FULL RECOMMENDATION
INDUSTRIAL RELATIONS ACTS, 1946 TO 1990 SECTION 20(1), INDUSTRIAL RELATIONS ACT, 1969 PARTIES : WHOLESALE SUPPLIERS LIMITED - AND - A WORKER (REPRESENTED BY AGEMO) DIVISION : Chairman: Ms Jenkinson Employer Member: Mr Doherty Worker Member: Mr O'Neill |
1. Improved redundancy package
BACKGROUND:
2. The Company is involved in the business of haulage and earthmoving contractors. The worker concerned was made redundant in July, 2008, after four years' service. The Company paid statutory redundancy but the Union is seeking an enhanced redundancy payment in excess of the statutory redundancy payment. The Company claims that it cannot afford to pay any more. The Union referred the case to the Labour Court on the 8th December, 2008, in accordance with Section 20(1) of the Industrial Relations Act, 1969. A Labour Court hearing took place on the 24th February, 2009, in Carlow. The Union agreed to be bound by the Court's recommendation.
UNION'S ARGUMENTS:
3. 1. The Company is still in business although the Union accepts that the situation is bad. The parties agreed that each employee would take a month off work at a time in rotation. The Union sought to have the worker concerned retained and included in this rotation but the Company was not agreeable.
COMPANY'S ARGUMENTS:
4. 1. The Company is in serious financial difficulties due to the present economic situation in the building trade and will find it difficult to remain solvent.
2. The worker did not have the appropriate skills necessary to allow for inclusion in the rotation.
3. The Company has only made four employees redundant in the past and they have been paid and accepted statutory only. The Company cannot afford to pay more than the statutory redundancy payments to the worker.
RECOMMENDATION:
The case before the Court concerns the worker’s claim for an enhanced redundancy payment. Having considered the oral and written submissions of both parties, and taking account of all the circumstances in this case, the Court recommends that the employer should pay the worker an ex-gratia lump sum payment of €1,750.00 in full and final settlement of his claim.
The Court so recommends.
Signed on behalf of the Labour Court
Caroline Jenkinson
9th March, 2009______________________
CONDeputy Chairman
NOTE
Enquiries concerning this Recommendation should be addressed to Ciaran O'Neill, Court Secretary.