FULL RECOMMENDATION
INDUSTRIAL RELATIONS ACTS, 1946 TO 2001 SECTION 33(1), INDUSTRIAL RELATIONS ACT, 1946 PARTIES : MERRIOTT RADIATORS LIMITED (REPRESENTED BY THE IRISH BUSINESS AND EMPLOYERS' CONFEDERATION) - AND - AMALGAMATED TRANSPORT AND GENERAL WORKERS' UNION DIVISION : Chairman: Mr Flood Employer Member: Mr Keogh Worker Member: Ms Ni Mhurchu |
1. Interpretation of a Registered Employment Agreement.
BACKGROUND:
2. The Company is part of the Barlo PLC Group and is located at Clonmel, Co. Tipperary. It currently employs 145 staff. Following a strike in October, 1990, an agreement which would bring the employees back to work was reached between the Company and the Union, and registered by the Labour Court. Clause 31 of this agreement relates to Profit Sharing. Clause 31 reads as follows:-
"When the Company - Barlo heating Ltd. returns to an acceptable level of profit, a mechanism will be agreed, at that time, to enable employees to participate in a meaningful way in the Company's recovery."
The Union wrote to the Labour Court on the 18th of May, 2001, seeking an interpretation of Clause 31 of the Registered Agreement in accordance with Section 33(1) of the Industrial Relations Act, 1946. A Labour Court hearing took place on the 3rd of October, 2001.
UNION'S ARGUMENTS:
3. 1. Since 1993, the Company assured the workforce that they would have a Profit Share plan when the Company returned to profit.
2. Clause 31 should be interpreted as a share in profits. Alternatives are not acceptable.
COMPANY'S ARGUMENTS:
4. 1. Clause 31 is of a general nature and does not specify a particular mechanism of profit sharing.
2. The Company had already implemented Achieving our Potential Together (APT) Scheme covering the period September, 1999 to December, 2000, and was in discussion with the Union in relation to a follow up agreement at the time of the referral. The Company argues, therefore, that it is fulfilling its commitments under the Registered Agreement.
DECISION:
Major differences exist between the parties in relation to the exact interpretation of Clause 31 and subsequent documents.
Given the written and oral submissions made by both sides and conscious of possible difficulties arising as a result of the financial structure of the Company, the Court recommends that the parties enter into immediate discussion as a means of delivering Management's commitment "to enable employees to participate in a meaningful way in the Company's recovery".
The Court, taking into account the Management statements, considers that these discussions would be the appropriate way forward for addressing this dispute.
Signed on behalf of the Labour Court
Finbarr Flood
24th October, 2001______________________
G.B.Chairman
NOTE
Enquiries concerning this Decision should be addressed to Gerardine Buckley, Court Secretary.