Labour Court Database __________________________________________________________________________________ File Number: CD88932 Case Number: LCR12296 Section / Act: S67 Parties: POWERS SUPERMARKETS LIMITED - and - IRISH NATIONAL UNION OF VINTNERS, GROCERS AND ALLIED;TRADES ASSISTANTS |
Alleged non-implementation of an agreed night/evening crew agreement.
Recommendation:
8. On the basis of the submissions made by the parties, the Court
is of the opinion that the 1984 agreement was never formally
terminated. In the circumstances, the Court recommends that the
Company and the Union agree to terminate that agreement and to
negotiate uniform terms and conditions to apply to night workers
employed by the Company throughout the metropolitan area.
Division: Mr O'Connell Mr Shiel Ms Ni Mhurchu
Text of Document__________________________________________________________________
CD88932 RECOMMENDATION NO. LCR12296
INDUSTRIAL RELATIONS ACTS, 1946 TO 1976
SECTION 67
PARTIES: POWERS SUPERMARKETS LIMITED
(Represented by the Federated Union of Employers)
and
IRISH NATIONAL UNION OF VINTNERS, GROCERS AND ALLIED
TRADES ASSISTANTS
SUBJECT:
1. Alleged non-implementation of an agreed night/evening crew
agreement.
BACKGROUND:
2. On the 16th November, 1984, the Union negotiated terms and
conditions of employment with Tesco Ireland Limited for the start
up of an evening/night packing crew (details supplied to the
Court).
Shortly afterwards a similar agreement was reached with Power
Supermarkets Limited (Quinnsworth and Crazy Prices) for its
Sandyford branch. That agreement was as follows:-
Hours of Work
Monday 6.00 p.m. - 12.00 a.m.
Tuesday 6.00 p.m. - 12.00 a.m.
Wednesday 9.00 p.m. - 5.00 a.m.
Thursday 9.00 p.m. - 5.00 a.m.
Friday 9.00 p.m. - 6.00 a.m.
Total Hours per week = 37
Breaks
30 minutes paid break per night.
Rates of Pay
Basic day rate plus 33.33% total basic night/evening crew
rate.
Overtime
Overtime based on total night/evening crew rate, all overtime
outside normal working time paid at 2T.
Holiday Pay
Based on total basic night/evening rate plus average overtime
of the previous 13 weeks. Holidays as per day workers,
i.e. 20 days annual leave plus Good Friday and 27th December.
Sick Pay Scheme
Paid as per total basic night/evening rate.
These terms were subsequently extended to the Company's branches
in Ballymun and Kilbarrack.
3. The Union contends that in 1987 it came to its attention that
the evening/night crew workers in Sandyford were being replaced by
workers on less favourable wages and conditions. Specifically,
the Union claim that these new workers had no guaranteed working
week, no standard breaks (breaks were unpaid), the evening/night
differential was reduced to 20%, overtime was only paid after
forty hours at a reduced rate of time and a half and that there
was no guaranteed finishing time at night. It claims it raised
the matter with the Company but did not recieve a satisfactory
reply. When the Janelle Store in Finglas was opened the Company
did not apply the Sandyford agreement. The Union again raised the
issue but in response the Company was only prepared to increase
the differential from 20% to 22%. This was unacceptable to the
Union, which referred the matter to the conciliation service of
the Labour Court on the 13th October, 1988.
4. The Company, on the other hand, claim that the agreement made
for its Sandyford branch proved too costly and that it approached
the staff there on an individual basis and re-negotiated their
terms. With the exception of two employees who remained on the
shift and retained their conditions on a personal basis, all other
staff were transferred to other branches within the Company and
were paid a differential of 20%. The Company subsequently
recruited evening packing crew members in Janelle and paid a
premium of 20% on the agreed trade rate for that operation. It
was its understanding that this was agreed with the Union prior to
the opening of Janelle in April, 1987.
5. A conciliation conference was held on the 30th November, 1988.
The Company claims that it was of the view that the issue
concerned the Janelle branch only and was surprised to find in
attendance members from evening packing crews in Sandyford,
Kilbarrack and Ballybrack as well as Janelle. No agreement could
be reached at conciliation and the Union requested that the matter
be referred to the Labour Court. The Company indicated that it
wished to consider its position given that it considered the
matter should be referred to the Grocery JIC. The Company
subsequently agreed to the referral on the 2nd December, 1988. A
Court hearing was held on the 24th January, 1989.
UNION'S ARGUMENTS:
6.1 Since the Union first reached agreement with the Company on
rates and conditions in 1984, Management has totally replaced
the old crews in Kilbarrack and Sandyford with new cheaper
crews and employed new crews for Janelle and Ballybrack on
cheaper rates, all of which was done without consultation or
agreement with the Union.
6.2 The 1984 agreement was freely negotiated and there have been
no negotiations or agreement to water down its provisions.
The Company is attempting to undermine the agreement and take
advantage of the poor employment prospects of these young
workers by creating a low wage environment.
6.3 The 33.33% differential and the conditions of the 1984
agreement were applied to one of the lowest salary scales in
the country. In addition, the unsocial hours involved in
nightwork and the increased productivity achieved by night
packing warrants the terms contained in the 1984 agreement.
6.4 The Company has argued that this issue is proper to the
Grocery JIC. The Union rejects this for the following
reasons:-
- the original agreements, as negotiated with both the
Company and Tesco Ireland Limited, were negotiated outside
JIC level on an individual company basis;
- when the Company saw fit to water down the original 1984
agreement it did not do so at JIC level or by agreement
with the Union;
- the JIC determines the base rates to which the
differentials and conditions apply but has never
determined the differentials themselves.
6.5 The Company has also argued that, by agreement, one of its
main rivals pays only 16% over the rate to its night packers.
The Union, having regard to this company's trading and
economic circumstances, entered into an agreement with it in
July, 1988, on the basis of guarantees that there would be no
redundancies and no loss of earnings. This agreement was on
a trial basis, to be reviewed in December, 1988. The Union
is at present negotiating all aspects of the agreement,
including the rates and conditions applying to the night
crew.
COMPANY'S ARGUMENTS:
7.1 The Union's claim is in breach of the no cost increasing
claims clause in the 27th wage round agreement for Dublin
Supermarkets and is similarly in breach of the provisions of
the Programme for National Recovery.
7.2 The packing crew in Janelle was recruited in accordance with
the arrangements currently applying. The Company understood
that this position was acceptable to the Union.
7.3 The premium paid by the Company is considerably higher than
that applying for similar work in competing companies.
7.4 Pay and conditions for Dublin supermarkets are agreed in the
JIC for the trade. This ensures that companies are not
placed at a competitive disadvantage to each other in this
very competitive trade.
7.5 The Union is seeking that a redundant agreement made in 1984
for the Company's Sandyford branch should be applied to the
evening packing shifts. This agreement was re-negotiated on
an individual basis with the workers concerned and was
therefore terminated.
RECOMMENDATION:
8. On the basis of the submissions made by the parties, the Court
is of the opinion that the 1984 agreement was never formally
terminated. In the circumstances, the Court recommends that the
Company and the Union agree to terminate that agreement and to
negotiate uniform terms and conditions to apply to night workers
employed by the Company throughout the metropolitan area.
~
Signed on behalf of the Labour Court
27th February, 1989 ----------------
DH/PG John O'Connell
Deputy Chairman