FULL RECOMMENDATION
INDUSTRIAL RELATIONS ACTS, 1946 TO 2004 SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990 PARTIES : CAR TRANSPORT LIMITED (REPRESENTED BY MANAGEMENT RESOURCE INSTITUTE.) - AND - SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION DIVISION : Chairman: Ms Jenkinson Employer Member: Mr Grier Worker Member: Mr O'Neill |
1. Application of the terms of Sustaining Progress.
BACKGROUND:
2. The present owners National Vehicle Distribution (NVD) acquired the Company, Car Transport Ltd (CTL) in August, 2001. They employ approximately 50 drivers.
The dispute before the Court concerns a claim by the Union on behalf of 32 members for the Sustaining Progress increases to be applied from the 1st of January, 2003.
The dispute could not be resolved at local level and was the subject of a conciliation conference under the auspices of the Labour Relations Commission. As agreement was not reached, the dispute was referred to the Labour Court on the 5th of April, 2004, in accordance with Section 26(1) of the Industrial Relations Act, 1990. A Labour Court hearing took place on the 28th of May, 2004.
UNION'S ARGUMENTS:
3. 1. The Union members agreed to a new pay structure in 2001 with the clear understanding
that it was an enhanced structure.
2. Basic pay has not increased in three years which counteracts the initial value of the new
pay structure. It effectively means that drivers have to work harder and longer to
maintain the same standard of living as they had in 2001.
3. NVD employees in Rosslare, Baldonnel, and Ringaskiddy all received Sustaining
Progress increases.
COMPANY'S ARGUMENTS:
4. 1. The Company acquired an ailing business in 2001 and has now turned it into a viable
operation.
2. The pay structure agreed in 2001 was designed for CTL and took account of the gross
payments applicable. It was designed to ensure drivers would not suffer loss of earnings.
3. As part of the new pay structure in 2001 drivers were given the opportunity to earn
additional performance related payment thus increasing their earning opportunities.
RECOMMENDATION:
The Union sought the application of the terms of Sustaining Progress to the current weekly basic rate of €444.44 with effect from 1st January, 2003. The Company indicated to the Court that pay terms devised in 2001 reflect increases provided for by the remaining terms of PPF at the time and increases under the terms of Sustaining Progress.
The Court is not satisfied with the Company's perception of the pay terms devised in 2001 and is of the view that increases in pay since that date have been minor.
Accordingly, the Court recommends that the terms of Sustaining Progress should be implemented as follows:
- 3% with retrospective effect from 1st September 2003
- 2% with effect retrospective from 1st June 2004
- 2% from 1st December 2004
- any follow on agreement to Sustaining Progress to apply from 1st March 2005
The Court so recommends.
Signed on behalf of the Labour Court
Caroline Jenkinson
21st June, 2004______________________
MG.Deputy Chairman
NOTE
Enquiries concerning this Recommendation should be addressed to Madelon Geoghegan, Court Secretary.