LCR16262

SUBJECT:
1. Retirement age.




BACKGROUND:

2. The worker concerned commenced employment with Limerick Corporation as a permanent full-time fire-fighter on the 16th of June, 1972. He is due to retire on the 12th of September, 1999 when he reaches 55 years of age. This will leave him approximately 13 months short of the service required to qualify for full pension entitlements.

The dispute concerns the Union's claim to allow the worker remain in his job beyond the age of 55 until full pension entitlements are achieved. The Union argues that when the worker was recruited the present retirement age was not part of his contract of employment. Management's position is that 55 is the normal retirement age for fire-fighters in Limerick Corporation.

Local level discussions failed to resolve the issue and the dispute was the subject of a conciliation conference held under the auspices of the Labour Relations Commission. As agreement could not be reached the dispute was referred to the Labour Court on the 15th of July, 1999 under Section 26(1) of the Industrial Relations Act, 1990. A Labour Court hearing took place in Limerick on the 31st of August, 1999.




UNION'S ARGUMENTS:

3. 1. Management has stated that contracts of employment issued since 1973 have included a clause indicating that the normal retirement age is 55. This clause is not contained in the worker's contract of employment.

2. The retirement age for fire-fighters in Dublin and Galway is 65 and agreement has been reached between SIPTU and the Drogheda and Dundalk fire services which allows fire-fighters to work until the age of 57.

3. There is no legal requirement for the worker to retire at the age of 55 and Limerick Corporation has allowed fire-fighters to work beyond the age of 55 years in the past.

4. If the worker is obliged to retire at 55 his pension entitlements will be substantially reduced.

5. The position that the Corporation has adopted in relation to the worker is unreasonable and unfair. It is clearly within the remit of Limerick Corporation to extend the worker's employment until he attains full service for pension purposes.



CORPORATION'S ARGUMENTS:

4. 1. The Local Government Superannuation Code makes provision for the doubling of fire-fighters service over 20 years. This effectively means that by actually serving a period of 30 years a fire-fighter will attain 40 years full service for superannuation purposes. This provision facilitates retirement at age 55 for fire-fighters which is also specifically provided for in the Superannuation Code.

2. The Union has not disputed that 55 is the normal retirement age for fire-fighters in Limerick Corporation and it has not argued that the worker has any legitimate expectation to stay beyond 55.

3. The worker was aware that he was due to retire at age 55 and that he would not have attained full service at that date. This is borne out by the fact that in 1989, the records show that he made enquires regarding the purchase of notional service. Management pointed out at that time, that periodic contributions would cease at age 55.

4. The Union has indicated that it wishes an exception to be made for the worker, but it has also indicated that it will be looking for the same concession for other fire-fighters in similar circumstances. Any extension to the retirement age limit in this case, therefore, would undoubtedly have repercussive affects locally and potentially for other fire authorities around the country.

5. Given that the maximum entry age limit for fire-fighters was extended in the past two decades from 25 to 30 thereby increasing the likelihood of similar cases to that of the worker arising in the future, any precedent established by this case could have serious implications into the future.

6. The Union claims that there is no reference in the worker's contract to a retirement age of 55 but an examination of the records indicates that there was no practice of issuing written contracts of employment to fire-fighters at the time he was recruited.



7. A review of the 55 year compulsory age of retirement in Britain commissioned by the Home Office Fire Research and Development Group has recommended that the existing limit of 55 years is retained. This review was carried out "in the light of the strenuous nature of fire-fighter's duties, the possibilities of persons of a particular age achieving the physical capabilities required and the risks involved in undertaking such work".

8. The worker is being retired at age 55 in line with the normal retirement age for fire-fighters in Limerick Corporation established over many years of custom and practice. The worker had no legitimate expectation to stay beyond 55. There is no dispute about the necessity for retirement at age 55 due to the requirements of the job and any concession in this area would set a precedent for the future. For these reasons and those stated above the Court is respectfully requested to find in the Corporation's favour and reject the Union's claim.




RECOMMENDATION:

The Court considers the position of the claimant in this case to be exceptional. He joined the fire service before a normal retirement age of 55 was introduced and no such stipulation was incorporated in his contract of employment.

The Court has had regard to the firm assurance given by the Union not to regard this case as having precedent value, and to the financial consequences for the claimant of the proposed retirement at this time. In these circumstances the Court recommends that the claimant's employment be extended until he attains full service.



Signed on behalf of the Labour Court



Kevin Duffy
6th September, 1999______________________
F.B./D.T.Deputy Chairman



NOTE

Enquiries concerning this Recommendation should be addressed to Fran Brennan, Court Secretary.