Labour Court Database __________________________________________________________________________________ File Number: CD94459 Case Number: LCR14568 Section / Act: S26(1) Parties: ADELPHI/CARLTON LIMITED - and - SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION |
Redundancy of workers employed at the Carlton Cinema.
Recommendation:
Having considered the submissions from the parties the Court
recommends that the Union accept the Company's proposal that the
employees apply for positions in the new multi-complex as per the
Company document (Appendix 1). The Company for its part should
give due recognition to the experience and service of the
employees in the Carlton.
Employees who are unsuccessful or who opt for redundancy should be
paid redundancy at the rate of 3 weeks' pay per year of service,
plus statutory and a lump sum of #1,500.
The Court so recommends.
Division: Ms Owens Mr Keogh Mr Walsh
Text of Document__________________________________________________________________
CD94459 RECOMMENDATION NO. LCR14568
INDUSTRIAL RELATIONS ACTS, 1946 TO 1990
SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990
PARTIES:
ADELPHI/CARLTON LIMITED
(REPRESENTED BY THE IRISH BUSINESS AND EMPLOYERS CONFEDERATION)
AND
SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION
SUBJECT:
1. Redundancy of workers employed at the Carlton Cinema.
BACKGROUND:
2. The Adelphi/Carlton Limited operate the Adelphi and Carlton
cinemas in Dublin City Centre. The Company is owned by
Metro-Goldwyn-Mayer Cinemas (UK) Limited who intend to open a
"multiplex" 9 screens cinema in Parnell street, Dublin, in
early 1995. It is proposed to use an independent recruitment
agency to recruit for the multiplex.
The workers concerned in the dispute are employed in the
Carlton Cinema. In April, 1994 they were informed by
management that the cinema would close in August, 1994.
Subsequently this date was changed to late October, 1994.
The Company currently employ (in the Carlton) 19 full-time,
11 part-time and 4 casual workers.
Local level discussion took place at which the Union sought
continuity of employment for the workers concerned at the new
cinema. The Company's position is that any member of the
Carlton staff seeking employment in the multiplex would be
required to apply in the same manner and go through the same
selection procedures as external applicants.
Carlton employees who are unsuccessful in their application
or employees who do not apply will be offered severance terms
of 3 weeks' pay per year of service inclusive of statutory
entitlement.
The dispute was referred to the Labour Relations Commission.
Conciliation conferences were held in June, 1994 and August,
1994. At the second conciliation conference the Company put
forward a proposal that all things being equal Carlton
employees would be given preference over external
candidates. As no agreement was reached the dispute was
referred by the Labour Relations Commission to the Labour
Court on 1st September, 1994 in accordance with Section 26(1)
of the Industrial Relations Act, 1990. A Labour Curt hearing
took place on 27th September, 1994.
UNION'S ARGUMENTS:
3. 1. The closure of the Carlton cinema and the opening of the
multiplex cinema is a re-location of business by its
owners M.G.M. In the circumstances there is no
justification for the Company's refusal to offer the
workers direct transfer to the multiplex.
2. The Company's contention that Adelphi/Carlton Limited
and M.G.M. cinemas are separate organisations is not
supported by the facts and is unacceptable to the
workers concerned.
3. Management personnel in the Adelphi and Carlton will be
transferred to the multiplex. No such options are
available for the workers concerned.
4. The workers concerned have given many years of loyal
service. In the circumstances the Company has an
obligation to guarantee the workers' employment. In
individual cases where continuity of employment is
accepted by both sides as impractical a considerably
improved severance package of 6 to 8 weeks' pay per year
of service is justified.
COMPANY'S ARGUMENTS:
4. 1. In the period October, 1990 to March, 1992, U.C.I.
opened 32 screens in Tallaght, Coolock and Santry. The
addition of these 32 screens has had a dramatic effect
on attendances in both the Adelphi and Carlton cinemas.
2. In September, 1993, the manner in which films were
distributed in the city centre was changed by film
renters. This means that all good box office product
plays at the Savoy cinema and concurrently in either the
Adelphi or Carlton. The Savoy because of its profile,
site and facilities is capturing by far the greater
share of the concurrency business, which has led to
disastrous results for the Carlton.
3. The Carlton has lost its cinema business potential under
the new distribution arrangements and the Company has no
alternative but to close it.
4. All staff are being offered the opportunity to apply for
new positions as "cinema operatives" in the proposed
multiplex and have been given details of the positions
on offer and the criteria to be used in the selection
process (details supplied to the Court).
5. The Company has responded in a positive manner to the
Union's request regarding the future employment of
Carlton staff by M.G.M. The new multiplex offers a
different type of employment to the traditional cinema
and where existing staff who apply are deemed equally
suitable to external candidates than they will be given
preference over 'new' applicants.
RECOMMENDATION:
Having considered the submissions from the parties the Court
recommends that the Union accept the Company's proposal that the
employees apply for positions in the new multi-complex as per the
Company document (Appendix 1). The Company for its part should
give due recognition to the experience and service of the
employees in the Carlton.
Employees who are unsuccessful or who opt for redundancy should be
paid redundancy at the rate of 3 weeks' pay per year of service,
plus statutory and a lump sum of #1,500.
The Court so recommends.
~
Signed on behalf of the Labour Court
7th October, 1994 Evelyn Owens
F.B./M.M. ____________
Chairman
Note
Enquiries concerning this Recommendation should be addressed to
Mr. Fran Brennan, Court Secretary.