Labour Court Database __________________________________________________________________________________ File Number: CD88369 Case Number: LCR11936 Section / Act: S67 Parties: EASTERN HEALTH BOARD - and - IRISH TRANSPORT AND GENERAL WORKERS UNION |
Compensation for two workers for loss of overtime earnings.
Recommendation:
5. The Court, having considered the submissions made by the
parties and noting the financial constraints on the Health Board,
does not recommend concession of the Union's claim.
Division: Mr Fitzgerald Mr McHenry Mr Devine
Text of Document__________________________________________________________________
CD88369 RECOMMENDATION NO. LCR11936
INDUSTRIAL RELATIONS ACTS, 1946 TO 1976
SECTION 67
PARTIES: EASTERN HEALTH BOARD
and
IRISH TRANSPORT AND GENERAL WORKERS UNION
SUBJECT:
1. Compensation for two workers for loss of overtime earnings.
BACKGROUND:
2. Both workers are employed by the Health Board in St. Brendan's
Hospital. One worker is a porter and since, 1973, has worked 10
hours overtime each week on cleaning duties in the assessment
unit. The other worker is employed as a registered psychiatric
nurse and since 1981, has worked 1½ hours overtime each day on
duty visiting hostels outside normal working hours. Both workers'
overtime was stopped in May, 1987, as part of the Board's cutback
measures. Following the elimination of this overtime the Union
served a claim on the Company for compensation for these workers
in respect of loss of earnings. On 22nd March, 1988, the matter
was referred to the conciliation service of the Labour Court. A
conciliation conference was held on 20th April, 1988, at which
agreement could not be reached and on 27th April, 1988, the matter
was referred to the Labour Court for investigation and
recommendation. The Court investigated the dispute on 16th June,
1988.
UNION'S ARGUMENTS:
3. 1. For the two workers involved overtime earnings have
become an integral part of their earnings. The worker
employed as a psychiatric nurse had overtime earnings of
between £1,023 in 1982 and £3,198 in 1986, and would have
earned £3,500 in 1987. The overtime earnings of the worker
employed as a porter were £69 per week or £3,120 per annum.
Both workers had made financial commitments because they had
a genuine expectation that their level of earnings would be
maintained and are now finding it difficult to meet those
commitments and the losses are having a detrimental effect on
their standard of living.
2. Both of the workers concerned were asked by the Board to
carry out the overtime duties one for 14 years and the other
for 6 years and during this period of time the Board never
asked the Union or the individuals to try to change the
rosters. This is in contrast to other cases where the Board
has argued that it tried to change the rosters and failed
because of union opposition (LCR No.'s 11403 and 11,404
refer). In the present situation the Union and the two
workers were never given the opportunity to negotiate changes
in the roster.
3. Compensation for loss of overtime earnings in the Eastern
Health Board has been well established by various Rights
Commissioners' recommendations (details supplied to the
Court) and also in various Health Boards and hospitals (LCR
No.s' 8460, 9057, 10011, 10164, 10236, 11174 refer). In this
case the overtime was an essential service which both workers
were asked to carry out. The Board has an obligation to
compensate for the loss and the workers should be paid twice
the annual loss.
BOARD'S ARGUMENTS:
4. 1. The Board's financial allocation for 1987 represented a
shortfall of £9.29 million on estimated requirements. In
order to operate within this reduced allocation the Board had
to implement a number of cost saving measures including the
elimination of overtime (details supplied to the Court).
These cutbacks were outlined to all staff representatives in
April, 1987 (details supplied to the Court). In addition to
the 1987 shortfall the Board's 1988 allocation was £6.112m
short of estimated requirements and required further
reductions in pay and non-pay costs.
2. The Board recognises that the workers' earnings have been
reduced as a result of the Board's budgetary measures.
However, concession of this claim would have repercussive
effects for the Board because the Board's policy of overtime
reduction has affected virtually every grade of worker.
Despite the shortfall in its allocation the Board has tried
to preserve employment at all times; however it still found
it necessary to terminate the employment of a number of
temporary workers last year. At a time when all funds must
be directed towards maintaining services to patients and
preserving employment, payment of compensation for loss of
earnings cannot be considered.
3. The Court has already shown its appreciation of the
Board's serious financial position. The Court in dealing
with previous claims for compensation for loss of earnings
has recognised the special financial position of the Health
Services including this Health Board and has recommended
against payment of compensation for loss of earnings (details
supplied to the Court).
RECOMMENDATION:
5. The Court, having considered the submissions made by the
parties and noting the financial constraints on the Health Board,
does not recommend concession of the Union's claim.
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Signed on behalf of the Labour Court
Nicholas Fitzgerald
__________________________
7th July, 1988
U.M./P.W. Deputy Chairman