Labour Court Database __________________________________________________________________________________ File Number: CD89720 Case Number: LCR12639 Section / Act: S67 Parties: LIEBHERR (IRELAND) LIMITED - and - IRISH TRANSPORT AND GENERAL WORKERS UNION |
Claim by the Union for a reduction in the working week to 39 hours.
Recommendation:
5. Having considered the submissions from both parties the Court
is satisfied that to concede the Union's claim would be outside
the terms of the Programme for National Recovery. The Court
accordingly does not recommend concession of the claim and
recommends that the Company's offer to adjust the hourly rate (as
per letter dated 23/5/1989) be accepted by the Union.
Division: Ms Owens Mr Brennan Mr Walsh
Text of Document__________________________________________________________________
CD89720 RECOMMENDATION NO. LCR12639
INDUSTRIAL RELATIONS ACTS, 1946 TO 1976
SECTION 67
PARTIES: LIEBHERR (IRELAND) LIMITED
(REPRESENTED BY THE FEDERATION OF IRISH EMPLOYERS)
AND
IRISH TRANSPORT AND GENERAL WORKERS UNION
SUBJECT:
1. Claim by the Union for a reduction in the working week to 39
hours.
BACKGROUND:
2. The Union is claiming the introduction of a 39 hour week under
the terms of the Programme for National Recovery (P.N.R.). The
Company has rejected the claim stating that there is already a 37.50
hour working week in operation in the plant. Prior to June, 1973
a 42.50 hour week was in operation. The hours of work were 8.00
a.m. to 5.15 p.m. including a 15 minute paid tea break and 45
minuter paid lunch break. In June, 1973 the parties negotiated a
40 hour working week and the agreed working schedule then was 8.00
a.m. to 4.00 p.m. with a 25 minute paid lunch break. Subsequently
a 5 minute tea break came into operation from 10.00 a.m. to 10.05
a.m. The Company maintains that this working week amounts to 37.50
hours. The Union claims that their members are working a 40 hour
week and are claiming a one hour reduction in working time. The
pay structure of the workers is based on 40 hours and the Company
in a letter dated 23rd May, 1989 offered to adjust this to 39
hours for overtime purposes but totally rejects the claim for any
reduction in working hours. Local discussions failed to resolve
the dispute and the matter was referred to the conciliation
service of the Labour Court on the 14th April, 1989. A
conciliation conference was held on the 8th June, 1989 but no
agreement was reached. The dispute was referred to the Labour
Court for investigation and recommendation on the 13th October,
1989. A Court hearing was held in Killarney on the 2nd November,
1989.
UNION'S ARGUMENTS:
3. 1. The workers in this plant are no different to any others
in industry except for the fact that breaks are taken in a
different manner. This enables the workers concerned to
finish work earlier in the evening. The Union agreed
following the introduction of a forty hour week in 1973 that
25 minutes paid breaks would be amalgamated and would allow
for a 25 minute paid lunch break from 12.00 noon to 12.25 p.m.
The current pay structure (details supplied to the Court)
clearly demonstrates that a forty hour week is in operation.
2. The Company's offer to adjust the pay structure to a 39
hour week at this stage and subsequently to a 37.5 hour week
is not acceptable. In order to be consistent with the P.N.R.
the Union is seeking the extra hour off. The Company has
argued that the five minute morning tea-break was introduced
by the Union without Management agreement. This was part and
parcel of a bonus scheme agreement whereby a cup of tea was
supplied at work stations and a five minute tea break was
sanctioned.
3. The Union is surprised at the stand taken by the Company
in relation to the introduction of the shorter working week.
The workers are entitled to the extra time off under the terms
of the P.N.R. and the Union is willing to discuss with
Management ways of operating the reduced working week.
COMPANY'S ARGUMENTS:
4. 1. During the past number of years, the discussions on a
reduction of working time in Europe have been ongoing at
various levels in various countries. As this Company is part
of an international group throughout Europe Management feels
that the basic principles of operation in these companies must
be used in Ireland. It must be emphasised that no paid breaks
for tea-time, breakfast or lunch are considered within this
context in other companies within the group, thus this Company
is returning only 37.5 hours working time per normal week.
2. The Company (in a letter to the Union dated 23rd May,
1989) has offered to recognise the claim for a reduction in
the working week by offering to adjust hourly rates to reflect
shorter working hours (39) and therefore to find a new hourly
rate which would then form the basis of overtime calculations
i.e.
Present weekly wage #180.72 (40 hours x #4.518 per hour.
New hourly rate #180.72 39 hours = #4.6334 per hour.
The Company also is prepared to agree on a schedule for such
adjustment for the forthcoming period up to reaching the 37.5
hour working time as presently exists.
4. 3. The Company is of the firm opinion that the present
working time is already at 37.5 hours and that there is no
substance for a further reduction in such time. It is not
prepared and cannot under normal EEC or European regulations
entertain or agree to any further reduction in working time
until the levels in these countries are under consideration to
go below 37.5 hours. The claim by the Union is outside the
terms of the P.N.R. as these terms directly state "where the
normal working week is at or above 40 hours".
RECOMMENDATION:
5. Having considered the submissions from both parties the Court
is satisfied that to concede the Union's claim would be outside
the terms of the Programme for National Recovery. The Court
accordingly does not recommend concession of the claim and
recommends that the Company's offer to adjust the hourly rate (as
per letter dated 23/5/1989) be accepted by the Union.
~
Signed on behalf of the Labour Court,
Evelyn Owens
__15th__November,__1989. ___________________
T. O'D. / M. F. Deputy Chairman