FULL RECOMMENDATION
INDUSTRIAL RELATIONS ACTS, 1946 TO 1990 SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990 PARTIES : CADBURYS - AND - SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION DIVISION : Chairman: Ms Jenkinson Employer Member: Mr McHenry Worker Member: Mr. Somers |
1. Proposal to contract out Transport and Distribution in Kerry.
BACKGROUND:
2. The dispute before the Court concerns a decision made by the Company in 1995 to contract out the transport and distribution operation at its plant in Rathmore, Co. Kerry.
The Union is opposed to this decision as twenty eight of its members will be affected. The Union states that the Company has not looked at alternatives to contracting out transport and distribution. The Company states that the decision was discussed with the workforce in early 2000.
The dispute was the subject of several conciliation conferences under the auspices of the Labour Relations Commission held up to the 26th of January, 2001. As agreement was not reached, the dispute was referred to the Labour Court in accordance with Section 26(1) of the Industrial Relations Act, 1990. A Labour Court hearing took place on the 19th of April, 2001, the earliest date suitable to the parties.
UNION'S ARGUMENTS:
3. 1. The workers concerned have indicated their willingness to engage in talks with the Company to look at alternatives to contracting out transport and distribution. The Company has said that the issue is not negotiable.
2. If the Company implements the decision, it will have a devastating affect on the workers as it will be difficult for them to get similar alternative employment in a small rural village.
3. The Company should enter negotiations with the workers on the future of transport and distribution within the Company.
COMPANY'S ARGUMENTS:
4. 1. The decision to contract out the transport and distribution was taken in 1995. The workers were fully aware of the decision from that time. The decision was implemented in all areas of the business except Rathmore.
2. All workers concerned will have the option of remaining with the Company if they wish.
3. The present system is uneconomical, therefore, transport and distribution must be contracted out to improve the Company's competitiveness.
RECOMMENDATION:
The Court has given serious consideration to both sides in this dispute. The Court notes the Company's decision to eliminate and contract out the warehouse and distribution side of the business and the Union's total opposition to it. This decision was made in 1995 and efforts to implement it have been ongoing with the Union since that time. The Company's proposed method of implementing the change was discussed and communicated with the workforce early in the year 2000. However, the Court is not satisfied that sufficient discussion has taken place on the detail and it's implications for each individual concerned.
The Court recommends that the Union should accept the Company's proposal to eliminate the warehouse and distribution functions and that negotiations should now take place for the purpose of agreeing a package for those individuals who may be affected by the change. This process must be completed by the 1st of June , 2001.
Signed on behalf of the Labour Court
Caroline Jenkinson
3rd May, 2001______________________
GB/CCDeputy Chairman
NOTE
Enquiries concerning this Recommendation should be addressed to Gerardine Buckley, Court Secretary.