are governed by the
Department of Health for expenditure purposes.


Hospitals' arguments:

4. (i) Given the severe financial crisis facing the health
service, the Hospital has an obligation to try and cut
expenditure wherever possible. In this particular case
the Hospital decided that it had to sacrifice the
existing level of maintenance in return for maintaining
the services and employment.

(ii) This is not the first time that overtime has been cut
back in the maintenance department. On previous
occasions overtime has been cut back without
compensation being paid. Therefore, there is an
element of precedence to the Management's sanctions.

(iii) The financial difficulties facing St. Vincent's
Hospital are being faced by other hospitals and by many
other employers. In the past, where it has been shown
that an employer has introduced cutbacks because he
cannot afford to carry on that particular operation,
then the Court has recognised this and rejected claims
for compensation. In the case of the health services,
this has also been recognised by the Court in
Recommendation No. 10,895, which related to maintenance
helpers in St. Vincent's Hospital, who assist the
craftsmen and are effected by exactly the same
reduction in overtime.

(iv) Concession of the claim would result in the Hospital
being placed under further pressure to concede
compensation for such reductions. Other groups will
feel that they are equally aggrieved because of the
effects of the cutbacks and will also feel entitled to
pursue a claim.

(v) All exercises which have been carried out by the
Hospital are to try to reduce the serious deficit
situation, whilst maintaining employment and continuing
to provide Hospital services at a reasonable level.

RECOMMENDATION:

5. The Court is of the view that the management's offer of 4
hours overtime per person per week is reasonable in the
circumstances now pertaining in the Hospital and accordingly does
not recommend concession of the claim.
~


Signed on behalf of the Labour Court



Evelyn Owens
_______________________
Deputy Chairman


26th February, 1987
B. O'N./J.C.