Labour Court Database __________________________________________________________________________________ File Number: CD95297 Case Number: LCR14823 Section / Act: S26(1) Parties: FLAIR INTERNATIONAL LIMITED (THE IRISH BUSINESS AND EMPLOYERS CONFEDERATION) - and - SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION |
Claim for improvements in salary scales.
Recommendation:
Having considered the submissions from the parties the Court
recommends that the Company's offer of the 6th April, 1995 be
amended by the addition of a 7th point on the Grade B Scale with
the rate of #200 per week and that the offer as so amended be
accepted with effect from 1st January, 1995.
Division: Ms Owens Mr Pierce Mr Rorke
Text of Document__________________________________________________________________
CD95297 RECOMMENDATION NO. LCR14823
INDUSTRIAL RELATIONS ACTS, 1946 TO 1990
SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990
PARTIES:
FLAIR INTERNATIONAL LIMITED
(REPRESENTED BY THE IRISH BUSINESS AND EMPLOYERS CONFEDERATION)
AND
SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION
SUBJECT:
1. Claim for improvements in salary scales.
BACKGROUND:
2. The Company is envolved in the manufacture of shower units.
It is based in Baileborough, County Cavan and employes
approximately 180 workers.
In late 1991/early 1992 the Union sought a revision of
clerical salary scales. In April, 1994, an agreed job
evaluation was completed following which the Company put
forward the following proposals:-
Grade A #187.00 per week
Grade B #168.00 per week
Grade C #149.00 per week
The Company's proposals were unacceptable to the Union and
the matter was referred to the Labour Relations Commission.
Conciliation conferences took place in February/March, 1995.
At the second conciliation conference the Company made the
following offer:-
Grade A #180 - #205 per week
Grade B #170 - #195 per week
Grade C #155 - #180 per week
In addition the Company offered the following amendments of
service pay:-
Existing Proposed
After 1 year Nil Nil
After 2 years #2 #2 p.w.
After 3 years #4 #4
After 4 years #6 #6
After 5 years #8 #9
After 6 years #10 #11
After 7 years #12 #13
After 8 years #14 #16
After 9 years #16 #19
After 10 years #18 #22
After 11 years #20 #25
The Union rejected the Company's offer and the dispute was
referred to the Labour Court on 10th May, 1995 under Section
26(1) of the Industrial Relations Act, 1990. A Labour Court
hearing took place in Cavan on 20th June, 1995.
UNION'S ARGUMENTS:
3. 1. The Union is seeking salary scales that will reflect the
skill, expertise and experience of the workers
concerned. Their rates of pay are considerably out of
line with workers in similar employment in the East
Cavan Area.
2. The job evaluation exercise was intended to form the
basis of properly revised pay scales, but since the
completion of the evaluation, the Company has altered
job specifications without proper regard to the impact
on the overall structure.
3. Most of the workers with long service have been placed
on grade B which gives the impression that there is no
recognition of long service.
4. The Company has acknowledged that there is merit in the
workers' claim. Their workload has increased
substantially with the introduction of new computerised
systems and increased business throughout the office
generally.
5. The workers are dissatisfied at the undue delay in
bringing this matter to a conclusion. In the
circumstances retrospection of the Union's claim is
justified.
COMPANY'S ARGUMENTS:
4. 1. The Company has already addressed the Union's claim for
a grading structure for clerical staff. It has also put
forward proposals to increase basic pay and service pay
for employees. Immediately all but one of the employees
will benefit from an increase in pay. Next year,
employees should have the benefit of increases in pay
under the terms of Phase 3 of the Programme for
Competitiveness and Work (P.C.W.), improved service pay
and for moving to the next increment on their scale.
2. The Job evaluation scheme is available to re-grade any
employee for productivity and merit increases.
3. The Company's financial position does not allow it to
concede any further increases for clerical staff or to
pay any retrospection on its offer. The Company is
competing in a very competitive, low margin business.
The Company's audited accounts will be made available to
the Court, if necessary, to demonstrate its inability to
absorb any more cost increases.
4. The Company respectfully requests the Court to
recommend that its proposals as outlined in its letter
dated 6th April, 1995 (details supplied) be implemented.
RECOMMENDATION:
Having considered the submissions from the parties the Court
recommends that the Company's offer of the 6th April, 1995 be
amended by the addition of a 7th point on the Grade B Scale with
the rate of #200 per week and that the offer as so amended be
accepted with effect from 1st January, 1995.
~ Signed on behalf of the Labour Court
12th July, 1995 Evelyn Owens
F.B./D.T. ____________
Chairman
Note
Enquiries concerning this Recommendation should be addressed to
Mr. Fran Brennan, Court Secretary.