FULL RECOMMENDATION
INDUSTRIAL RELATIONS ACTS, 1946 TO 2004 SECTION 13(9), INDUSTRIAL RELATIONS ACT, 1969 PARTIES : IRISH AMATEUR BOXING ASSOCIATION (IABA) - AND - A WORKER (REPRESENTED BY SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION) DIVISION : Chairman: Mr McGee Employer Member: Mr Doherty Worker Member: Mr O'Neill |
1. Appeal of a Rights Commissioners Recommendation No.R-040703-Ir-05/MMG.
BACKGROUND:
2. The worker was employed by the Association in 1986 on a full-time basis, and she has worked a 3-day week since the mid 1990's. Her claim is that she has not been paid any National Pay increases since May, 2002. The Union claims that the Association offered her €1000 in 2005 to compensate for her losses since 2002. The worker rejected the offer although the Union proposed to the Association that she would accept €1000 with a 5% pay rise to be applied to basic pay in January, 2005, and a further 5% in June, 2005. The Association rejected this proposal. The Association's case is that it does not have the funds to pay the National Agreements. The Association maintains that the worker accepted its offer of €1000 in 2005.
The case was referred to a Rights Commissioner whose conclusion and recommendation was as follows:-
"Both parties presented detailed, verbal and written submissions to the hearing and have made subsequent salient comments with regard to their positions.
Having carefully considered the evidence as presented I am of the opinion that clarity and a settlement of this situation should be beneficial to all parties.
I recommend that the €1000 net of tax and PRSI would once again be proffered by the Association and accepted by the claimant in compensation for not receiving increases in the years 2002-2005. I further recommend that any increases that have been allocated since 1st January 2006 should also be applied to the worker's remuneration. I would further recommend that the contract of employment be ratified between the parties to bring it up to date. This may well necessitate further discussions between the employer and the employee such that the document accurately reflects the current status of all the aspects of the employment. This clarity is both necessary and meaningful to the employee and should be concluded as soon as possible".
The worker appealed the Recommendation to the Labour Court on the 21st of August, 2006, in accordance with Section 13(9) of the Industrial Relations Act, 1969. A Labour Court hearing took place on the 2nd of November, 2006.
UNION'S ARGUMENTS:
3. 1. The worker has been a loyal and dedicated employee since she joined the Association in 1986. She is extremely flexible and has always made herself available for work even at short notice.
2. The Association claims that it cannot afford to pay National Agreements, yet a report by the Treasurer in May 2006 said that its finances were now in a healthy situation. The employer has failed to ever substantiate its claim that it is unable to pay the increases.
3. The Association applied a basic pay increase of 5% in January, 2006. The worker concerned was the only employee not to receive this increase.
ASSOCIATION'S ARGUMENTS:
4. 1. The Association is a voluntary amateur body and is funded by the Government / Irish Sports Council. Accounts for the year 2004 show that it made a loss of €202,852. It made a small profit of €17,785 in 2005, the first profit in a number of years.
2. The Association does not pay the National Agreements but believes that with funding from the Irish Sports Council its pay increases will at least equal the National Agreements.
3. The Association accepted the recommendation of the Rights Commissioner. There was an agreement in February, 2005, with the worker (and other employees) to accept a one-off payment of €1000 to compensate for the loss of pay increases from 2002 - 2005.
DECISION:
Having considered the submissions made by the parties, the Court decides as follows:-
- The claimant should accept the sum of €1000 net as offered in compensation for losses sustained owing to the non-payment of National Wage Agreements since 2002,
- Her salary should be notionally increased by 12.5% with effect from 1st January 2006.
- The "Towards 2016" Agreement should apply with effect from 1st January 2006.
- The IABA should, from that date forward, subscribe to the terms of National Wage Agreements
- and the question of increases should be dealt with in accordance with the relevant provisions of such agreements.
The Recommendation of the Rights Commissioner is varied accordingly.
The Court so decides.
Signed on behalf of the Labour Court
Raymond McGee
20th November, 2006______________________
CON/MB.Deputy Chairman
NOTE
Enquiries concerning this Decision should be addressed to Ciaran O'Neill, Court Secretary.