Labour Court Database __________________________________________________________________________________ File Number: CD89689 Case Number: LCR12676 Section / Act: S67 Parties: ANGLO IRISH BEEF PROCESSORS LIMITED - and - IRISH TRANSPORT AND GENERAL WORKERS' UNION |
Dispute concerning (a) extension of existing overtime arrangements (Monday to Friday inclusive) and (b) slaughtering of cattle on Saturdays at the Company's plant at Grange Meats, Nenagh.
Recommendation:
9. The Court having considered the oral and written submissions
of the parties is of the view that notwithstanding the seasonal
nature of the Industry the level of time being worked is excessive
particularly given the current levels of unemployment.
The Court makes the following recommendations:-
(a) That the employees agree to work one and a quarter hours
overtime on four nights of the week Monday to Friday
inclusive as required.
(b) That the option of killing be made available to the
Company on Saturdays subject to the terms offered on
bonus by the Company with an increase in the lump sum to
#150.
(c) That the Union and the Company agree to the
implementation of the piece work system on a trial basis
for a period to be agreed between the parties.
The scheme to be reviewed at the end of the trial
period.
The Court during the hearing was disturbed at the indications
given that a poor industrial relations climate existed in the
Company. The Court exhorts the parties to critically examine
their relationship and to take such action as is necessary to
redress any grievances or perceived grievances as may be
highlighted with a view to achieving greater co-operation and
creating a more efficient and competitive Company.
Division: MrMcGrath Mr Keogh Ms Ni Mhurchu
Text of Document__________________________________________________________________
CD89689 RECOMMENDATION NO. LCR12676
INDUSTRIAL RELATIONS ACTS, 1946 TO 1976
SECTION 67
PARTIES: ANGLO IRISH BEEF PROCESSORS LIMITED
(REPRESENTED BY THE FEDERATION OF IRISH EMPLOYERS)
and
IRISH TRANSPORT AND GENERAL WORKERS' UNION
SUBJECT:
1. Dispute concerning (a) extension of existing overtime
arrangements (Monday to Friday inclusive) and (b) slaughtering of
cattle on Saturdays at the Company's plant at Grange Meats,
Nenagh.
BACKGROUND:
2. Grange Meats is a member of the Anglo Irish Beef Processors
Group and is based just outside Nenagh, Co. Tipperary. The
Company has roughly 100 permanent employees plus a varying number
of temporary employees at different times of the year.
3. In 1984, after a strike lasting several weeks a new Plant
Agreement was entered into. The workers have continued to work
under its conditions since. Under Clause 18 of the Agreement all
employees are required to work up to 1.25 hours overtime on any
evening from Monday to Thursday, when requested to do so by
Management. There is no agreement for Fridays although overtime
is sometimes worked on a voluntary basis.
4. In 1988 the Company entered into negotiations with the Union
formally seeking to change the Agreement to allow for requirements
for overtime to be dictated by market conditions. The Company
considers that the present overtime restrictions are eroding its
competitiveness. In addition the Company is seeking agreement
from the Union to a level of overtime on Saturdays to enable it to
carry out killing on Saturdays. At present the Company maintain
that it cannot get enough people to man the killing line on
Saturdays and those workers who do volunteer to work on Saturdays
want to do other work rather than killing. The Company estimates
that the overtime would be required for 6-8 Saturdays a year.
5. The Union indicated that the workers are unwilling to concede
further claims by the Company without adequate compensation. The
Union is seeking improvements in the following conditions in
return for extra slaughtering hours:
(a) Increase in basic rates,
(b) Increase in bonus and unfreezing of same,
(c) Introduction of contributory sick pay scheme,
(d) Increase in premium for Saturday kill.
The Company rejected the Union's claim on the basis that the
changes sought are fair and reasonable and in line with practices
which prevail in the meat industry generally.
6. As no agreement was reached at local level the matter was
referred to the conciliation service of the Labour Court in June,
1988. A number of conciliation conferences were held, the last
one on the 22nd June, 1989. As no agreement was possible both
parties subsequently consented to a referral to the Labour Court
for investigation and recommendation. A Court hearing was held in
Nenagh on the 15th November, 1989.
COMPANY'S ARGUMENTS:
7. 1. The employees present rigid interpretation of the
Productivity Agreement concerning the 1.25 hour rule on overtime
is having a devastating effect on supplier and customer
relations where on occasions a little flexibility was
necessary to maintain a good Company image with suppliers.
This has meant that, on several occasions in the past, the
workers have refused to complete the killing of the herd of a
particular farmer or agent requiring him to return at great
inconvenience and cost on the next killing day, which may,
depending on the time of season, be two or three days later.
This reflects badly on all concerned.
2. The workers have also failed on occasions to complete the
loading of containers showing a disregard for the Company's
shipping requirements. This has resulted in meat arriving too
late to meet customer requirements which as a consequence has
resulted in a loss of business.
3. The workers' restrictions on the killing of cattle on
Saturdays is beyond management's comprehension as the number
of Saturdays on which cattle would be killed is always going
to be limited and in addition other companies have this option
if needed. The main problem is that the workers who would
work on Saturdays want to do work of their own choice, i.e.
loading or packing operations rather than the Company's choice
or needs even though they can earn more money by way of extra
bonus payments for killing.
4. What the Company is seeking from its employees is both
reasonable and fair and in itself equates to the norm
elsewhere. The Union's attitude has shown little regard for
the realities of commercial life and for the consequences of
ignoring those realities. The Court is therefore asked to
recommend that the restrictions on overtime working be removed
and that the option of Saturday killing be available to the
Company.
UNION'S ARGUMENTS:
8. 1. The present Productivity Agreement is by common consent
one of the most restrictive in Irish Industry. For instance
the bonus scheme, which to the best of the Union's knowledge,
is the worst in the meat industry, has not been increased
since 1983 whereas basic wages have increased by 40% since
then. The basic rate is at the bottom end of wage rates
within the industry (details supplied to the Court). The
ratio of skilled grades to unskilled grades is also completely
out of line.
2. The workers have a compulsory 45 hour week. In addition
many volunteer to work 2 hours before normal starting time and
are also available on Saturdays when required for loading etc.
The workers object to the extension of compulsory overtime.
These extra hours are normally required during the months
September to December to maximise Company profits when
Intervention and A.P.S. Schemes are in operation. The workers
feel justified in seeking extra remuneration if additional
killing time is required.
3. The workers have agreed to kill for additional hours in
the event of a breakdown and have killed on Saturdays.
4. The nature of the work is very tough physically and the
extensive hours worked are already putting a strain on the
individual and family life. To ensure a reasonable wage the
workers are compelled to work extensive overtime and are not
disposed to give further concession to the Company without
some reward and in any case they do not want an extension of
the compulsory element. In no other plant agreement in the
Nenagh Branch Area is there a compulsory overtime clause.
RECOMMENDATION:
9. The Court having considered the oral and written submissions
of the parties is of the view that notwithstanding the seasonal
nature of the Industry the level of time being worked is excessive
particularly given the current levels of unemployment.
The Court makes the following recommendations:-
(a) That the employees agree to work one and a quarter hours
overtime on four nights of the week Monday to Friday
inclusive as required.
(b) That the option of killing be made available to the
Company on Saturdays subject to the terms offered on
bonus by the Company with an increase in the lump sum to
#150.
(c) That the Union and the Company agree to the
implementation of the piece work system on a trial basis
for a period to be agreed between the parties.
The scheme to be reviewed at the end of the trial
period.
The Court during the hearing was disturbed at the indications
given that a poor industrial relations climate existed in the
Company. The Court exhorts the parties to critically examine
their relationship and to take such action as is necessary to
redress any grievances or perceived grievances as may be
highlighted with a view to achieving greater co-operation and
creating a more efficient and competitive Company.
~
Signed on behalf of the Labour Court
Tom McGrath
________________________
11th December, 1989. Deputy Chairman
M.D./J.C.