Labour Court Database __________________________________________________________________________________ File Number: CD94179 Case Number: LCR14429 Section / Act: S26(1) Parties: THE PEOPLES BAKERY - and - THE BAKERY AND FOOD WORKERS' AMALGAMATED UNION |
Claim by the Union, on behalf of five workers, for enhanced redundancy terms.
Recommendation:
Having considered the submissions from the parties and the details
supplied on a confidential basis, the Court is of the view that it
could not recommend in favour of the Union's claim.
Division: Ms Owens Mr McHenry Mr Walsh
Text of Document__________________________________________________________________
CD94179 RECOMMENDATION NO. LCR14429
INDUSTRIAL RELATIONS ACTS, 1946 TO 1990
SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990
PARTIES:
THE PEOPLES BAKERY
(REPRESENTED BY THE IRISH BUSINESS AND EMPLOYERS CONFEDERATION)
AND
THE BAKERY AND FOOD WORKERS' AMALGAMATED UNION
SUBJECT:
1. Claim by the Union, on behalf of five workers, for enhanced
redundancy terms.
BACKGROUND:
2. Due to a down turn in business and continuing financial
losses the Company introduced a rationalisation programme
which involved a number of redundancies. The Company offered
statutory redundancy terms to the workers concerned. The
Union is claiming enhanced redundancy payments on behalf of
the workers. Management rejected the claim. The issue was
referred to the Labour Relations Commission and a
conciliation conference was held on the 14th February, 1994.
As no agreement was reached the dispute was referred to the
Labour Court on the 21st March, 1994. The Court investigated
the dispute in Limerick on the 26th April, 1994.
UNION'S ARGUMENT:
3. 1. The workers concerned have made a substantial
contribution to the Company over the years. They
increased productivity when numbers in the employment
were reduced. They have worked in the Company for a
long number of years (some over 30 years)and accordingly
are entitled to enhanced redundancy payments.
COMPANY'S ARGUMENTS:
4. 1. The Company cannot pay increased redundancy payments to
the workers concerned. It has sustained substantial
losses and has been forced to implement redundancies.
The Company is in a serious financial situation (details
supplied to the Court).
2. It has always been Company policy to pay statutory
entitlements and this has been accepted by the Union
over the years. Concession of the Union's claim would
exacerbate the Company's cashflow problems. The Company
is under severe financial pressure.
RECOMMENDATION:
Having considered the submissions from the parties and the details
supplied on a confidential basis, the Court is of the view that it
could not recommend in favour of the Union's claim.
~
Signed on behalf of the Labour Court
6th May, 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.