FULL RECOMMENDATION
INDUSTRIAL RELATIONS ACTS, 1946 TO 1990 SECTION 13(9), INDUSTRIAL RELATIONS ACT, 1969 PARTIES : ORAL B LABOATORIES LIMITED (REPRESENTED BY IRISH BUSINESS AND EMPLOYERS' CONFEDERATION) - AND - SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION DIVISION : Chairman: Mr Duffy Employer Member: Mr McHenry Worker Member: Mr O'Neill |
1. Appeal Against Rights Commissioner's Recommendation Ir431/99/Gf
BACKGROUND:
2. The Company was established in 1984 and is located in Newbridge, Co. Kildare. It employs in excess of 450 people, and is involved in the manufacture of toothbrushes, dental-floss and antiseptic mouth-wash.
The worker concerned has been employed by the Company for over 15 years and spent 12 of those years in the quality control (QC) area. She was confirmed as a permanent QC Inspector (Grade 2) in 1993. In June, 1997, the worker began to be paid an additional 7.5% responsibility allowance for performing additional duties in the goods-inward section in the QC area, bringing her wages up to £299.11 per week (the Union calculated the difference at £28.56 per week against the Company's approximation of £21.00). At this stage there were two QC Inspectors in the goods-inward area.
The worker went on maternity leave in August, 1998 and returned to work in December, 1998. About the time she returned, the Company decided to transfer the liquid mouth rinse production to another area. This required that only one QC Inspector was needed in the goods-inward area. The worker concerned was informed that she was to be
transferred to another area of the QC section and, as a result, she would lose the differential. One of the differences between the parties is that the Union believed that the worker was Grade 2A when she performed the additional duties, whereas the Company maintains that she was still Grade 2, but was paid an allowance. The Union's claim is that the worker's rate of pay (£299.11) be red-circled, and that she be compensated for loss of earnings (approximately £1300).
The dispute was referred to a Rights Commissioner and his findings and recommendation are as follows:
"I am satisfied that some ambiguity existed when the claimant took up the position in June, 1997. With regard to 7.5% allowance and the overall status of the position I am recommending a "once off" ex-gratia payment of £500.00 to the claimant for its loss.
With regard to the permanent loss of the 7.5% allowance I recommend in favour of the Company."
The Union appealed the recommendation to the Labour Court on the 2nd of November, 1999, in accordance with Section 13(9) of the Industrial Relations Act, 1969. A Labour Court hearing took place on the 23rd of February, 2000, in Carlow.
UNION'S ARGUMENTS:
3. 1. The history of the worker's job that was transferred in December, 1998, is that it was a permanent job and had been in operation for 12 years. It was rated Grade 2A, not Grade 2 with an allowance.
2. Clause 42, paragraph 2, of the Company/Union agreement states: "If in order to balance production, a man or woman is switched on to work of a grade lower than which he or she normally does, his or her rate will not be changed". There are many precedents in the Company where this rule applies (the Union supplied examples of same).
COMPANY'S ARGUMENTS:
4. 1. The worker's role as a permanent QC Inspector remains unchanged. The responsibility allowance relates to one specific element of her role, one that she no longer performs.
2. There is a well-established precedent for the Company for removing this responsibility allowance if individuals have not been confirmed as permanent. The Company at no stage indicated that the allowance formed part of the worker's permanent terms and conditions.
3. The Company gave more than adequate notice of its intentions to remove the allowance, a total of over four months continued payment, and is willing to abide by the Rights Commissioner's recommendation of a further payment of £500.
DECISION:
Having considered the submissions of the parties, the Court considers that the conclusions and Recommendation of the Rights Commissioner are reasonable.
The Recommendation is affirmed and the appeal disallowed.
Signed on behalf of the Labour Court
Kevin Duffy
6th March, 2000______________________
CON/CCDeputy Chairman
NOTE
Enquiries concerning this Decision should be addressed to Ciaran O'Neill, Court Secretary.