Labour Court Database __________________________________________________________________________________ File Number: CD90464 Case Number: LCR13047 Section / Act: S20(1) Parties: LOCAL STORES TRADING LIMITED - and - IRISH DISTRIBUTIVE AND ADMINISTRATIVE TRADE UNION |
Dispute concerning terms and conditions of employment.
Recommendation:
4. The Court has considered the submissions made by the Union at
the hearing and the written information provided by the Company
which did not attend. In the light of this and taking account of
the fact that the Company chose not to meet Union representatives
as originally recommended the Court makes the following specific
recommendations on the issues raised.
Wage Rates
On this issue the Court is of the opinion that the Company has
been seriously mislead in its assessment of wage levels generally
insofar as it quotes rates for industries without any apparent
knowledge of the earnings structures of which the basic rates form
but a part.
In the circumstances and in the absence of any relevant contrary
information the Court recommends concession of the Union's claim.
Overtime
Without having heard arguments concerning the working week the
Court does not recommend any change in the formal work week for
the present. However the Court does recommend that all hours
worked over and above the formal working hours be paid for at the
rate of time and one half for the first four hours and double time
thereafter - this provision to apply to all hours required to
complete "paper work."
Night Work Premium
The Court recommends that the premium for all work done between 10
p.m. and 7 a.m. be time plus 25% - this premium to be the basis on
which overtime for night workers is calculated.
Breaks
During the unpaid meal break staff must be free to leave the
premises if they so chose and cannot be obliged to carry out work
during such break. Provision of facilities for meal and rest
breaks should be in accordance with the terms laid down by the
Shops (Conditions of Employment) Act, 1938. The Court at this
stage does not propose any change in the length of breaks allowed.
Hours of Work
Hours of work should be regularly rostered and adequate notice
provided for changes which should be made in such a manner as to
ensure a proper rest break between the end of one shift and the
start of the next.
Work on Christmas Day, New Years Day, Easter Sunday, Easter
Monday.
All work done on the above holidays should be at the rate of
treble time.
Annual Leave
The Court does not at present recommend any change in the annual
leave arrangements.
Accidents at work and Notice of Termination of Employment.
Having regard to the employers written submission the Court
assumes that the Company accepts its full legal liabilities in
respect of these matters regardless of the written terms of
employment.
Work Location
The Court recommends that the Company exercise the right to
transfer staff in a reasonable fashion and having regard to the
impact such changes may have on the life of the staff involved.
Store Managers and Staff Rules
The Union has raised a further number of specific issues under the
above heading on which the Court on this occasion is deliberately
refraining from making recommendations in the absence of detailed
argument from the employers side and in the belief that such
changes are more satisfactorily arrived at by direct discussion
between the parties. The Court on this occasion has limited the
changes recommended to the minimum required to bring conditions
into line with those prevailing generally. The Court notes the
information provided by the Company regarding its development
plans but is of the view that unless certain minimum conditions
for staff are provided for and costed such plans are based on
unreliable premises. For this reason the Court once again
recommends that the Company enters direct discussions with the
Union on all matters outstanding.
Division: Mr O'Connell Mr Collins Mr Devine
Text of Document__________________________________________________________________
CD90464 RECOMMENDATION NO. LCR13047
INDUSTRIAL RELATIONS ACTS, 1946 TO 1976
SECTION 20(1)
PARTIES: LOCAL STORES TRADING LIMITED
(TRADING AS 7-ELEVEN)
and
IRISH DISTRIBUTIVE AND ADMINISTRATIVE TRADE UNION
SUBJECT:
1. Dispute concerning terms and conditions of employment.
BACKGROUND:
2. In July, 1990 the Labour Court issued a Recommendation (L.C.R.
12954) to the effect that the Company should recognise the Union
and negotiate with it on issues concerning terms and conditions of
employment. The recommendation was accepted by the Union but was
not accepted by the Company. As the Company were unwilling to
negotiate at local level the Union referred the matter on 15th
August, 1990 to the Labour Court under Section 20(1) of the
Industrial Relations Act, 1969. The specific Union claims are as
follows:-
1. Pay, Overtime, Shift Premium - Sales Assistant.
Pay
The following scale shall apply.
Year Rate per hour
1. 3.10
2. 3.25
3. 3.42
4. 4.30
5. 4.44
6. 4.65
Overtime
Overtime will be voluntary and will apply after 39 hours.
The overtime rate will be double-time when the store is
trading. When the store is closed, overtime will be time
and a half for the first four hours and double-time
thereafter.
Shift Premium
The shift premium for the night shift will be 1/3 the
rate.
Paperwork
All paperwork will be undertaken during the employees
shift and there will be no obligation to remain on after
normal finishing time to complete paperwork.
2. Annual Leave
Annual leave is 15 days per annum. The entitlement
increases to 20 days after two years' service. All staff
should be entitled to 21 days annual leave (including
Good Friday) in their first year of employment.
3. Christmas Day/New Years Day/Easter Sunday/Easter Monday
All staff are liable for work on these National Holidays.
The Union proposes that working on these days will be
voluntary.
4. Security
The Union proposes that:
(1) The Company provides permanent security guards in
all stores which open between the hours of 9.00
p.m. and 7.00 a.m.
(2) Staff who work night shift be provided with their
taxi fare home from the store when there are no
other means of safe transport.
5. Probation
The probationary period for new employees is six months.
The Union proposes that the probationary period be
reduced to three months.
6. Breaks
The Union proposes that the staff be allowed leave the
store during their unpaid break which should last at
least one hour on the day shift. The Company has no
grounds for instructing the staff to stay at their
workplace during this break.
The paid breaks should consist of 15 minutes each and the
Company should provide adequate seating and canteen
facilities as per their legal obligations. Tea and
coffee should be provided for the staff in the stores.
Head Office staff enjoy this facility.
7. Hours of Work
Staff should get notice of their hours of work one week
in advance and they should be under no obligation to
change those hours.
Staff rosters should provide for adequate opportunity for
rest between shifts.
8. Work Location
Employees of the Company are liable to work in any of
their stores at any time. It is unfair to recruit
someone to work in Coolock and then expect them to work
in Dalkey, when they are living on the northside of the
city. Changes in work location should be reasonable and
staff should be given adequate notice of any such change.
9. Gross Misconduct
The Union proposes that the Company delete the following
from the examples of incidents which merit dismissal
without recourse to stage 1-3 of the disciplinary
procedure.
8 Absence from the workplace without permission
10 Failure to enter a sale on the cash register
accurately
11 Failure to comply with staff purchase
procedures.
10. Polygraphs
The Company state in the contract of employment that they
may use polygraph tests on their employees.
We propose that the relevant clause be removed from the
contract.
11. Store Managers
The Union claims that Store Managers should be paid
overtime when they have completed 39 hours in a week and
that they be paid the same overtime rate as sales
assistants.
All expenses incurred by them on behalf of the Company
should be reimbursed by the Company.
The Union also propose that the Labour Court recommend an
appropriate on call allowance for them.
12. Trade Unions
The following clause should be deleted from the Contract
of Employment:
"The Company has no agreement with any trade union and
does not recognise the right of any trade union to
represent any employee."
The Company should recognise the Union as the
representative of the staff whose names it has given to
the Labour Court and the Company should discuss any of
the workers grievances with the Union.
13. Change of Terms and/or Conditions
The following clause should be deleted from the Contract
of Employment:
"The Company reserves the right to change the terms
and/or conditions set out above on giving seven days
notice to its employees."
A Labour Court hearing took place on 13th September, 1990. Prior
to the hearing the Union agreed to be bound by the Court's
recommendation. The Company did not attend and was not
represented at the hearing but made a written submission to the
Court prior to the hearing.
UNION'S ARGUMENTS:
3. 1. The terms and conditions which the Union are seeking are
reasonable and are the norm in the industry. Some of the
terms and conditions applied by the Company at present are
illegal and exploitive.
2. Following the issue of L.C.R. 12954 the Company has still
refused to recognise the Union and negotiate on terms and
conditions of employment. The attitude of the Company makes a
confrontation between the parties inevitable. We request the
Court to make a specific recommendation in respect of each
issue.
COMPANY'S ARGUMENTS:
4. 1. The present terms and conditions of employment operated by
the Company compare more than favourably with those applying
in similar employments. They are reviewed and updated
regularly, taking account of staff inputs through the internal
communications network and the Company's concern to provide an
attractive working environment. The terms of employment
operated by the Company comply fully with the legal
requirements.
2. The Company is preparing a staff handbook, which is due
for issue in the coming weeks, which explains the logic and
reason for its policies and procedures.
3. There is no basis for accepting the Union's claim for
changes in the terms and conditions of employment. The claims
are unrealistic and would damage the Company's ability to
succeed in the highly competitive convenience store business.
RECOMMENDATION:
4. The Court has considered the submissions made by the Union at
the hearing and the written information provided by the Company
which did not attend. In the light of this and taking account of
the fact that the Company chose not to meet Union representatives
as originally recommended the Court makes the following specific
recommendations on the issues raised.
Wage Rates
On this issue the Court is of the opinion that the Company has
been seriously mislead in its assessment of wage levels generally
insofar as it quotes rates for industries without any apparent
knowledge of the earnings structures of which the basic rates form
but a part.
In the circumstances and in the absence of any relevant contrary
information the Court recommends concession of the Union's claim.
Overtime
Without having heard arguments concerning the working week the
Court does not recommend any change in the formal work week for
the present. However the Court does recommend that all hours
worked over and above the formal working hours be paid for at the
rate of time and one half for the first four hours and double time
thereafter - this provision to apply to all hours required to
complete "paper work."
Night Work Premium
The Court recommends that the premium for all work done between 10
p.m. and 7 a.m. be time plus 25% - this premium to be the basis on
which overtime for night workers is calculated.
Breaks
During the unpaid meal break staff must be free to leave the
premises if they so chose and cannot be obliged to carry out work
during such break. Provision of facilities for meal and rest
breaks should be in accordance with the terms laid down by the
Shops (Conditions of Employment) Act, 1938. The Court at this
stage does not propose any change in the length of breaks allowed.
Hours of Work
Hours of work should be regularly rostered and adequate notice
provided for changes which should be made in such a manner as to
ensure a proper rest break between the end of one shift and the
start of the next.
Work on Christmas Day, New Years Day, Easter Sunday, Easter
Monday.
All work done on the above holidays should be at the rate of
treble time.
Annual Leave
The Court does not at present recommend any change in the annual
leave arrangements.
Accidents at work and Notice of Termination of Employment.
Having regard to the employers written submission the Court
assumes that the Company accepts its full legal liabilities in
respect of these matters regardless of the written terms of
employment.
Work Location
The Court recommends that the Company exercise the right to
transfer staff in a reasonable fashion and having regard to the
impact such changes may have on the life of the staff involved.
Store Managers and Staff Rules
The Union has raised a further number of specific issues under the
above heading on which the Court on this occasion is deliberately
refraining from making recommendations in the absence of detailed
argument from the employers side and in the belief that such
changes are more satisfactorily arrived at by direct discussion
between the parties. The Court on this occasion has limited the
changes recommended to the minimum required to bring conditions
into line with those prevailing generally. The Court notes the
information provided by the Company regarding its development
plans but is of the view that unless certain minimum conditions
for staff are provided for and costed such plans are based on
unreliable premises. For this reason the Court once again
recommends that the Company enters direct discussions with the
Union on all matters outstanding.
~
Signed on behalf of the Labour Court
John O'Connell
________________________
18th October, 1990 Deputy Chairman.
A.S./J.C.