Labour Court Database __________________________________________________________________________________ File Number: CD87251 Case Number: LCR11112 Section / Act: S67 Parties: BORD NA gCAPALL - and - ASTMS |
Redundancy terms for nine clerical/administrative workers.
Recommendation:
5. The Court does not recommend concession of the Union's claim
for six weeks' pay per year of service but considers that in the
circumstances of this case the claimants should be paid a
redundancy sum equal to four weeks' pay per year of service in
addition to their statutory entitlements.
Division: Mr Fitzgerald Mr Shiel Mr O'Murchu
Text of Document__________________________________________________________________
CD87251 THE LABOUR COURT LCR11112
CC87469 INDUSTRIAL RELATIONS ACTS, 1946 TO 1976
RECOMMENDATION NO. LCR11112
Parties: BORD NA gCAPALL
(REPRESENTED BY THE FEDERATED UNION OF EMPLOYERS)
and
ASSOCIATION OF SCIENTIFIC TECHNICAL AND
MANAGERIAL STAFFS
Subject:
1. Redundancy terms for nine clerical/administrative workers.
Background:
2. Bord na gCapall was established in 1971 under the Horse
Industry Act, 1970 as an advisory and consultative body. In
January, 1987, the then government, in its draft budget, announced
its decision to abolish the Board. A sum of #250,000 for the
purposes of winding up the Board was provided in the Book of
Estimates. Following the change of government it was decided to
carry through the decision to abolish the Board and redundancy
notices, to expire on 31st March, 1987, were issued to the
thirteen employees. Redundancy compensation of two and a half
weeks' pay per year of service plus statutory entitlements was
proposed. The union rejected this offer and the matter was
referred, on 20th March, 1987, to the conciliation service of the
Labour Court and a conciliation conference was held on 27th March,
1987. No agreement being reached, the matter was referred to a
full hearing of the Labour Court. The hearing took place on 30th
March, 1987. The Court's recommendation, as set out hereunder,
issued to the parties by letter dated 30th March, 1987.
Union's arguments:
3. (i) The Union is claiming redundancy compensation of six
weeks' pay per year of service plus statutory
entitlements.
(ii) The work of the Board is being transferred to the
Department of Agriculture.
(iii) The loss of these jobs represents a significant saving
to the Department, in the long term.
(iv) In Labour Court Recommendation No. 7899 dated 7th April,
1983 the Court recommended four weeks' pay per year of
service, exclusive of statutory entitlements, which was
much better than the present offer.
(v) Other semi-State and State organisations have paid
higher redundancy terms (details supplied).
(vi) The workers are not prepared to co-operate with the
transfer of information to the Department in the absence
of an offer of improved redundancy terms or of
alternative employment.
Board's arguments:
4. (a) The offer of two and a half weeks' pay per year of
service is the maximum which the Board can afford. It
is possible that there may not be sufficient funds
within the #250,000 to meet this.
(b) The Board could have stated that other creditors would
be treated as a priority and that residual funds from
the #250,000 would be allocated to finance extra
statutory redundancy payments. This has not been the
case and the Board seeks implementation of compensation
at a rate of two and a half weeks pay per year of
service.
Recommendation:
5. The Court does not recommend concession of the Union's claim
for six weeks' pay per year of service but considers that in the
circumstances of this case the claimants should be paid a
redundancy sum equal to four weeks' pay per year of service in
addition to their statutory entitlements.
~
Signed on behalf of the Labour Court
Nicholas Fitzgerald
13th May, 1987. -------------------
AK/PG Deputy Chairman