Labour Court Database __________________________________________________________________________________ File Number: CD90621 Case Number: LCR13120 Section / Act: S67 Parties: IRISH GLASS BOTTLE COMPANY - and - NATIONAL ENGINEERING AND ELECTRICAL TRADE UNION |
Dispute concerning the implementation of a 39 hour week.
Recommendation:
8. Having considered the submissions from the parties the Court
recommends as follows in relation to the four points in dispute:-
(1) The Court notes that the claimants acknowledge that staggered
tea-breaks are in operation as required and the Court
accordingly does not recommend any change.
(2) Grace-time - The Court does not recommend concession of
Company's claim.
(3) The Court recommends that in normal conditions the employees
remain at work until 5 minutes before lunch and finishing
time. It is acknowledged that abnormal conditions do apply
which require 10 minutes or longer for washing-up. This
should continue with the parties co-operating at local level.
(4) Overtime premium to be calculated at an hourly rate of 1/39th
and applied after 40 hours.
The Court so recommends.
Division: Ms Owens Mr Keogh Mr Devine
Text of Document__________________________________________________________________
CD90621 RECOMMENDATION NO. LCR13120
INDUSTRIAL RELATIONS ACTS, 1946 TO 1976
SECTION 67
PARTIES: IRISH GLASS BOTTLE COMPANY
AND
NATIONAL ENGINEERING AND ELECTRICAL TRADE UNION
SUBJECT:
1. Dispute concerning the implementation of a 39 hour week.
BACKGROUND:
2. The Company manufactures glass containers by continuous
process and employs approximately 500 workers. The Union lodged a
claim for the implementation of a 39 hour week on behalf of 45
workers employed as fitters, turners, welders and a motor
mechanic. All the workers here concerned are employed on day
work.
3. At a meeting held in September, 1990 the Company put forward
the following proposals:-
1. Fitters to co-operate by staggering tea-breaks as
required, particularly in situations of change-overs.
2. Grace time for clocking-in to be abolished and all
employees to be at work station at 8.00 a.m.
3. Employees to remain on job until 5 minutes before lunch or
finishing time.
4. Overtime will be paid at old rates and overtime premium
will only apply after 40 hours.
The Company in return to concede finishing time of 3.45 p.m., on
Friday of normal working week.
4. The Union rejected the Company's proposals and sought the
implementation of the 39 hour week without any preconditions. The
Union maintained that there was already co-operation as regards
tea-breaks and that the other conditions formed part of local
agreements.
5. As agreement could not be reached the matter was referred to
the conciliation service of the Labour Court on 28th September,
1990. A conciliation conference was held on 12th October, 1990.
As no agreement was reached the parties consented to a referral to
the Labour Court for investigation and recommendation. A Court
hearing was held on 21st November, 1990.
UNION'S ARGUMENTS:
6. 1. As regards item 1 of the Company's proposals i.e. the
staggering of tea-breaks, the workers here concerned presently
co-operate by staggering their tea-breaks particularly in
relation to change-overs.
2. The grace time allowed for clocking in has been negotiated
and justified and forms part of the employees working
agreement.
3. In relation to item 3 of the Company's proposals the
workers here concerned have local agreements in the various
sections because of the dirty nature of the work in some
instances and the excessive heat concerning their work in
other locations. They have agreements for washing up time
depending on the nature of the work and do not see the present
proposal applying to them.
4. The proposal to pay the overtime at the old rates after 40
hours is totally unacceptable. The question of the rates of
pay is specifically covered in the framework of the agreement
on hours of work under the Programme for National Recovery
(P.N.R.). Section 6 of which states that the application of
the agreement for a reduction in hours shall not result in any
loss or gain in weekly pay for basic standard hours therefore
the new hourly rate must be calculated as 1/39th instead of
1/40th and overtime rates are calculated on multiples of the
hourly rate.
COMPANY'S ARGUMENTS:
7. 1. The industry has come under considerable pressure during
the 1980's, throughout the world, due to competition from
other packaging materials. In addition the recent Middle East
crises has eliminated, overnight, the gains from low energy
costs. If crude oil prices remain at present levels the
Company's energy costs could be as high as those pertaining in
1982 (details supplied to the Court).
2. The Company has made considerable productivity gains in
recent years, but if one compares the Company's productivity
levels with those of its independent European competitors it
can be seen that considerable further gains are necessary if
the Company is to survive in the open Market of 1992 and
beyond (details supplied to the Court).
3. The reduction from 40 to 39 hours increases costs by 2.5%
unless there is a corresponding increase in productivity to
make up for the loss of time. Maintaining the same level of
productivity is difficult to achieve and measure when there is
within a group of 45 people a number of smaller groups doing
many and varied tasks. The Company operates continuously and
this involves overtime Monday to Friday in certain situations,
and overtime at weekends on a planned and rostered fashion.
The most likely situation to arise is that the Company will
require the same number of hours to cover the same amount of
work except it will cost more to achieve the same.
7. 4. The effects of Clause 1 of the Company's proposals will
give greater flexibility particularly during change-overs.
Clauses 2 and 3 will enable the Company to re-cover some
non-productive time particularly where the wash-up time is
reduced from 10 to 5 minutes.
RECOMMENDATION:
8. Having considered the submissions from the parties the Court
recommends as follows in relation to the four points in dispute:-
(1) The Court notes that the claimants acknowledge that staggered
tea-breaks are in operation as required and the Court
accordingly does not recommend any change.
(2) Grace-time - The Court does not recommend concession of
Company's claim.
(3) The Court recommends that in normal conditions the employees
remain at work until 5 minutes before lunch and finishing
time. It is acknowledged that abnormal conditions do apply
which require 10 minutes or longer for washing-up. This
should continue with the parties co-operating at local level.
(4) Overtime premium to be calculated at an hourly rate of 1/39th
and applied after 40 hours.
The Court so recommends.
~
Signed on behalf of the Labour Court,
Evelyn Owens
___________________
12th December, 1990.
M. D. / M. F. Deputy Chairman.