FULL RECOMMENDATION
INDUSTRIAL RELATIONS ACTS, 1946 TO 1990 SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990 PARTIES : BEAMISH AND CRAWFORD (REPRESENTED BY THE IRISH BUSINESS AND EMPLOYERS' CONFEDERATION) - AND - SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION DIVISION : Chairman: Mr Duffy Employer Member: Mr Keogh Worker Member: Mr Rorke |
1. Rate of pay.
BACKGROUND:
2. The Company is owned by Scottish and Newcastle of Edinburgh and employs approximately 180 workers. The dispute concerns the establishment of a rate of pay for the post of merchandiser. In March, 1986, the Company first appointed an employee to the position of merchandiser who had previously managed and lived in a company-owned public house. The Company states that a special pay rate was agreed with the worker concerned to compensate him for the loss of his previous position.
The worker commenced a lengthy absence from work on medical grounds in March, 1997, and a temporary merchandiser was appointed. In January, 1998, the Company appointed the temporary merchandiser to the position on a permanent basis. The Company is proposing to pay a salary of £14,000 per annum while the Union is seeking a rate of £310 per week, exclusive of overtime, rising in incremental stages to £354.48 per week. The issue was the subject of a conciliation conference at the Labour Relations Commission on the 15th of January, 1998. As agreement was not reached the dispute was referred to the Labour Court in accordance with Section 26(1) of the Industrial Relations Act, 1990. The Court investigated the dispute in Cork on the 8th of April, 1998.
UNION'S ARGUMENTS:
3. 1. Initially the Union's claim was for a rate of £450 per week on the understanding that the previous merchandiser was earning between £450 and £600 per week.
Although a certain form of red-circling may have taken place the Union disputes the fact that the rate was to be totally personal to him for all time.
2. The Union has reduced its claim to £310 per week rising to £354.48 per week exclusive of overtime, national and local wage agreements. This is the rate of pay previously paid to the newly-appointed merchandiser when he was employed as a casual general operative.
3. All SIPTU No. 2 Branch members receive a weekly bonus of approximately £22 per week. However the bonus was not applied to the temporary merchandiser rate. The Union contends that it should also be applied to the permanent merchandiser rate.
COMPANY'S ARGUMENTS:
4. 1. No Union official or representative participated in any way in the negotiations on the first merchandiser's pay rate in 1986. It was a private agreement between the worker and the Company which was to compensate him for the loss of his previous position.
2. The filling of the merchandiser position on a temporary basis was different to recruiting a permanent employee. At the Union's request the Company agreed to select someone from the current SIPTU No. 2 membership although previously temporary merchandisers had been selected from both SIPTU No. 2 and non-SIPTU No. 2 personnel.
3. The Company proposes to pay a rate of £14,000 per annum. Research carried out by the Company has shown that a rate of between £10,000 to £14,000 per annum is paid by competitor companies in the drinks industry. Persons with appropriate third level qualifications can also be employed on a contract basis for less than £14,000 per annum.
4. The employee who has been appointed to the merchandiser position was previously employed on a casual basis and his salary fluctuated according to the work that he carried out.
RECOMMENDATION:
Having considered the submissions made by the parties the Court recommends that the rate applicable to the post of merchandiser should be £310 per week plus the bonus payable to production workers, with effect from the date of appointment.
Signed on behalf of the Labour Court
Kevin Duffy
27th April, 1998______________________
D.G./D.T.Deputy Chairman
NOTE
Enquiries concerning this Recommendation should be addressed to Dympna Greene, Court Secretary.