Labour Court Database __________________________________________________________________________________ File Number: CD94691 Case Number: LCR14752 Section / Act: S26(1) Parties: SOLA ADC LENSES - and - SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION |
(1) Enhanced compensation for loss of shift premium. (2) Proposal to buy out rates.
Recommendation:
The Court having considered all of the views expressed by the
parties in their oral and written submissions recommends as
follows:-
1. Compensation for loss of shift.
The shift premiums be phased out as follows:-
Less than one year on shift - Higher premium for 5 weeks
1 - 2 years on shift - Higher premium for 8 weeks
2 - 5 years on shift - Higher premium for 13 weeks
5+ years on shift - Higher premium for 17 weeks
2. Loss of grade.
The Court deems it appropriate that the red circling should
apply to all 12 employees concerned for a further period of
six months during which positions may arise which may offset
the loss of grade.
At the end of that period the phasing proposed by the Company
should take effect.
Both of these recommendations are specific to this particular case
and are not intended to have any other effect on the arrangement
for Shift Transfer which arose from the previous Labour Court
Recommendation in 1988.
Division: Mr McGrath Mr McHenry Ms Ni Mhurchu
Text of Document__________________________________________________________________
CD94691 RECOMMENDATION NO. LCR14752
INDUSTRIAL RELATIONS ACTS, 1946 TO 1990
SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990
PARTIES:
SOLA ADC LENSES
(REPRESENTED BY THE IRISH BUSINESS AND EMPLOYERS CONFEDERATION)
AND
SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION
SUBJECT:
1. (1) Enhanced compensation for loss of shift premium.
(2) Proposal to buy out rates.
BACKGROUND:
2. The Company introduced a re-organisation plan in April, 1994.
The main effect of this was the transfer of 51 workers from
night shift.
Of the 51 workers affected 17 accepted voluntary redundancy,
9 transferred to another night shift, 20 transferred to
evening shift and 5 transferred to day shift. 6 workers were
affected by grade changes. For the 25 workers transferred to
a lower, or no shift, premium rate, the Company proposed the
following compensation:-
LENGTH OF SERVICE COMPENSATION
Less than 1 year on shift Higher premium for 3 weeks
1-2 years on shift Higher premium for 5 weeks
2-5 years on shift Higher premium for 9 weeks
5+ years on shift Higher premium for 12 weeks
The compensation was paid out but the Union is seeking higher
compensation.
The 6 workers affected by the grade changes were as follows:-
2 leadhands changed to operator duties on night shift.
2 setters changed to operator duties.
1 senior operator changed to operator duties on evening
shift.
1 senior operator changed to operator duties on day shift.
The Company proposed the following buy out offers:-
100% of the rate difference for 3 months.
50% of the rate difference for 6 months.
25% of the rate difference for 3 months.
The Union rejected the offer, claiming that the workers rates
should be 'red circled'.
The dispute was referred to the Labour Relations Commission
and conciliation conferences took place on 19th October, 1994
and 2nd November, 1994. No agreement was reached. The
dispute was referred to the Labour Court on 23rd November,
1994. A Labour Court hearing took place on 5th April, 1995,
in Wexford.
UNION'S ARGUMENTS:
3. 1. The workers who transferred to evening and day shifts
had been working the night shift for up to seven years.
The Company/Union Agreement is designed for flexibility.
Workers who are moved from the night shift are paid an
agreed compensation. In this case the Company decided
to terminate the night shift as it was too expensive.
The cost of the night shift was #150,000 more than the
cost of the day shift. The workers concerned should be
compensated accordingly.
2. There is a clear understanding that workers transferred
to other duties at the Company's request hold their
rate. A number of workers were already in this
position. An agreement, concluded with the Rights
Commissioners in 1988, states:- "Employees moved at the
Company's discretion will retain the allowance". The
Company also proposes removing the grade from some
workers who are transferred whilst allowing other
workers to retain their grade.
COMPANY'S ARGUMENTS:
4. 1. An Agreement already exists regarding shift transfers.
The 25 workers who transferred from night shift to day
and evening shift had an average of 4.50 years service.
The majority of the workers received 9 weeks higher
premium. The Company is not prepared to change from the
Agreement already in place.
2. The 6 workers affected by grade changes have been
offered reasonable compensation over a 12 month period
to buy out their grades. The Company has never formally
adopted a 'red circling' policy. Some of the workers
concerned have had the opportunity to apply for
positions similar to those they originally had but have
not done so.
RECOMMENDATION:
The Court having considered all of the views expressed by the
parties in their oral and written submissions recommends as
follows:-
1. Compensation for loss of shift.
The shift premiums be phased out as follows:-
Less than one year on shift - Higher premium for 5 weeks
1 - 2 years on shift - Higher premium for 8 weeks
2 - 5 years on shift - Higher premium for 13 weeks
5+ years on shift - Higher premium for 17 weeks
2. Loss of grade.
The Court deems it appropriate that the red circling should
apply to all 12 employees concerned for a further period of
six months during which positions may arise which may offset
the loss of grade.
At the end of that period the phasing proposed by the Company
should take effect.
Both of these recommendations are specific to this particular case
and are not intended to have any other effect on the arrangement
for Shift Transfer which arose from the previous Labour Court
Recommendation in 1988.
~
Signed on behalf of the Labour Court
3rd May, 1995 Tom McGrath
C.O'N./D.T. _______________
Deputy Chairman
Note
Enquiries concerning this Recommendation should be addressed to
Mr. Ciaran O'Neill, Court Secretary.