FULL RECOMMENDATION
INDUSTRIAL RELATIONS ACTS, 1946 TO 2004 SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990 PARTIES : OAKPARK FOODS LIMITED (REPRESENTED BY IRISH BUSINESS AND EMPLOYERS' CONFEDERATION) - AND - SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION DIVISION : Chairman: Ms Jenkinson Employer Member: Mr Doherty Worker Member: Ms Ni Mhurchu |
1. Introduction of a mutually acceptable Sick Pay Scheme.
BACKGROUND:
2. The Union is seeking the introduction of a sick-pay scheme, and at a conciliation conference at the Labour Relations Commission (LRC) stated that it would support a scheme which would pay 4 weeks' pay per year less social welfare. The Company believes that any sick-pay scheme should be contributory but the Union wants a non-contributory one. At the LRC in August, 2007, the Company made the following proposals:
1. Sick pay scheme to be voluntary
2. Benefits: year 1- €22 per day, year 2 - €24 per day
3. Benefits to be reviewed after 2.5 years of operation
4. Benefits to be paid for 10 days per year if member has < 5 years' service
5. Benefits to be paid for 15 days per year if member has > 5 years' service
6. Staff can join after 6 months' service in Company
7. Member must have 6 months' contributions before benefits are paid out
As the parties could not reach agreement at the LRC the dispute was referred to the Labour Court on the 3rd September, 2007, in accordance with Section 26(1) of the Industrial Relations Act, 1990. A Labour Court hearing took place on the 6th December, 2007, in Nenagh.
UNION'S ARGUMENTS:
3. 1. The union is seeking a basic 4-week scheme. There are a number of companies in the industry which have sick-pay schemes similar to that sought by the Union (details supplied to the Court).
COMPANY'S ARGUMENTS:
4. 1. The proposal offered by the Company (as above) is fair and reasonable. A significant proportion of schemes involve an employee contribution, particularly in the case of low-margain sectors and in companies such as Oakpark. Indeed, many companies in this sector do not have any sick-pay scheme.
RECOMMENDATION:
The matter before the Court concerns the Union’s claim for the introduction of a mutually agreed sick pay scheme. Attempts to agree a scheme between the parties failed and the claim was referred to the Court.
Having considered the submissions of both parties, the Court recommends that a sick pay scheme should be introduced from 1st January, 2008, with the following benefits and conditions:
-Non-contributory scheme.
-Employees become eligible to join the scheme after 6 months service.
-No payment for the first three working days of illness.
-4 weeks basis pay less Social Welfare Benefits.
Furthermore, the Company should introduce an Absenteeism policy to monitor and control absenteeism.
The Court so recommends.
Signed on behalf of the Labour Court
Caroline Jenkinson
7th January, 2008______________________
CONDeputy Chairman
NOTE
Enquiries concerning this Recommendation should be addressed to Ciaran O'Neill, Court Secretary.