Labour Court Database __________________________________________________________________________________ File Number: CD93198 Case Number: LCR14182 Section / Act: S26(1) Parties: COLD CHON GALWAY LIMITED - and - SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION |
A claim for a 3% wage increase as provided for under Clause 3 of the Programme for Economic and Social Progress (P.E.S.P.).
Recommendation:
The Court given the need to protect and maintain employment in the
Company and recognising the current financial constraints that
exist recommends that the claim should not be conceded at the
present time.
The Court however is of the view that the parties should review
the situation in December, 1993.
Division: MrMcGrath Mr Brennan Mr Walsh
Text of Document__________________________________________________________________
CD93198 RECOMMENDATION NO. LCR14182
INDUSTRIAL RELATIONS ACTS, 1946 TO 1990
SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990
PARTIES: COLD CHON GALWAY LIMITED
(REPRESENTED BY THE IRISH BUSINESS AND EMPLOYERS CONFEDERATION)
and
SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION
SUBJECT:
1. A claim for a 3% wage increase as provided for under Clause 3
of the Programme for Economic and Social Progress (P.E.S.P.).
BACKGROUND:
2. 1. The Company is based in Oranmore, Galway and is a small
employer whose clients are, in the main, Local Authorities.
It carries out bitumen road repair and is a seasonal employer.
The Company has implemented all three phases of PESP; the
third phase applied from the 1st April, 1993.
2. The Union submitted a claim for the 3% wage increase under
Clause 3 of the PESP. The Company rejected this claim and the
matter was referred to the Labour Relations Commission. A
conciliation conference took place on the 24th February, 1992
but no progress was made. The matter was referred by the
Labour Relations Commission to the Labour Court on the 22nd
March, 1993. The Court investigated the issue on the 21st
June, 1993.
UNION'S ARGUMENTS:
3. 1. There has been many cost-saving reductions implemented by
the Company including acceptance by the workers of the
Company's proposal to pay normal travelling time, instead of
overtime rates, to and from any spraying operations.
2. The Company is part of a multi-national company with huge
resources.
3. The workers operate in conjunction with Local Authority
workers who have received the special increase.
4. The Company's major competitors are no longer strong in
the market and therefore the Company can adjust its prices.
COMPANY'S ARGUMENTS:
4. 1. The Company's trading and financial position is poor and
it is not in a position to pay this 3% wage increase.
RECOMMENDATION:
The Court given the need to protect and maintain employment in the
Company and recognising the current financial constraints that
exist recommends that the claim should not be conceded at the
present time.
The Court however is of the view that the parties should review
the situation in December, 1993.
~
Signed on behalf of the Labour Court
Tom McGrath
______________________
23rd August, 1993. Deputy Chairman
P.O'C./J.C.
Note
Enquiries concerning this Recommendation should be addressed to
Mr. Paul O'Connor, Court Secretary.