FULL RECOMMENDATION
INDUSTRIAL RELATIONS ACTS, 1946 TO 1990 SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990 PARTIES : INDEPENDENT NEWSPAPERS LIMITED - AND - SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION DIVISION : Chairman: Ms Jenkinson Employer Member: Mr Keogh Worker Member: Mr O'Neill |
1. Claim for 5% increase in pay for clerical staff.
BACKGROUND:
2. In 1997 the Company proposed technology developments in its Administrative and Library sections and agreement was reached with the Union, in February, 1998, in relation to proposed manning levels and related changes. Of the 144 clerical staff in the areas concerned, 25 will be directly impacted upon by the changes. Arising from those developments, the Company proposes to implement upgradings in the various areas affected by the changes. The Union is seeking the proposed upgradings, along with an increase in basic pay of 5% for all staff in the areas concerned. The Union claims that, as 12 posts (nett) are being lost through the restructuring, at significant cost-saving to the Company, the remaining employees are entitled to their share of those savings. The Company's position is that, where individuals believe their jobs warrant additional pay, they should go through the process of job-evaluation, in order to assess the appropriateness of their grade, as provided for in the Joint House Agreement, 1988 (the White Book), which is the agreed mechanism for the measurement of efficiencies in the clerical area.
The dispute was the subject of a conciliation conference, under the auspices of the Labour Relations Commission, at which agreement was not reached. The dispute was referred to the Labour Court, on the 4th May, 2000, in accordance with Section 26(1) of the Industrial Relations Act, 1990. The Court carried out its investigation, on the 2nd June, 2000.
UNION'S ARGUMENTS:-
3 1. The changes envisaged by the Company are substantial in terms of their impact on overall job-numbers, job functions and responsibilities, and general organisation of work. The nett reduction in posts of 12 is, by any standard, a significant reduction from an established base of 144. As a consequence, there are significant labour cost-savings to the Company, in the order of £350,000 to £500,000.
2. Apart from the savings to the Company, there are less direct efficiencies and savings deriving from the reorganisations, amalgamations, and realignments. Although these benefits to the Company are less identifiable in cost terms, they are no less real, and are the very bedrock of the rationale behind the proposals.
3. The number of upgradings proposed by the Company is relatively small and, in the Union's view, those upgradings are the entitlement of the individuals concerned, separate from the global context of the proposed changes.
4. Given the nature and thrust of the envisaged changes, there is a case for a share of the benefits to the workers concerned. The claim for a 5% increase is reasonable when compared to the 3% increase granted for previous changes resulting in about half the job-losses now proposed.
5. The Company is a big player in the newspaper industry and in the economy generally, and can afford to share the benefits of progression, with the workforce, in the manner envisaged by the Union.
COMPANY'S ARGUMENTS:-
4 1. The 1988 Company/Union Agreement (the White Book) was intended to provide a mechanism which would allow work in the clerical area to evolve in the manner in which it was to be carried out, and the conditions therein allowed for this. The White Book defines the procedures to be used and the mechanism for enhancement, and the reward, where measured and justified, is significant.
2. The global nature of the Union's claim, involving those not affected by change, contradicts the cohesive structure of the 6-grade organisation. The mechanism of advance within the grading scheme is ignored and is substituted with a reward-for-all approach. It has been the Company's position consistently that job-evaluation, as per the White Book, cannot be retained side by side with general claims.
RECOMMENDATION:
The Court has taken into consideration all aspects of this claim. The Union has sought an increase in pay for all remaining employees following redundancies and restructuring. The Court notes that the agreed compensatory mechanism for these changes is as per the Joint House Agreement, 1988 (the White Book). This Agreement provides for a job-evaluation of all jobs to be carried out. The Court notes that it is intended that this process will be completed and published by the end of 2000.
The Court recommends acceptance of the continuation of the job-evaluation process, as provided for in the 1988 Agreement, to cater for this claim. At the conclusion of this process, if there are any residual problems, the parties should proceed as per the agreed procedures in the 1988 Agreement.
Signed on behalf of the Labour Court
Caroline Jenkinson
22nd June, 2000______________________
Deputy Chairman
NOTE
Enquiries concerning this Recommendation should be addressed to Michael Keegan, Court Secretary.