FULL RECOMMENDATION
INDUSTRIAL RELATIONS ACTS, 1946 TO 2001 SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990 PARTIES : BUS EIREANN - AND - ICTU GROUP OF TRADE UNIONS SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION AMALGAMATED ENGINEERING AND ELECTRICAL UNION DIVISION : Chairman: Ms Jenkinson Employer Member: Mr Keogh Worker Member: Mr O'Neill |
1. Re-hearing arising from Labour Court Recommendation No.16864.
BACKGROUND:
2. On the 11th of July, 2001, a dispute concerning a productivity pay increase for approximately 176 craftworkers, in return for acceptance of the Company's Productivity/ Flexibility Agreement, was the subject of a Labour Court investigation. A number of clauses in the agreement were in dispute, Clause 4 - Working Hours, Clause 6 - Contractors, Clause 7 - Work Practices and Flexibilities, Clause 12 - Pay and Allowances as well as pay for annual leave, voluntary severance payments etc,. On the 23rd of July, 2001, the Court issued LCR 16864 as follows:-
"The Court has given consideration to both the written and oral submissions of all the parties. The Court is concerned at the extent of the gap in understanding between the parties on many issues in dispute. It is of the view that further clarification is required, therefore, the Court recommends that the case should be referred back to the conciliation officer.
Unresolved issues and the issue of pay, can if necessary, be referred back to the Court for a definitive recommendation."
At subsequent discussions under the auspices of the Labour Relations Commission, the
parties were unable to reach agreement and the dispute was referred to the Court by the Labour Relations Commission on the 15th of October, 2001. A Court hearing was held on the 23rd of October, 2001.
UNION'S ARGUMENTS:
3. 1. Clause 4. The Unions seek the insertion of the word "voluntary" into the clause. Their concerns are with the paragraph relating to shift rosters. The Unions are seeking to include in the agreement a mechanism that will allow for a partnership approach to the question of examining the requirement for shift rosters that take into consideration the needs of the Company and the human needs of staff. The principle of a joint examination of the need to change shift rosters should be introduced in Clause 4. The working hours in the Tralee depot should be brought in line with those of other garages. The following sentence should be removed from the clause, "Normal working hours other than Monday to Friday will continue to apply where already in existence."
2. Clause 6. The following sentence should be included, "That contractors will only be used when the available hours under the Working Time Act are utilised other than on work of a specialised nature, warranty or emergency."
3. Clause 7. Chassis cleaning should be removed from Appendix B and Appendix C should be deleted.
4. The Unions are seeking a revised scale of pay that would give a top rate of £500 (634.87 Euro) per week on the 6th increment. The Unions are also seeking a lead in payment of £6,750 (8570.03 Euro) and the inclusion of average pay for annual leave.
5. The 1998 Severance Package should be revised to allow for the calculation to be based on the current pay year based on the best 13 weeks.
COMPANY'S ARGUMENTS:
4. 1. Clause 4. For the Company to agree to the inclusion of the word "voluntary" would give the Unions a veto on roster changes. This would be contrary to the Productivity Flexibility agreement especially as the Company enters a period of dramatic change in the road passenger industry. The Company will consult with the Unions in relation to any proposed change. In relation to the Tralee depot, the Company is prepared to re-examine the question of a Monday to Friday work week for these staff in the context of reaching an overall agreement for crafts.
2. Clause 6. Contractors will only be used to augment the permanent maintenance staff such as in the following situations:-
- to cope with peak requirements.
- to provide specialist services such as major accident repairs, painting, trimming, glass replacement, unit overhaul, vehicle recovery, refurbishment and modifications.
- provide maintenance services to vehicles at remote locations including that which already applies with current work prior to the agreement at certain garages.
The Draft 5 document also outlines other instances of where contractors would be required.
3. Clause 7. The Company never intended that craftworkers would take over chassis cleaning duties. The clause was for situations whereby craftworkers needed to carry out repair work around the chassis area and if a chassis cleaner was not available, the craftworker could hose down the particular part for the work to commence. With regard to engineering operatives carrying out certain craft type tasks, it is an integral part of the proposed agreement.
4. To concede the Unions' claim for time plus one fifth for workers in the Limerick garage would have major cost repercussions for the Company.
5. The Company is already facing major competition on its routes and under a tendering process in the future will have to tender for its current services against competitors with a much lower cost base. It is not in a position to make any further increases in pay rates and premiums over and above those already outlined in the Company's Productivity Flexibility Agreement in February, 2001. The Company requests the Court to recommend that the Company offer of the 9th of February, 2001, be accepted by the Unions, with an effective date, post agreement on local rosters.
RECOMMENDATION:
This claim for productivity pay increases has been the subject of numerous meetings between the parties, it has been through many conciliation talks and at the Court on one previous occasion. Despite the many attempts at trying to resolve the issues, the issues are still unresolved.
Having examined the written and oral submissions made by both sides the Court recommends that The Productivity/Flexibility Agreement for Craftworkers Draft 5 should be accepted with the following clarifications and amendments:-
Tralee
The Court notes the clarification given by the Company that if all other aspects of this agreement are accepted, the Unions' claim concerning workers hours of work in Tralee will be conceded. The Court endorses this position.
Clause 4. Working Hours
It is envisaged and accepted by the Company that adhoc changes in working hours will not take place by local managers. The Court recommends that the paragraph relating to roster changes should be changed to the following:
Should it become necessary to change shift rosters due to the business needs of the Company, the situation will be carefully examined. If as a result of this examination a shift system and/or start and finishing times need to be changed, full consultation will take place beforehand with every effort being made to comply with the requirement for reconciling work and family life. At least 28 days notice will be given of any changes proposed. Where possible phasing in of new start and finishing times will be operated to try and suit employees needs. In the event of a dispute arising over the proposed changes a reference may be made to an internal tribunal for resolution of a dispute. This system will be reviewed in twelve months from acceptance of the recommended package.
Clause 6. Contractors
The Court recommends that the clause should be amended to include the following principles.
the use of contractors should :
- not impact on the earnings or job security of the claimants.
- be subject to prior consultation with the Union
- the core maintenance work should continue to be carried out by the craftsmen
- be on the clear understanding that craftsmen will be fully utilized, including reasonable amounts of overtime, when available.
The Court finds that the Unions do not have the right to insist that craftsmen be employed to the permissible hours allowed under the Organisation of Working Time Act, 1997, before contractors are used. This recommendation cannot be taken to imply an unfettered right to the employment of contractors by the Company, however, management must be allowed to manage the business to the best possible effect. In order to protect employees, the Court endorses the proposed ongoing consultation as mentioned. This clause should be reviewed in twelve months from acceptance of the recommended package to review its operation.
Clause 7. Work Practice and Flexibility
At the hearing, the Company clarified that chassis cleaning was only required to be carried out by craftsmen where a general operative was not available and where cleaning of a particular part of the chassis was necessary in order for the maintenance work to be carried out. With this clarification having been given the Court is of the view that such amounts of chassis cleaning are reasonable. Therefore, the Court recommends that craftsmen should accept this clause including the appendices.
Limerick Garage Change of Shift Pattern
The Company proposed to eliminate the night shift in the Limerick Garage, thereby changing
from a three-shift pattern to a two-shift pattern. The Court is of the view that a reduction in the premium from time plus one fifth to time plus one sixth is, therefore, appropriate for the new shift system. The Court recommends acceptance of the proposal.
Conclusion
The Court recommends acceptance of The Productivity/Flexibility Agreement for Craftworkers Draft 5 as amended by the above. Bearing in mind the increases already paid, coupled with the reduction in the length of the pay scale, the Court recommends acceptance of the pay scales as proposed in Draft 5 (as updated by the 2% Amendment to PPF).
There has been no agreement reached with local managers on new rosters to comply with the Organisation of Working Time Act, 1997. The Court recommends this process must be undertaken without delay. In the event of all of the above being accepted by the Unions, the Court recommends that the lead in payment should be increased to £3,000 (3809.21 Euro).
The Court recommends that on the date agreement is reached on the new rosters and full acceptance of this recommendation is given by all Unions concerned, the new pay scales and the pay out of the lead in money should be effective from that date.
Signed on behalf of the Labour Court
Caroline Jenkinson
1st November, 2001______________________
TOD/BRDeputy Chairman
NOTE
Enquiries concerning this Recommendation should be addressed to Tom O'Dea, Court Secretary.