FULL RECOMMENDATION
INDUSTRIAL RELATIONS ACTS, 1946 TO 2004 SECTION 26(5), INDUSTRIAL RELATIONS ACT, 1990 PARTIES : AER LINGUS - AND - SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION IRISH MUNICIPAL, PUBLIC AND CIVIL TRADE UNION DIVISION : Chairman: Mr Duffy Employer Member: Mr Grier Worker Member: Mr Nash |
1. Re-hearing arising from LCR 18850
BACKGROUND:
2. The Labour Court issued LCR18850 on the 5th of March, 2007, which dealt with a number of issues in the Company's Programme for Continuous Improvement (PCI-07), including the "Fly Anywhere Agreement". In the recommendation the Court stated that any outstanding issues could be referred back to the Court and, as a result, a further hearing took place on the 8th of August, 2007. The issues in the present dispute, which relate to cabin crew, are as follows:
Rolling roster and early starts
Days off (rest at base) after flight times over 10.5 hours, and one night stop-over
9th day off after 28-day roster
Rolling roster:
Currently the rolling roster for long-haul flights in a 4-week roster period is 3-2-3-2 etc. That means duty followed by a 3-day rest period, duty followed by a 2-day rest, duty with 3 days rest etc. The Company wishes to have the first rest period in a 4-week roster to be a 2-day rest if the last rest period in the previous 4-week roster was 3 days off. The Unions are opposed to this proposal.
Early starts - pre 6.00 a.m.
At present there are a number of restrictions to early starts, e.g. in any 7-day period not more than three flight duties can be rostered before 6.00 a.m., which the company wishes to eliminate.
Days off (rest at base) after flights over 10.5 hours.
Cabin crew working a duty over 10.5 hours, e.g. Los Angeles duty, are rostered for 4 days off i.e. at home, after these duties. The Company's proposal is to reduce this to 3 days off and integrate it into the 3-2-3-2 rolling roster.
One night stop over
The current minimum rest period following all long-haul flights is 22 hours; for Los Angeles it is 2 local nights. The Company is seeking to reduce this to one night.
9th day off per 28-day roster-period
Cabin Crew work 13 roster periods of 4 weeks (28 days) over the course of the year. During the course of the roster period a minimum of 8 days off are rostered. Currently in 7 of the 12 months a 9th day off is achievable, something the Company wishes to eliminate.
UNIONS' ARGUMENTS:
3. 1.The Unionsbelieve that the Company's demands are excessive and unnecessary. The Company based its demands on a false premise concerning cabin crew.
2. The Unions believe that the rules which currently apply concerning pre-6.00 a.m. starts, 9th day and rest abroad, and post long-haul flights do not prevent cabin crew from achieving what is deemed by the Company to be the industry norm. Cabin Crew have given enough productivityover the last number of years.
3. The PBS System was first agreed in 2001 and recommended by the survival plan of 2001/2002. Despite many further cost savings and concessions by the Cabin Crew the agreed PBS System is still awaiting implementation.
COMPANY'S ARGUMENTS:
4. 1 The Company is seeking to eliminate productivity levels which are significantly out of line with industry norms. Such productivity levels currently diminish the Company's competitiveness on existing routes and will also place the Company at a serious disadvantage on planned future long-haul growth.
2. If the Company is to maintain competitiveness and secure a future as a stand-alone, independent airline it must reduce costs and strive for continuous progress in relation to work practices, efficiency and productivity. The Company believes that PCI 07 will deliver such a cost base.
RECOMMENDATION:
This dispute came before the Court pursuant to Recommendation LCR 18850. In that Recommendation the Court proposed that the Unions agree to a range of concessions in established terms and conditions of employment. In the course of the hearing leading to the issuance of that Recommendation the Company had sought changes in theFly Anywhere Agreementas it relates to cabin crew. The Court recommended that further discussions should take place between the parties on these matters and that if final agreement was not reached outstanding matters should be referred back to the Court.
This Recommendation is supplemental to LCR 18850 and both Recommendations should be decided upon as part of a single package.
In formulating the terms of Recommendation LCR 18850 the Court was convinced that the changes which it proposed were necessary to secure the future viability of the Airline in the changed competitive and market conditions in which it must operate. The Court remains of that view. It notes with concern that while that Recommendation was issued on 5th March 2007, it has not yet been decided upon by the Unions, in consequence of which none of the proposed changes have been implemented. It is also noted that some issues, relating to monitory compensation for the proposed changes, have not yet been addressed. The Court would strongly urge that the parties now proceed to finalise all outstanding issues with a view to implementing the terms recommended in LCR 18850 and this Recommendation.
The changes recommended in Recommendation LCR 18850 are significant and will generate major savings and efficiencies to the Company. While the changes now sought would obviously generate further savings, the Court believes that change is best achieved incrementally. For this reason, and having regard to the submissions made at the hearing the Court recommends that the changes at issue in this referral be addressed as follows: -
Rolling Roster and Early starts
The Court notes that the Unions are adamant that the introduction of the PBS system will ameliorate the difficulties highlighted by the Company in regard to the rolling pattern of days off –3-2-3-2 and the early starts before 6am. The Court recommends that the Company make such arrangements as are necessary to introduce PBS for cabin crew not later than March 2008. Discussions on both of these issues should then resume between the parties. These discussions should take full account of the extent to which the system has had the effect anticipated by the Unions. These discussions should be completed not later than 30th June, 2008, after which outstanding issues should be referred back to the Court.
In the interim the current informal arrangements on “early packages” should continue.
Days off (Rest at base after flight times over 10.5 hours. and One night stop over.
The Court recommends that both of these items be discussed again between the parties after the process regarding pilots is completed.
9th Day off per 28 day roster.
The Court does not recommend concession of this proposal at this time. However the position should be again discussed between the parties after the PBS system is introduced. These discussions should be completed not later than 30th June, 2008, after which the matter may be referred back to the Court.
Signed on behalf of the Labour Court
Kevin Duffy
3rd October, 2007______________________
CONChairman
NOTE
Enquiries concerning this Recommendation should be addressed to Ciaran O'Neill, Court Secretary.