FULL RECOMMENDATION
INDUSTRIAL RELATIONS ACTS, 1946 TO 1990 SECTION 13(9), INDUSTRIAL RELATIONS ACT, 1969 PARTIES : AVONMORE WATERFORD GROUP - AND - AMALGAMATED TRANSPORT AND GENERAL WORKERS' UNION DIVISION : Chairman: Mr Flood Employer Member: Mr Keogh Worker Member: Ms Ni Mhurchu |
1. Appeal against Rights Commissioner's Recommendation IR71/99/GF
BACKGROUND:
2. The Company (now Glanbia plc) which evolved as a result of the merger between Waterford Foods plc and Avonmore Foods plc, in 1997, has its head office in Kilkenny. It is engaged in a number of activities in the dairy, agri-business and meat sectors and employs a workforce of 4,400 in the Republic of Ireland.
The dispute concerns a claim on behalf of 2 workers for redeployment allowance. Following the closure of the Company's Dungarvan plant in 1998, the 2 were made redundant. Subsequently, two temporary positions became available in the Company's Provender Mill and the 2 workers applied for, and secured, the positions. The Union claims that they are eligible for a redeployment allowance in line with the Company's agreement with the Union. The Company rejected the claim on the grounds that the claimants were casuals and voluntarily applied for the positions in the Provender Mill.
The dispute was investigated by a Rights Commissioner who found that the question of existing agreements has not been adequately dealt with. As both parties were unable to produce any new agreement replacing the Avonmore/Waterford Group one, the Rights Commissioner found in favour of the claimants and recommended that they be paid the relocation allowance forthwith.
The Rights Commissioner's Recommendation was appealed to the Court by the Company on the 9th of June, 1999, in accordance with Section 13 (9) of the Industrial Relations Act, 1969. The Court heard the appeal, in Waterford, on the 23rd of September, 1999.
COMPANY'S ARGUMENTS:
3. 1. The claim is not justified as relocation money is only paid when someone is compelled to move to another job on the same site by the Company.
2. The claimants were kindly given the option of taking further employment with the Company and voluntarily applied for and accepted same and both extended their tenure and earnings by commencing work in the Provender Mill.
3. The two claimants had once before received a redeployment allowance for normal redeployment within the Dairy plant. Both received an "orderly closure payment" of £2,500 plus pension enhancements, special holiday and Christmas bonus payments when they ceased work in the Provender Mill in addition to redundancy.
4. The Company believes that the Rights Commissioner erred in his judgement on a point of fact as the company "Ingredients Ireland" did not "take over" the business and there was no "change of employer" as stated in his judgement.
UNION'S ARGUMENTS:
4. 1. The two claimants, both of whom were long term seasonal employees and had been laid off in September 1998 were written to by the Company's Human Resources Manager, in October, 1998, enquiring as to whether they were willing to avail of two positions in the Provender Mill. They both availed of the Company's offer, which meant that they re-deployed from the Dairy Division to the Provender Section.
2. Both members then worked in the Provender Mill until it was closed down for good on 30th of June, 1999, when their employment with the Company ended. Under the existing Union/Management Agreements (which Management in its own news bulletin stated would be unaffected), both members are entitled to be paid the re-deployment payment.
DECISION:
The Court, having considered the written and oral submissions, does not support the Rights Commissioner's Recommendation in this case.
The Court, therefore, upholds the appeal.
The Court so decides.
Signed on behalf of the Labour Court
Finbarr Flood
18th October, 1999.______________________
MK/BCChairman
NOTE
Enquiries concerning this Decision should be addressed to Michael Keegan, Court Secretary.