FULL RECOMMENDATION
INDUSTRIAL RELATIONS ACTS, 1946 TO 2004 SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990 PARTIES : SOLA ADC LENSES (REPRESENTED BY IRISH BUSINESS AND EMPLOYERS' CONFEDERATION) - AND - SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION DIVISION : Chairman: Mr McGee Employer Member: Mr Doherty Worker Member: Mr Nash |
1. Compensation for loss of creche.
BACKGROUND:
2. The case before the Court concerns a dispute between management at the Company and SIPTU in relation to the closure of the Company's creche facilities. The creche had been in operation since the early 1990's but in 2003 due to increased costs and mounting losses, the Company had no option but to close the creche, despite exploring alternative options. The Union are seeking compensation for the three effected workers who incurred additional costs following the closure.
The Company reject the claim on the basis that every effort was made to avoid closure of the creche and that payment of compensation in the circumstances is inappropriate.
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 21st January, 2004, in accordance with Section 26(1) of the Industrial Relations Act, 1990. A Labour Court hearing took place on the 3rd February, 2005, the earliest date suitable to the parties.
UNION'S ARGUMENTS:
3. 1. Workers were provided with subsidised creche facilities for a number of years which were subsequently withdrawn without consultation. The decision to close the creche was taken before any formal meetings could be arranged.
2. Due to the closure workers were faced with additional costs when seeking alternative childcare.
COMPANY'S ARGUMENTS:
4. 1. An extensive review of the creche was carried out before any decision to close the creche was taken.
2. When the decision to close became unavoidable, the Company gave as much notice as possible in order to allow employees time to make alternative arrangements and to keep disruption to a minimum.
RECOMMENDATION:
The Court has considered the written and oral submissions of the parties.
Taking into account
1. the serious financial loss at which the creche was being run
2. the low uptake and poor prospects at the time of closure and
3. the individual burden placed on the claimants by the closure
The Court recommends, in the unique circumstances of solely these three claimants, who are still employed by the Company, that the two whose costs increased from €70 to €100 p.w. be paid a once-off ex-gratia sum of €500 and the claimant whose costs increased from €14 to €24 p.w. be paid a once-off ex-gratia lump sum of €160 and that these sums be accepted by the claimants in full and final settlement.
Signed on behalf of the Labour Court
Raymond McGee
23rd February, 2005______________________
AH/MB.Deputy Chairman
NOTE
Enquiries concerning this Recommendation should be addressed to Andrew Heavey, Court Secretary.