FULL RECOMMENDATION
INDUSTRIAL RELATIONS ACTS, 1946 TO 1990 SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990 PARTIES : AVONMORE WATERFORD GROUP PLC. - AND - AMALGAMATED TRANSPORT AND GENERAL WORKERS' UNION DIVISION : Chairman: Mr Flood Employer Member: Mr Keogh Worker Member: Ms Ni Mhurchu |
1. Dispute concerning a worker's access to the Company's redundancy package.
BACKGROUND:
2. The worker concerned has been employed by the Company for over twenty years. When the redundancy package was announced, Management advised the workforce that applications from workers who wished to avail of the terms of the redundancy programme would be considered. The worker concerned advised Management that he wished to apply for the severance package when it became available and he understood that his application would be processed in due course. The Company claims that it gave no undertaking to the worker regarding the redundancy package. The Company maintains that a job must go before the holder can avail of a redundancy package, and that the worker's post is not being declared redundant, therefore, the position, if he leaves, will have to be filled by another worker. The dispute was referred to the Labour Relations Commission. Conciliation conferences were held on the 16th and 31st of March, 1999. Agreement was not reached. The dispute was referred to the Labour Court by the Labour Relations Commission on the 20th of April, 1999. A Court hearing was held in Waterford on the 29th of June, 1999.
UNION'S ARGUMENTS:
3. 1. When the Company advised workers that those who wished to leave the employment could do so, the worker concerned visited Century Homes in County Monaghan and, following two interviews, he was offered a job as forklift driver at a facility which Century was opening in Dungarvan.
2. Avonmore Waterford Group Management then advertised the position of forklift driver (the claimant's post) in Dungarvan and received a number of applications for the post. The worker concerned enquired as to when he could leave the employment. Management asked "what is your hurry". Subsequently the worker was told that he could not leave.
3. The worker, with permission from Management, was allowed travel to Monaghan and was interviewed for a job by Century Homes, at a time when Avonmore Waterford Group Management was actively canvassing workers to avail of the voluntary redundancy package by taking up outside employment. The worker has been treated unfairly and should be allowed to avail of the package forthwith in view of the undertakings given to him by Management.
COMPANY'S ARGUMENTS:
4. 1. The worker concerned approached Management in relation to the redundancy package in 1997. At no stage did Management indicate to the worker that he would qualify for redundancy as his job was not being made redundant.
2. After applications for the package were received by the Company it was clear that there were more applicants than was required, therefore, there were not enough permanent workers left to facilitate the claimant's redundancy. If a situation arose where the holder of a permanent job which was being made redundant did not wish to leave, in these circumstances the claimant would have been facilitated.
3. The Company accepts that the worker applied for, and was successful in obtaining employment outside of the Group (with Century Homes). He did so of his own volition, providing for his future in the event of a redundancy package becoming available.
RECOMMENDATION:
Having considered all the information before it the Court is satisfied, given the Company's actions and responses, that the claimant's expectation that his application would be successful was not unreasonable.
The Court found it unsatisfactory that a key member of management who dealt with the issue was not at the hearing to respond to Union claims.
Having considered all the issues involved in this case the Court, taking into account that this is a unique case, recommends that the Company's offer of £40,000 be increased to £60,000 in settlement of this claim.
Signed on behalf of the Labour Court
Finbarr Flood
15th July, 1999______________________
T.O'D./D.T.Chairman
NOTE
Enquiries concerning this Recommendation should be addressed to Tom O'Dea, Court Secretary.