Labour Court Database __________________________________________________________________________________ File Number: CD87170 Case Number: LCR11180 Section / Act: S67 Parties: UNILOKOMOTIVE - and - AEU |
Claim on behalf of 20 workers for an increase in pay under the 26th wage round.
Recommendation:
6. The Court having considered the submissions made by the
parties , recommends that the Union should accept management's
offer which in the Court's view is fair and reasonable in the
circumstances of this case.
Division: Mr Fitzgerald Mr Heffernan Mr O'Murchu
Text of Document__________________________________________________________________
CD87170 THE LABOUR COURT LCR11180
CC861578 INDUSTRIAL RELATIONS ACTS, 1946 TO 1976
RECOMMENDATION NO. LCR11180
Parties: UNILOKOMOTIVE LIMITED
(REPRESENTED BY THE FEDERATED UNION OF EMPLOYERS)
and
AMALGAMATED ENGINEERING UNION
Subject:
1. Claim on behalf of 20 workers for an increase in pay under the
26th wage round.
Background:
2. The Company manufacturers Unilokomotives for export
world-wide. Its main orders are received from Russia. At present
the Company employs 20 workers on a week-on/week-off basis.
3. The terms of the 25th wage round expired for the workers
concerned on 30th June, 1986. Their current basic pay rates,
inclusive of the terms of that wage round are as follows:
#
Fitters (supervisory status) #189.20
Fitters #185.20
Welders #158.80
Welder Supervisor #185.20
Driver/General Worker #158.00
Semi-Skilled #158.80
Stores #180.00
Inspectors #202.00
Painter #161.60
Assistant Spares/Purchasing #172.40
In July, 1986, the Union on behalf of the workers concerned,
served a claim on the Company for a 12% increase in basic pay for
12 months, effective from 1st July, 1986, in respect of a 26th
round wage agreement. The Company rejected the claim but in the
course of negotiations at local level made the following final
offer on the claim:
(a) 3% increase in basic pay for 10 months from 1st July,
1986 and,
(b) 3% increase in basic pay for 5 months from 1st May,
1987.
The workers rejected the offer and the matter was referred, on
25th September, 1986, to the conciliation service of the Labour
Court. Following a conciliation conference which took place on
28th January, 1987, (the earliest date suitable to both parties)
at which no further progress was made, the claim was referred to
the Labour Court on 4th March, 1987, for investigation and
recommendation. The Court investigated the dispute on 8th April,
1987, in Galway.
Union's arguments:
4. (i) The Company's offer is unacceptable to the workers on
the basis that they have had to accept very low
increases under previous wage rounds, including the
25th wage round.
(ii) The duration of the agreement proposed by the Company
is too long and the increase too low and is out of line
with settlements generally to date under the 26th wage
round.
(iii) The Union's claim is fair and reasonable and should be
conceded.
Company's arguments:
5. (a) The Company is experiencing adverse trading conditions
and has incurred recurrent losses since 1980. During
discussions at local level on the 26th wage round the
Company was confident that orders would be received and
it was on this basis that an offer was made. However,
the expected orders did not subsequently materialise
and the Company was obliged to introduce short-time
working. Despite its difficulties the Company is
prepared to honour the offer made but is not in a
position to increase further its wage costs.
(b) In all the circumstances the Company's offer is fair
and reasonable and should be accepted.
RECOMMENDATION:
6. The Court having considered the submissions made by the
parties , recommends that the Union should accept management's
offer which in the Court's view is fair and reasonable in the
circumstances of this case.
~
Signed on behalf of the Labour Court
Nicholas Fitzgerald
________________________
Deputy Chairman
13th May, 1987
T.McC./J.C.