Labour Court Database __________________________________________________________________________________ File Number: CD93124 Case Number: LCR14046 Section / Act: S26(1) Parties: IRISH DISTILLERS - and - SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION;TECHNICAL ENGINEERING AND ELECTRICAL UNION;UNION OF CONSTRUCTION AND ALLIED TRADES TECHNICIANS;MANUFACTURING SCIENCE FINANCE;IRISH DISTILLERS STAFF ASSOCIATION |
Implementation of Clause 3 of the Programme for Economic and Social Progress (P.E.S.P.).
Recommendation:
5. In the light of the submissions made by the parties, the Court
is of the opinion that the changes sought by the Company in return
for the payment of the 3% are clearly in accordance with the terms
of Clause 3 of the P.E.S.P. The Court therefore recommends that
the Unions agree to:
(1) The introduction of fortnightly pay
and
(2) The installation of Electronic Time-Recording.
The Court further recommends that in return for acceptance of
these terms the Company should amend its offer to provide for the
payment of 3% with effect from 1st September, 1992.
Division: Mr O'Connell Mr McHenry Mr Rorke
Text of Document__________________________________________________________________
CD93124 RECOMMENDATION NO. LCR14046
INDUSTRIAL RELATIONS ACTS, 1946 TO 1990
SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990
PARTIES: IRISH DISTILLERS
and
SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION
TECHNICAL ENGINEERING AND ELECTRICAL UNION
UNION OF CONSTRUCTION AND ALLIED TRADES TECHNICIANS
MANUFACTURING SCIENCE FINANCE
IRISH DISTILLERS STAFF ASSOCIATION
SUBJECT:
1. Implementation of Clause 3 of the Programme for Economic and
Social Progress (P.E.S.P.).
BACKGROUND:
2. The Unions lodged a claim for the implementation of a 3% pay
increase under Clause 3 (Local Bargaining) of the Programme for
Economic and Social Progress. The claim was on behalf of
approximately 400 workers located at Dublin, Midleton, Cork and
Galway. The increase was to take the form of a basic pay
increase, or the equivalent improvement in the Company's Pension
Scheme, with effect from the 1st of September, 1992. Following
local discussions, the Unions decided to seek the 3% increase on
basic pay. The Company sought three concessions in return for the
pay increase.
(i) The introduction of Electronic Time-keeping Systems.
(ii) Fortnightly payment of wages.
(iii) Payment by non-cash means.
Conciliation conferences were held in the Labour Relations
Commission in September and October, 1992 at which the Company
withdrew the requirement that payment be made by non-cash means.
The Unions were not prepared, in particular, to concede on the
issue of the introduction of Electronic Time-keeping, which was
strongly opposed by the 23 workers in the North Mall in Cork.
Further meetings followed and agreement was not reached. The
Company's proposals (which included the phased payment of the 3%)
were rejected by ballot of the workers.
The dispute was referred to the Labour Court on the 9th of
February, 1993 in accordance with Section 26(1) of the Industrial
Relations Act, 1990. The Court investigated the dispute on the
29th of March, 1993.
UNION'S ARGUMENTS:
4. 1. The workers have contributed significantly to the
Company's strong position over the past five years, without
any compensation other than the basic terms of the Programme
for National Recovery. Their contribution to increased
productivity has earned the P.E.S.P. 3% pay increase.
2. Regarding the Electronic Time-keeping, the introduction of
the system would have an adverse affect on the trust that has
built up in the plant in North Mall.
3. The concessions sought by the Company are perceived by
workers as being sought in order to impress 'the Company's
French masters, Pernod Ricard'.
COMPANY'S ARGUMENTS:
4. 1. The Company's requirements in return for the special 3%
increase are no more onerous than those negotiated by many
other Companies.
2. The Company is presently experiencing difficult trading
due to currency fluctuations, high interest rates and
recession in key markets.
3. All workers, from the top down, receive a profit-sharing
bonus as a reward for their contribution to profitability
(most recently #3,500 per worker).
RECOMMENDATION:
5. In the light of the submissions made by the parties, the Court
is of the opinion that the changes sought by the Company in return
for the payment of the 3% are clearly in accordance with the terms
of Clause 3 of the P.E.S.P. The Court therefore recommends that
the Unions agree to:
(1) The introduction of fortnightly pay
and
(2) The installation of Electronic Time-Recording.
The Court further recommends that in return for acceptance of
these terms the Company should amend its offer to provide for the
payment of 3% with effect from 1st September, 1992.
~
Signed on behalf of the Labour Court
John O'Connell
___________________
19th April, 1993 Deputy Chairman.
M.K./J.C.
Note
Enquiries concerning this Recommendation should be addressed to
Mr. Michael Keegan, Court Secretary.