LCR12180

Subject:
Claim on behalf of 28 leading hands for an increase in pay.

Recommendation:
5. The Court, noting that as a result of the Viability Agreement
all employees in Dublin Gas were subject to changed work practices
and responsibilities for which no compensation has been paid, is
not satisfied that the additional responsibility on which lead
hands have made their claim justifies payment of the rate claimed.

The Court accordingly does not recommend concession of the claim.

Division: Ms Owens Mr Collins Mr Walsh

Text of Document__________________________________________________________________

CD88867 RECOMMENDATION NO. LCR12180


INDUSTRIAL RELATIONS ACTS, 1946 TO 1976
SECTION 67

PARTIES: NEW DUBLIN GAS

AND

FEDERATED WORKERS' UNION OF IRELAND
AUTOMOBILE, GENERAL ENGINEERING AND MECHANICAL
OPERATIVES UNION


SUBJECT:
1. Claim on behalf of 28 leading hands for an increase in pay.



BACKGROUND:
2. Leading hands are employed in the distribution or mains
department of the Company. Their job covers all work connected
with underground mains and services from the point where gas
leaves the Cork-Dublin pipeline, up to the point where it enters
homes and premises. They work in a two man gang, which is a
mobile unit carrying all the normal requirements in terms of
tools, stores and equipment needed for work on the mains system.
As is obvious from its title, the two man gang is made up of two
people, one a gasman 1 or gasman 11, the other a leading hand.
The current wages for each category is as follows:-


Gasman 11 - #210.05
Gasman 1 - #215.92
Leading Hand - #225.76
Gas Fitter - #229.09


The Unions are claiming that the claimants are not adequately
compensated for their responsibilities and are seeking parity with
the gas-fitters grade. This has been rejected by the Company.
Following the failure of local level negotiations, the matter was
referred to the conciliation service of the Labour Court on the
11th October, 1988. No agreement was reached at a conciliation
conference on the 18th October and the issue was referred to the
Labour Court for investigation and recommendation. A Court
hearing was held on the 2nd December, 1988.


UNIONS' ARGUMENTS:
3. 1. Prior to 1981, there were two separate positions i.e. main
layer and service layer. Both of these operated in four or
five man gangs. In addition, they were supported by separate
transport back-up. In 1981, with the introduction of the
Comprehensive Work Agreement, the skills of the main layer and
service layer were amalgamated, the gangs were reduced to a
three man gang, transport back-up was radically reduced, and
the gangs became mobile and fully-equipped. In 1986,
following the Company going into liquidation, a Viability
Agreement was entered into with a Receiver, and the three man
gang was further reduced to a two man gang.

2. It can therefore be seen that the leading hand's job as
presently constituted, is an amalgam of many jobs e.g. main
layer, service layer, driver, compressor operator. In
addition, he is obliged to join in all the work of his gang
e.g. opening and back filling ground etc., on a fully flexible
basis.

3. In 1983, natural gas was introduced to Dublin. This
obliged the leading hands to be trained in, and accept
responsibility for, new materials, techniques and procedures
for dealing with natural gas.

4. On New Year's Day 1987, an explosion occurred at Raglan
House leading to the destruction of that block of flats and
the deaths of two people. As a result of this tragedy, the
Government, through the Minister of Energy, commissioned a
firm of consultant engineers and scientists to investigate the
accident and to make recommendations, including
recommendations for escape procedures in Dublin Gas Company.
The introduction of these new procedures led to the claimants
being obliged to be re-trained. In situations where gas
escapes were handed over to them by gas fitters and there was
a requirement for gas-fitters to stay on the job, the leading
hands are obliged to take full control, including supervision
of the gas-fitter, until the job is completed.

5. One further development arising from the aftermath of
Raglan House was the heightening of public concern over the
danger to life and property which can occur from gas-escapes.
The leading hands were placed right in the firing-line in
dealing with the public, in situations where there was danger
to human life and people's homes. There can be no doubt that
this has increased the pressure and responsibilities of the
workers concerned.

6. The Unions have repeatedly reminded the Company that it
has become extremely difficult to get the gasman 1 grade
worker to opt for leading hand positions. The reason for
this, which has been stated quite clearly by the gasman 1
grade to the Unions, is that they are unwilling to accept the
responsibilities of a leading hand's position for the meagre
additional money that comes with the job.



COMPANY'S ARGUMENTS:
4. 1. The Viability Agreement entered into in 1986 involved a
major renegotiation of work practices which resulted in major
changes. These changes required employees to accept
additional responsibilities, improved productivity and
withdrawal of benefits. No other section or category of
employee in the utility has been compensated for changes in
work practice.


2. The tragic incident in Raglan House meant that further
changes had to take place. The consultants engaged to
investigate the incident made many recommendations, three of
which are quoted hereunder.

" The Management with the full support of Unions,
should take vigorous steps to improve the safety
awareness of all personnel and thereby restore public
confidence in the Utility."

" The Operating Practice Manual should be rewritten in
clear, simple form and be capable of being used
directly by crews and contractors in the workplace,
to show the standards and procedures expected for a
particular task. A copy should be held by each
Distribution Crew. The Operating Practice Manual
(which includes the leak investigation procedures)
should become the workbook, which is reinforced by
frequent training and site supervision. It should be
regularly updated."

" Management should ensure that the recording of gas
escape details, and standards of documentation, are
improved. The computer system for the Distribution
Department should be installed as soon as possible."

These recommendations were implemented in full and it meant
that inferior practices which had been acceptable in the past
over many years were replaced by practices and procedures
which clearly defined roles and responsibilities. These
changes, some of which were already in the process of being
implemented as a result of the Viability Agreement meant that
all employees in Dublin Gas, including leading hands were
subject to changed working practices and responsibilities. No
category of employee has been compensated for these changes.


3. The additional responsibility on which leading hands base
their claim is in fact an additional safety procedure in that
they can request a gas fitter to stand by an escape until such
time as they (leading hands) are satisfied that the escape is
under control. In the event of the leading hand needing
assistance, his foreman is available to him through direct
radio contact.




4. 4. In 1988, Dublin Gas will have an operating loss of IR#4
million approximately. This figure does not include capital
or interest charges on networks and buildings taken over by
Bord Gais Eireann in November, 1987, or capital and interest
charges on new capital projects (which cost IR#16 million in
1988 alone). The projected operating loss for 1989 is in the
region of IR#3 million. Capital expenditure in 1989 is
expected to be IR#20 million approximately.



5. Section 2, sub section 3 of the Gas (Amendment) Act, 1987
states "the Board shall publish each year separate audited
accounts of the Dublin Gas Company operation showing the full
financial position of the Company including details of the
contract for purchase of gas and a general description of the
tariffs for sale of gas to Customers". This legislation
enabled the purchase of the assets of Dublin Gas Company by
Bord Gais Eireann. It also requires Dublin Gas to be
profitable. At this point in time, it is not and is unlikely,
as an individual utility to be profitable for some years to
come. There is no money available to meet cost increasing
claims.



6. The Job Classification Agreement referred to previously
was accepted by all Unions, including the F.W.U.I. and the
A.G.E.M.O.U., including the provision relating to leading
hands in distribution department.



7. It is clear to Management that any concession to a section
for regrading in respect of additional duties will result in a
chain reaction throughout the Organisation. Evidence of this
trend would include the electricians and gas supply
superintendents whose claims have already been before the
Court and the gas fitters who have indicated through their
Union that they are processing their claim through the Court.



8. In light of the financial position, the effect of
repercussive claims which would be generated and the fact that
so many changes etc. have occurred, without any additional
compensation being awarded for such changes, Management
respectfully suggests to the Court that no merit exists for
the Unions' claim and that it recommend accordingly.