Labour Court Database __________________________________________________________________________________ File Number: CD93550 Case Number: LCR14220 Section / Act: S26(1) Parties: DUBLIN BUS - and - NATIONAL BUS AND RAIL UNION;SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION |
Dispute concerning the introduction of minibuses under the Sector 7 Network Review.
Recommendation:
3
Division: MrMcGrath Mr Brennan Mr Rorke
Text of Document__________________________________________________________________
CD93550 RECOMMENDATION NO. LCR14220
INDUSTRIAL RELATIONS ACTS, 1946 TO 1990
SECTION 26(1), INDUSTRIAL RELATIONS ACTS, 1946 TO 1990
PARTIES: DUBLIN BUS
and
NATIONAL BUS AND RAIL UNION
SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION
SUBJECT:
1. Dispute concerning the introduction of minibuses under the
Sector 7 Network Review.
BACKGROUND:
2. Following issue of L.C.R. 14111, the Company entered into
negotiations with the Unions with a view to achieving agreement on
the IMP-type services. Local meetings took place throughout July
and August, 1993. Progress was minimal and the matter was
referred to the Labour Relations Commission.
Six conciliation conferences were held but no agreement was
reached.
The Company put a final offer to the Unions on the 17th September,
1993. The Unions rejected this offer and the Company decided to
implement the service changes for the Cabra area with effect from
the 26th September, 1993. This resulted in an all-out stoppage.
A further conciliation conference was held on the 27th September,
1993 from which an interim settlement to the dispute emerged. The
settlement provides that the following issues be referred to the
Labour Court for investigation and recommendation:
1. Numbers of Minibuses
2. Duration of Agreement
3. Effects on displaced staff
4. Voluntary Severance
5. Compensation for loss of overtime
6. Two-person operation (T.P.O.) Staff
7. One-person operation (O.P.O.) bonus consolidation
8. Staff establishments
9. Basic rate of pay for minibus drivers
COMPANY'S ARGUMENTS:
3. 1. Numbers of Minibuses / Duration of Agreement
i) The 1993-1997 Business Plan proposes the implementation of
the Network Review Project, including the gradual change
in the fleet profile by replacing 70 double-deck workings
each year with 20 double-decks, 40 single-decks and 30
minibuses. The introduction of minibuses to an area
captures the imagination of the public and generates a
whole new interest in public transport. Passenger demand
is maximised by the provision of high frequency services.
Minibuses offer greater environmental acceptability with
virtually no risk of vandalism.
ii) The Company revises its Business Plan on an annual basis
and envisages the development of the Company over the next
5 years. Because of the annual revision, the Company will
be aware from year to year of requirements for years
subsequent to 1998. This information will be communicated
to the Unions as it becomes available.
2. Effects on Displaced Staff
The Unions have requested that displaced staff should have the
right to work the new IMP service which replaces the
large-capacity service at their large-capacity rate of pay.
This is rejected by the Company. The IMP service is a
designated IMP service, worked daily by IMP drivers. It is
not acceptable to have two pay rates for an identical job on
an identical rota. Adequate compensatory payments for
displaced staff have already been agreed and sufficient
large-capacity driving-duties will be available for staff to
move onto.
3. Voluntary Severance
The Company does not see the need for Voluntary Severance in
this case due to the fact that adequate large-capacity
vacancies will be available, and because of the significant
costs involved. However, in view of L.C.R. 14111 in regard to
older drivers, the Company has made an offer in line with the
Recommendation on the introduction of feeder-buses and meets
the specific claim made by the Union, both at local
discussions and at the Labour Court during earlier
investigations.
4. T.P.O. Staff - Bogey Duties
The Unions have claimed that when a staff member is displaced
off his duty, he should continue to benefit from the
spreadover payments which applied to the duty. It should be
noted that the Company has already agreed to compensate for
loss of spreadover payments for Bogeymen in accordance with
already agreed arrangements. There are ongoing changes taking
place to bogey duties due to the necessity to change
schedules. The established method for dealing with the effect
of these changes on spreadover payments, or loss of rostered
overtime, is through the normal compensation for loss of
earnings procedure. This method, which is dealt with in
Labour Court Recommendation No. 14,111, Clause (iii), will be
applied.
5. Staff Ratio / Overtime
i) The Company operates basically the same number of duties
Monday to Saturday, with a 50% service on Sunday. As all
Drivers work a 5-day week, the required ratio of Drivers
to duties would be 6.5:5, i.e. 1.3:1. When account is
taken of staff absences due to leave, illness, etc., the
staff ratio required would be in the order of 1.625:1. As
staff are available for rest-day working, the Company has
set the ratio at 1.5:1, the minimum ratio required to
comply with the relevant legislation in the area.
ii) Overtime working mainly arises because of absences by
staff for various reasons such as annual leave, illness
and other special leave. The Company has never
compensated staff for reductions in such casual overtime
as this varies considerably from time to time depending on
variations in absences.
There are certain other situations where overtime is on a
rostered basis. In relation to this type of overtime, the
Company is prepared to pay compensation where this
overtime is eliminated or reduced as a consequence of the
Network Review.
6. Basic Rate of pay for Minibuses Drivers
The rates of pay agreed at conciliation average #209 per week.
The drivers will benefit from a number of increases over the
coming years (details supplied) and any further increases
would be debarred under Clause 5 of the P.E.S.P. Each
large-capacity duty is to be replaced by 3 minibus duties
resulting in an enormous increase in payroll costs. To
increase the rate of pay for the IMP drivers over and above
the 3% under Clause 3 of the P.E.S.P. and the 20% O.P.O. Bonus
consolidation would undermine the viability of the IMP
concept.
7. O.P.O. Bonus Consolidation
The Trade Unions have expressed concern about the length of
time that IMP drivers may have to stay in the grade before
progression to large-capacity buses. They have submitted a
claim to have the 20% O.P.O. bonus consolidated into the basic
rate of pay from the date the proposed agreement is reached on
the introduction of minibuses under the Network Review. The
future number of IMP drivers and the length of time they stay
in the grade, prior to progressing to large-capacity driving
depends on many factors (details supplied). The Company
proposes to consolidate the IMP O.P.O. bonus into the basic
rate of pay, three years after the implementation of this
Agreement, or when the number of IMP drivers reaches the level
of 200, whichever is the sooner.
UNIONS' ARGUMENTS:
4. 1. Numbers of Minibuses / Duration of Agreement
i) The introduction of 205 minibuses would impact adversely
on the already diminished opportunities for bus workers to
enhance their wages through traditional means such as
overtime, rest-day work, etc. 120 is a reasonable number
of minibuses for deployment up to the end of 1999. The
Company has agreed that it will not deploy minibuses and
large-capacity buses on the same route. As the majority
of routes are performing well financially, the scope for
introduction of minibuses is limited. The figure of 205
minibuses is unrealistic and unnecessary.
ii) Distrust has built up amongst workers as a result of
previous agreements between the parties. In order that the
workers have their fears allayed, it will be necessary that a
long-term agreement be reached, ideally until the turn of the
century (December, 1999). Such an agreement would be
acceptable to workers as they could be reasonably confident
of 7 years' industrial peace.
2. Effects on displaced staff
Presently T.P.O. staff enjoy a guarantee of their own jobs, in
their own grades, on their own routes and in their own garages
(L.C.R. 9901). It appears to be the Company's intention to
forcibly remove T.P.O. staff from route 22. Agreement can be
reached on this issue when the Company accepts that if the Unions
permit the removal of T.P.O. staff from their present routes (by
way of ballot), this is the only part of the guarantee that can be
changed. It is unacceptable that guarantees (to remain in their
own jobs and garages), given to T.P.O. staff by the Company, would
change in any shape or form.
3. Voluntary severance
The Company's proposal re. voluntary severance would be acceptable
only if the age limit of 55 is lowered and the service limit of 30
years is amended to 25 years.
4. T.P.O. Staff - Bogey Duties
Bogeymen who are displaced off their duties should receive the
spreadover payments which applied to their former duties on a
personal-to-holder basis until retirement.
5. Staff Ratio / Overtime
i) The Company is insisting that a ratio of 1.5 drivers to a
duty is necessary to secure the non-cancellation of services
due to drivers failing to report for work, etc. This ratio is
the average ratio in place over the 7 Garages within the City
at present. If minibuses are introduced, replacing
large-capacity buses and the Drivers from these large-capacity
buses are forced to revert to the Spare category, the ratio
will increase, resulting in serious consequences for existing
employees in the Company. A ratio of 1.3 will be necessary to
sustain any compulsory transfers resulting from minibus
introduction, thereby absorbing any impact additional drivers
will have on the Garage establishments.
ii) The introduction of minibuses will adversely affect
overtime opportunities for drivers. All overtime earnings
lost as a result of the introduction of minibuses must be
compensated for.
6. Basic Rate of pay for Minibus Drivers
In April, 1992 agreement was reached concerning alteration of the
rates of pay currently on offer to minibus drivers, to the new IMP
rate. The IMP minibuses were designated to replace
large-capacity, low-frequency, loss-making buses. While minibuses
have remained in operation on Routes 230, 201, 202, 203, paying
the long-established minibus rate, the Company clearly identified
the new minibus service as an IMP service, stating that the IMPs
were only to replace Routes as described above. What was agreed
in April, 1992 cannot be applied to the current proposals from the
Company. These proposals provide for the replacement of
high-frequency, large-capacity buses with IMP-type buses. In the
light of this, the replacement of large-capacity buses by IMP-type
buses and the application of IMP-type rates of pay, cannot be
conceded if the Routes are not "non-profit making, low-frequency
Routes". If they are to be replaced by minibuses, then the
large-capacity bus driver rate should apply.
In addition, the individuals affected on Route 22 should be given
the opportunity to remain on the Route and be paid the rate
personal-to-holder as there are no reasons why these drivers
should not remain on the Route. This will not affect the
Company's policy in relation to the creation of additional jobs.
7. O.P.O. Bonus Consolidation
All drivers should receive the O.P.O. Bonus from the date of
implementation of the agreement.
The O.P.O. Bonus award of 24%, recommended by the Court for Bus
Eireann drivers operating buses with seating capacity of over 20,
should also apply to Dublin Bus drivers operating minibuses with
20 seats or more.
RECOMMENDATION:
5. In an agreed statement following lengthy discussions at the
Labour Relations Commission the parties to the dispute agreed that
"reasonable progress towards achieving agreement on the
implementation of further IMP-type bus services has been made.
Other issues on which consensus could not be found were clearly
identified. These issues will be referred to the Labour Court for
immediate hearing and early recommendation."
In accordance with that statement, the Court held a hearing on the
29th of September, 1993. The Court confirmed that the issues
identified as being in dispute were those for consideration and
heard both written and oral statements from the parties on these
outstanding issues. The Court notes that, in accordance with the
agreement at the Labour Relations Commission, the Court
recommendation, together with the other issues on which consensus
had previously been reached, will be considered by both parties
and will be put to a ballot vote of each Union.
Following careful consideration of all of the issues raised, the
Court makes the following recommendations.
1. Duration of the Agreement/Number of IMP Buses.
Subject to the comments made in the final paragraph of this
recommendation the Court recommends that the agreement should
remain in place until 31st December, 1999 and during the period
of the agreement the number of IMP buses should not exceed 150.
2. Effects on Displaced Staff.
The Court, noting that every effort will be made to restrict
the number of displaced staff to a minimum, recommends that the
Company proposals on this issue should be accepted.
3.
Voluntary Severance.
The Court recommends that the terms offered be accepted
subject to the service requirement being reduced to 25 years.
4. TPO Staff.
The Court notes the Company's assurance that it is not the
intention to seek to accommodate staff on routes outside of
their own location. The Court also notes that, in respect of
certain allowances such as shift and spreadover (applicable to
'Bogeymen'), the Company will endeavour to accommodate such
staff as far as possible. Where such accommodation is not
possible, the Company will pay compensation in accordance with
already agreed arrangements.
In the light of the above, the Court recommends that the
proposals on this issue be accepted.
5. Staff Ratio/Overtime.
The Court recognises that the level at which the staff ratio
is pitched can result in loss of earnings for the staff and
additional costs and/or deterioration in the service provided
for the public. It is, therefore, in the interests of both the
staff and the Company to implement the optimium staff ratio with
a view to protecting staff earnings and providing an efficient
and cost-effective service.
To this end, the Court recommends that a staff ratio of
1.5:1 be implemented and maintained at this level.
This staff ratio should be monitored for 12 months following
acceptance of this recommendation and reviewed at the end of
this period.
6. Rate of Pay.
The Court takes the view that there are significant
differences in the effort, skill and experience requirements of
large-capacity bus and minibus drivers.
Accordingly, the Court recommends that the pay rates
currently in operation in respect of minibus drivers be
accepted.
The Court is cognisant of the fact that minibus drivers have
the potential, should they so desire, to fill vacancies for
drivers on large-capacity buses and accordingly makes its
Recommendation on the basis that all vacancies in the ranks of
large-capacity bus drivers will be filled by minibus drivers.
7. O.P.O. Bonus Consolidation.
On acceptance of the above Recommendations the Court
recommends that the O.P.O. bonus be consolidated with immediate
effect.
GENERAL
In making these Recommendations, the Court is cognisant of the
extent of the radical changes being proposed in the Dublin City
Bus Services.
If these changes are to be successful, and are to achieve the
objectives of the Company and provide secure and developing
employment for the staff, the co-operation of all concerned will
need to be assured.
To ensure that the necessary co-operation is forthcoming, the
Court recommends that a monitoring procedure be put in place which
will enable any problems of implementation which may arise to be
addressed in an expeditious manner.
The parties should in any case review the operation of the system
after 12 months have elapsed.
The Court so recommends.
~
Signed on behalf of the Labour Court
Tom McGrath
15th October, 1993. __________________
M.K./J.C. Deputy Chairman
Note
Enquiries concerning this Recommendation should be addressed to
Mr. Michael Keegan, Court Secretary.