Labour Court Database __________________________________________________________________________________ File Number: CD95541 Case Number: LCR14971 Section / Act: S26(1) Parties: JURYS HOTEL (Represented by THE IRISH BUSINESS AND EMPLOYERS CONFEDERATION) - and - SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION |
Discontinuance of drink allowance.
Recommendation:
Given the concerns expressed by the employer in relation to the
current arrangements, and the aspiration of the employees to
continue to receive the allowance, the Court recommends as
follows:-
(1) The present arrangement to be discontinued but the employees
to receive a "take-home" allowance equivalent to the current
allowance. This allowance must not be consumed on the
premises.
OR
(2) Alternatively, the "take-home" allowance to be bought out by
the Company on the following basis:-
(a) A compensation payment immediately of £30,000.
(b) A further payment of £30,000 in December 1996.
(c) Introduction of E.A.P. in December 1998 by
contribution of £20,000 p.a. ongoing.
Division: Mr Flood Mr McHenry Mr Rorke
Text of Document__________________________________________________________________
CD95541 RECOMMENDATION NO. LCR14971
INDUSTRIAL RELATIONS ACTS, 1946 TO 1990
SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990
PARTIES:
JURYS HOTEL
(REPRESENTED BY THE IRISH BUSINESS AND EMPLOYERS CONFEDERATION)
AND
SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION
SUBJECT:
Discontinuance of drink allowance.
BACKGROUND:
The dispute concerns the Company's proposals to discontinue
the drink allowance which is currently available to 125
workers in the Hotel.
The Company has provided a drink allowance of two bottles of
beer per evening to chefs, stewarding and banqueting porters
for the past 33 years. In addition, bar staff have an
allocation of two pints of beer per person when working the
evening shift and head waiters have an allocation of three
pints.
On 12th December, 1994, the Company formally raised the issue
of discontinuing the allowance. The Company estimates the
annual cost of the allowance at £20,000. On 24th January,
1995, the Company made a proposal to buy out the drink
allowance over a 3 year period as follows:-
(1) One lead-in payment of £20,000 in February 1995;
(2) A further pay of £20,000 in February 1996;
(3) £20,000 to be used in an Employee Assistance Programme
(E.A.P.) in 1997.
The proposals were rejected by the workers and the dispute
was referred to the Labour Relations Commission. A
conciliation conference took place on 6th May, 1995, but no
agreement was reached. The dispute was referred to the
Labour Court on 20th September, 1995, and a Labour Court
hearing took place on 31st October, 1995.
UNION'S ARGUMENTS:
1. The drink allowance is a long-standing tradition in the
Hotel. The allowance reflects the conditions under which the
staff work - for workers in the kitchen area it is a "sweat
drink" and for workers in the bar area it is related to the
hospitality nature of the work.
2. Workers are required to work unsocial hours, working five
over seven days and often working late into the evening in
the kitchens, restaurant and bars. It is only when they have
finished working in the early hours of the morning that they
can enjoy their allowance.
COMPANY'S ARGUMENTS:
1. The issue of the drink allowance has existed for many years.
There have been recurrent problems with it over the years.
The continuation of the drink allowance could contravene the
Health and Safety Regulations. There has been an abuse of
the allowance, with some workers storing up drink over a
number of nights.
2. Management did not approach the problem on a cost-saving
basis as it could have done. It is prepared to have a 3 year
buy-out of the allowance, with the establishment of an EAP in
the last year from which all staff can benefit.
RECOMMENDATION:
Given the concerns expressed by the employer in relation to the
current arrangements, and the aspiration of the employees to
continue to receive the allowance, the Court recommends as
follows:-
(1) The present arrangement to be discontinued but the employees
to receive a "take-home" allowance equivalent to the current
allowance. This allowance must not be consumed on the
premises.
OR
(2) Alternatively, the "take-home" allowance to be bought out by
the Company on the following basis:-
(a) A compensation payment immediately of £30,000.
(b) A further payment of £30,000 in December 1996.
(c) Introduction of E.A.P. in December 1998 by
contribution of £20,000 p.a. ongoing.
~
Signed on behalf of the Labour Court
20th November, 1995 Finbarr Flood
C.O.N./A.K. _______________
Deputy Chairman
Note
Enquiries concerning this Recommendation should be addressed to
Mr. Ciaran O'Neill, Court Secretary.