FULL RECOMMENDATION
INDUSTRIAL RELATIONS ACTS, 1946 TO 1990 SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990 PARTIES : CORK PORT FACILITIES LIMITED - AND - SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION DIVISION : Chairman: Mr Duffy Employer Member: Mr Doherty Worker Member: Mr O'Neill |
1. Hearing arising from LCR19137.
BACKGROUND:
2. This case, which deals with the modernisation of the Cork Docks, was before the Court in January, 2008, and LCR19137 issued in February, 2008. The main details of the case are contained in it. Whilst some of the Court's recommendations were acceptable to the workers others were not, and it was decided that the only solution was the closure of the Dockers' Section and the redundancy of the 93 workers employed there. The issue in dispute now is the redundancy terms. The Union's claim includes a 3.5% increase in the ex-gratia sum offered by the Company, the inclusion of "black card" service in the calculation of the statutory redundancy ("black card" refers to casual work for which the Company says it has no records), and an increase from €20,000 to €80,000 for the closure payment. The Company has rejected the claim. As per LCR19137 the parties agreed to refer the case back to the Court and a Labour Court hearing took place on the 4th November, 2008.
UNION'S ARGUMENTS:
3. 1. The Cork Dockers have their own unique Statutory Instrument under the Redundancy Payments Act.
2.The closure of the Cork Docks Section differs from previous redundancies which were voluntary. The workers concerned can attest to when they started as Casual Black Card men and for many of them this service far exceeds the artificially constructed "date of badge".
3.Some of the workers are fifth-generationDockerfamily and the Company's offer of €20,000 for closure in no way compensates for exiting the stage.
COMPANY'S ARGUMENTS:
4.1. Under the terms of the Company's proposals the average payment will be just under €100,000. Some of the workers will be paid many times more than they could hope to earn between now and retirement.
2.The economic climate has changed utterly since the process began as the level of business through the country's ports has fallen significantly.The Union's claim for €80,000 closure is totally unrealistic. The inclusion of the "black card" service means that there is a significant improvement in the present offer compared with previous redundancy arrangements.
RECOMMENDATION:
The Union summarised its claims as follows:-
- 1. "That the statutory redundancy be applied across the board as per legislative entitlements
2. That the ex-gratia sum be increased by 3.5%.
3. That the start date for ex-gratia correspond with the statutory and not the Union badge date. The cap of 30 years to remain in situ.
4. That the closure payment of €20,000 be increased to €85,000"
In respect to these claims the Court recommends as follows:-
Claim 1.
The employer confirmed to the Court that statutory redundancy sums will be calculated in accordance with the Redundancy Payments Acts 1967-2003 and regulations made thereunder. This meets the Union's claim.
Claim 2.
The Court recommends that the ex-gratia sum be increased to €3,000 per year of service.
Claim 3.
The Court recommends that those with verifiable "black card" service should have a maximum of 2 years of such service taken into account in calculating service for the purpose of the ex-gratia element of the package. It is noted that the parties are agreed on the retention of the 30 year cap.
Claim 4.
The Court recommends that the closure payment proposed be increased to €25,000.
Signed on behalf of the Labour Court
Kevin Duffy
17th November, 2008.______________________
CON.Chairman
NOTE
Enquiries concerning this Recommendation should be addressed to Ciaran O'Neill, Court Secretary.