Labour Court Database __________________________________________________________________________________ File Number: CD92431 Case Number: LCR13776 Section / Act: S26(1) Parties: BECTON DICKINSON AND COMPANY LIMITED - and - SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION |
Equalising of conditions of employment in the Dun Laoghaire plant with the conditions of employment in the Drogheda plant, in cases of re-deployment resulting in downgrading (Red-Circling).
Recommendation:
5. The Court has considered the submissions made by the parties.
Having regard to the very specific conditions attached to the
provision of Red-Circling and the very limited number of personnel
to whom it potentially applies in this instance, the Court
recommends that the Company concede the Union's claim.
Division: Mr O'Connell Mr Brennan Mr Walsh
Text of Document__________________________________________________________________
CD92431 RECOMMENDATION NO. LCR13776
INDUSTRIAL RELATIONS ACTS, 1946 TO 1990
SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990
PARTIES: BECTON DICKINSON AND COMPANY LIMITED
and
SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION
SUBJECT:
1. Equalising of conditions of employment in the Dun Laoghaire
plant with the conditions of employment in the Drogheda plant, in
cases of re-deployment resulting in downgrading (Red-Circling).
BACKGROUND:
2. Becton Dickinson is one of the world's leading manufacturers
of hypodermic needles and syringes and other health care products.
The Company has two plants in Ireland - Drogheda since 1964 and
Dun Laoghaire since 1969. In 1986, agreements were reached in
both Drogheda and Dun Laoghaire plants relating to pay rates and
job categories. These agreements differ in cases of re-deployment
which result in downgrading. In Drogheda, a system of
'Red-Circling' applies to employees who joined the Company before
31/10/86. Employees in Drogheda, who joined after 31/10/86 have
the same entitlements as those in the Dun Laoghaire plant, where
an 18-month phasing-out system is in operation.
The Union claims that the Drogheda 'Red-Circling' arrangement
should apply to employees in the Dun Loaghaire plant. The Company
rejects this claim.
The dispute was referred to the Labour Relations Commission and
conciliation conferences were held on 8/6/92 and 23/6/92, at which
agreement was not reached. The dispute was referred to the Labour
Court on the 23rd of July, 1992 in accordance with Section 26(1)
of Industrial Relations Act, 1990. The Court investigated the
dispute on the 11th September, 1992.
UNION'S ARGUMENTS:
3. 1. Even though Drogheda and Dun Laoghaire negotiate terms and
conditions separately there is a well-established relationship
between the two plants which culminated with the equalisation
of their conditions of employment in 1986. The equalisation
of conditions was further highlighted when Drogheda negotiated
a 1% increase in pay and the 1% increase was later applied in
Dun Laoghaire. Having negotiated the present 18-month
phasing-out agreement in good faith, the Union was surprised
to learn subsequently (in 1989) of the 'Red-Circling'
arrangement in Drogheda, and immediately submitted a parity
claim. Due to ongoing negotiations on reorganisation the
claim was not processed until June, 1992.
COMPANY'S ARGUMENTS:
4. 1. Negotiations are held separately at each plant and it is
impossible to have agreements that are identical in every
respect. Parity only exists on pay rates and there is no
overall agreement on parity of conditions of employment.
2. The Company believes that its provision of grade-retention
of 18 months far exceeds that in operation generally within
industry. (To date, suitable positions at their original
grade were found for all employees re-deployed, before the
18-month period had elapsed). The 'Red-Circling' principle
was used in Drogheda to allow a group of employees to retain a
benefit. To extend this benefit to another group of employees
is contrary to this principle. Knock-on effects would lead to
each Union group selectively making claims at each plant on
issues which are in their favour.
RECOMMENDATION:
5. The Court has considered the submissions made by the parties.
Having regard to the very specific conditions attached to the
provision of Red-Circling and the very limited number of personnel
to whom it potentially applies in this instance, the Court
recommends that the Company concede the Union's claim.
~
Signed on behalf of the Labour Court
John O'Connell
---------------
30th September, 1992. Deputy Chairman
M.K./J.C.
Note
Enquiries concerning this Recommendation should be addressed to
Mr. Michael Keegan, Court Secretary.