FULL RECOMMENDATION
INDUSTRIAL RELATIONS ACTS, 1946 TO 1990 SECTION 13(9), INDUSTRIAL RELATIONS ACT, 1969 PARTIES : IRISH ALE BREWERIES (REPRESENTED BY THE IRISH BUSINESS AND EMPLOYERS' CONFEDERATION) - AND - SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION DIVISION : Chairman: Ms Owens Employer Member: Mr McHenry Worker Member: Ms Ni Mhurchu |
1. Appeal against Rights Commissioner's Recommendation RC680/97.
BACKGROUND:
2. Located in Ballyfermot, the Company is engaged in the distribution of Guinness Group products throughout the greater Dublin area and parts of Leinster. The total number of employees is 45 with SIPTU representing approximately 40 persons in the supervisory, driving, and general helping categories.
There are 4 foremen (supervisors) in the Company along with 1 permanent stand-by foreman, and a further panel of stand-by foremen. When a foreman is absent his place is taken by the stand-by foreman who is paid at the foreman rate. A stand-by foreman from the panel replaces the permanent stand-by and is paid his rate, and so on. The rates of pay are as follows:-
Foreman £547.55
Standby foreman £421.10
Drivers £400.60
Helpers £388.95
The Union's claim is that 2 workers on the stand-by foremen's panel be allowed to retire on the full foreman's pension. There were initially 4 workers involved in the claim. Of the 2 workers concerned, 1 retired at the end of 1996 but is included in the claim. The second worker is still employed. Both workers were on the helpers' rate of pay at the time of the claim in 1996.
In a letter of the 3rd of January, 1997, the Company made an offer that the claimants' pension calculation would be based on the stand-by foreman's rate of pay. The Union still sought the foreman rate. The dispute was referred to the Labour Relations Commission and a conciliation conference took place on the 31st of October, 1997. At the conference the Union cited an arrangement at St. James' Gate Brewery to support its claim.
The dispute was referred to a Rights Commissioner, and his findings and Recommendation are as follows:-
"Clearly the conditions leading to the developments in St. James' Gate
Brewery on which the Union case is based related directly to an
agreement and set of conditions not replicated in Irish Ale Breweries.
In all the circumstances, I believe that the Company's offer - that the
pension of those designated standby foreman be calculated on the
standby foreman rate of pay - is fair and reasonably and recommend
that it be accepted in settlement of this claim."
The Union appealed the Recommendation to the Labour Court on the 26th of February, 1998, in accordance with Section 13(9) of the Industrial Relations Act, 1969. A Labour Court hearing took place on the 28th of May, 1998.
UNION'S ARGUMENTS:
3. 1. The Company's plan - Plan 2000 - directly followed a similar plan at St. James' Gate Brewery. Both plans involved a cap on earnings with compensation, changes in work practices, improvement in pay and enhanced pensionable pay. A number of individuals on the foreman panel at St. James' Gate Brewery received "notional promotion to foremen" for pension purposes - due to a reduction in promotional outlets.
COMPANY'S ARGUMENTS:
4. 1. The situation at St. James' Gate is not relevant to the present dispute. This is a different company and different terms and conditions have historically applied. The situation in St. James' Gate arose because the selection process for foremen had changed and the number of promotional outlets had been substantially reduced. There has been no diminution in the number of foremen positions in the Company.
2. The persons affected at St. James' Gate did not receive the foremen rate for pension purposes but instead received two increments from the foreman's pay scale. The Company's offer in this case is slightly more. The offer is fair and is in line with custom and practice in the Company. Conceding the claim could have a knock-on effect.
DECISION:
Having considered the evidence and submissions, the Court is satisfied that the Rights Commissioner's Recommendation is fair and reasonable and should be upheld.
The Court, accordingly, rejects the appeal and so decides.
Signed on behalf of the Labour Court
Evelyn Owens
8th June, 1998______________________
C.O'.N./D.T.Chairman
NOTE
Enquiries concerning this Decision should be addressed to Ciaran O'Neill, Court Secretary.