Labour Court Database __________________________________________________________________________________ File Number: CD94650 Case Number: LCR14657 Section / Act: S26(1) Parties: GARDNER MERCHANT - and - SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION |
Clause 3 of the Programme for Economic and Social Progress (P.E.S.P.).
Recommendation:
Both parties have indicated that they have been through the
negotiating process in relation to the exceptional application of
Clause 3 of P.E.S.P.
However, the Court considers that should the Company or the Union
find any method of offsetting or reducing the cost of
implementation of this claim, further discussions should take
place between the parties with a view to resolving the issue.
The Court so recommends.
Division: Mr Flood Mr McHenry Mr Walsh
Text of Document__________________________________________________________________
CD94650 RECOMMENDATION NO. LCR14657
INDUSTRIAL RELATIONS ACTS, 1946 TO 1990
SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990
PARTIES:
GARDNER MERCHANT
AND
SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION
SUBJECT:
1. Clause 3 of the Programme for Economic and Social Progress
(P.E.S.P.).
BACKGROUND:
2. The Company is involved in the contract catering business.
The Union represents approximately 36 workers. The Union is
claiming a 3% pay increase, under Clause 3 of the P.E.S.P.,
from 1st June, 1992. The Company maintains that it is unable
to pay the increase.
The dispute was referred to the Labour Relations Commission
and two conciliation conferences took place, on 19th
November, 1992 and 18th July, 1994. No agreement was reached
and the dispute was referred to the Labour Court on 9th
November, 1994, under Section 26(1) of the Industrial
Relations Act, 1990. A Labour Court hearing took place on
19th December, 1994 (the earliest date suitable to the
parties).
UNION'S ARGUMENTS:
3. 1. On 3rd May, 1993, the Labour Court issued Recommendation
No. LCR14061, relating to Campbell Catering Limited,
which competes in the same business as the Company. The
Court recommended implementation of a 3% pay increase
under Clause 3 of the P.E.S.P. to the workers in
Campbell Catering Limited.
2. The workers concerned have been as flexible and
co-operative as possible. Many of the workers are very
lowly paid (#138.83 per 39-hour week). Some workers do
not have the opportunity to do a 39-hour week. Section
11 of the P.E.S.P. states that "special consideration
should be given to lower paid workers".
COMPANY'S ARGUMENTS:
4. 1. Competition in the catering industry has increased
substantially in recent years. As a result, contracts
are increasingly difficult to get. If the Company is to
remain competitive it must keep cost structures in line
with other catering companies.
2. The Union was invited by the Company in 1992 to propose
cost-cutting measures which would allow the Company to
fund a 3% pay increase. It did not do so.
3. Payment and conditions in the Company are competitive
within the catering industry. It is the only major
industrial caterer that operates a pension scheme for
all staff.
RECOMMENDATION:
Both parties have indicated that they have been through the
negotiating process in relation to the exceptional application of
Clause 3 of P.E.S.P.
However, the Court considers that should the Company or the Union
find any method of offsetting or reducing the cost of
implementation of this claim, further discussions should take
place between the parties with a view to resolving the issue.
The Court so recommends.
~
Signed on behalf of the Labour Court
12th January, 1995 Finbarr Flood
C.O'N./M.M. _______________
Deputy Chairman
Note
Enquiries concerning this Recommendation should be addressed to
Mr. Ciaran O'Neill, Court Secretary.