Labour Court Database __________________________________________________________________________________ File Number: CD94129 Case Number: LCR14405 Section / Act: S26(1) Parties: BROWN THOMAS - and - MANDATE;SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION |
Dispute concerning changes to the staff accounts system - Re-hearing arising from Labour Court Recommendation 14278.
Recommendation:
1994
Division: Ms Owens Mr Brennan Mr Rorke
Text of Document__________________________________________________________________
CD94129 RECOMMENDATION NO. LCR14405
INDUSTRIAL RELATIONS ACTS, 1946 TO 1990
SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990
PARTIES:
BROWN THOMAS
(REPRESENTED BY THE IRISH BUSINESS AND EMPLOYERS CONFEDERATION)
AND
MANDATE
SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION
SUBJECT:
1. Dispute concerning changes to the staff accounts system -
Re-hearing arising from Labour Court Recommendation 14278.
BACKGROUND:
2. In November, 1993, a dispute concerning changes in the
Company's staff accounts system was the subject of a Labour
Court hearing. In LCR14278, which was issued on the 7th
December, 1993 the Court recommended as follows:
"The Court, having considered the submissions of the
parties, is satisfied that, due to the fact that a
system of interest-free credit up to an agreed limit was
available to staff for many years, this system
constituted in effect a condition of employment and as
such should not be unilaterally changed by management.
The Court would, therefore, recommend that the parties
meet in the interest of good industrial relations to
discuss the requirements of management and seek ways and
means of reaching agreement. The Court would envisage
that these negotiations should conclude within one
month".
Subsequently the parties had numerous meetings but no
agreement was reached. The Union, by letter dated 17th
February, 1994, referred the dispute to the Labour Court for
further investigation and recommendation. A Court hearing
took place on the 11th April, 1994.
UNIONS' ARGUMENTS:
3. 1. The interest-free credit scheme formerly in operation in
the Company was part of the workers' conditions of
employment. The scheme is now terminated and interest
is charged under the new system. The workers concerned
must be adequately compensated. The Union's claim for
compensation of #600 per worker is fair and reasonable,
considering the workers' loss.
2. The extension of the Company's discount system now in
operation at the Brown Thomas Store should be offered to
workers in the Group's other stores i.e. A Wear and
Switzers.
COMPANY'S ARGUMENTS:
4. 1. The Unions' claim for substantial compensation and the
extension of the discount scheme to A Wear and Switzers
is not realistic. The sum of #600 being claimed
represents a multiple of ten times the workers' loss.
2. The Company proposes (as outlined in its letter to the
Union of 10th February, 1994, Option A) to extend the
discount system to the A Wear and Switzers stores. This
discount system represents a substantial value to staff.
This scheme should be allowed to operate for a year. At
the end of that time both parties will meet and assess
if the benefit accruing to workers, by virtue of the
extended discount, represents a reasonable response to
any loss arising from the changes to the staff accounts
system.
RECOMMENDATION:
Having further considered this dispute which was the subject of
LCR14278 the Court recommends that the Union accept the Company's
offer at Option A as outlined in their letter of 10th February,
1994.
Should the review envisaged in this offer demonstrate that the
operation of the new system involved a financial loss to the
employees the Court note that the Company agree that monetary
compensation would be paid at a level agreed between the parties.
~
Signed on behalf of the Labour Court
19th April, 1994 Evelyn Owens
T.O.D./M.M. _______________
Deputy Chairman
Note
Enquiries concerning this Recommendation should be addressed to
Mr. Tom O'Dea, Court Secretary.