FULL RECOMMENDATION
INDUSTRIAL RELATIONS ACTS, 1946 TO 1990 SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990 PARTIES : LEIBHERR CONTAINER CRANES (REPRESENTED BY IRISH BUSINESS AND EMPLOYERS' CONFEDERATION) - AND - TECHNICAL, ENGINEERING AND ELECTRICAL UNION DIVISION : Chairman: Mr Duffy Employer Member: Mr Grier Worker Member: Mr O'Neill |
1. Pay Rates.
BACKGROUND:
2. Liebherr Container Cranes Ltd is engaged in the construction and installation of container and harbour cranes. The Company currently employs 510 people. There are 37 Electricians employed by the Company, most of whom are represented by the TEEU. The Electricians are claiming a basic rate increase.
In December 2004 the Union sought a pay review. The Company entered into negotiations with the Union but made it clear that any pay increase above the terms of the National Pay Agreement would have to be justified by increased productivity. Despite a number of meetings agreement could not be found.
The dispute could not be resolved at local level and was the subject of a number of conciliation conferences under the auspices of the Labour Relations Commission. As agreement was not reached, the dispute was referred to the Labour Court on the 28th June, 2008, in accordance with Section 26(1) of the Industrial Relations Act, 1990. A Labour Court hearing took place on the 15th October, 2008.
UNION'S ARGUMENTS:
3. 1.The Union maintains that it has tried at all times to be proactive and address the claim in the spirit of Partnership.
2.The Union maintains that the average rate of pay for Electricians, based on rates applicable on the 1st April 2007, shows how far out of line Liebherr rates are in comparison with other similar companies in the region.
3.The Union contends that Electricians continue to embrace new technology etc. to facilitate the enhanced factory output.
COMPANY'S ARGUMENTS:
4. 1. The Company maintains that it has made every effort to engage with the TEEU and SIPTU in regard to their aspiration for a pay increase above the National Pay Agreements.
2. The Company's Electricians are graded Group 6 in accordance with the in-house wage system. This is 5.2% higher than Group 5 to which most other skilled groups e.g. fitters, welders, turners and painters belong.
3. The Company believes that wages and conditions enjoyed by its Electricians compare favourably with other manufacturing industries in Ireland.
RECOMMENDATION:
The Court is satisfied that the claim as presented is cost increasing and is precluded by the terms of the Towards 2016 Partnership Agreement.
It is noted that the Company have put forward proposals whereby the Union's claim could be addressed through a facilitated process jointly with the other Union representing company staff. this process would seek to identify productivity measures the adoption of which could allow for the matter to be dealt with within the terms of Towards 2016 (or any replacement agreement).
The Court believes that this proposal has merit. It is noted that joint negotiating structures are provided for in the Company/Union Agreement and on that account should be utilised in this case.
The Court recommends that this process should proceed. The facilitator, terms of reference and timeframe should be agreed between the parties.
Signed on behalf of the Labour Court
Kevin Duffy
30th October, 2008______________________
MG.Chairman
NOTE
Enquiries concerning this Recommendation should be addressed to Madelon Geoghegan, Court Secretary.