FULL RECOMMENDATION
INDUSTRIAL RELATIONS ACTS, 1946 TO 1990 SECTION 13(9), INDUSTRIAL RELATIONS ACT, 1969 PARTIES : STADA PRODUCTION IRELAND LIMITED - AND - A WORKER (REPRESENTED BY SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION) DIVISION : Chairman: Ms Jenkinson Employer Member: Mr Murphy Worker Member: Ms Ni Mhurchu |
1. Appeal of Rights Commissioner's Recommendation IR77001/09/MR.
BACKGROUND:
2. This dispute concerns the Worker's claim for compensation for loss of overtime earnings which he was paid for performing a specific task each week. The matter was referred to a Rights Commissioner for investigation and recommendation. On the 9th Septber, 2009 the Rights Commissioner issued the following Recommendation:-
- “Accordingly, I now recommend that Stada Production Ireland Ltd should agree to pay, on a once off and 'without precedent' basis, an ex gratia lump sum to [the Worker]. For their part [the Worker] and SIPTU should accept this lump sum in full and final settlement of this claim”.
- “Accordingly, I now recommend that Stada Production Ireland Ltd should agree to pay, on a once off and 'without precedent' basis, an ex gratia lump sum to [the Worker]. For their part [the Worker] and SIPTU should accept this lump sum in full and final settlement of this claim”.
3. 1.The Company has been operating on a loss-making basis for a number of years.
2. The Company decision to reorganise the Worker's duties came as a direct result of his high level of absence due to illness.
3.The Company has never paid compensation for loss of overtime earnings.
UNION'S ARGUMENTS:
4. 1. The Worker performed a specific task each week on "regular rostered overtime" for eighteen years.
2. This overtime was removed unilaterally by the Company when the Worker was on a period of sick pay.
3. The Worker should receive compensation of three times the annual loss.
DECISION:
This is an appeal by both the Union and the Company of a Rights Commissioner’s Recommendation which found that the Company should agree to pay, on a once off and “without precedent” basis, an ex-gratia lump sum of €1,500.00 to the worker concerned, in full and final settlement of his claim. The Union has submitted a claim for loss of earnings when the overtime which he had been working on a regular and rostered basis for more than 18 years was ceased.
Having considered the positions of both parties as expressed in their oral and written submissions, the Court notes that due to the nature of the changes entered into when the overtime was eliminated in this case there was no prospect of a return to overtime working at any time in the future. In those circumstances due to the regular and rostered nature of the overtime over the period in question the Court is of the view that a level of compensation is warranted, however, the Court also notes that the worker left the employment a short time later.
In all the circumstances the Court concurs with the conclusions of the Rights Commissioner and upholds his Recommendation in full.
Accordingly, both appeals fail.
The Court so decides.
Signed on behalf of the Labour Court
Caroline Jenkinson
12th July, 2010______________________
JMcCDeputy Chairman
NOTE
Enquiries concerning this Decision should be addressed to Jonathan McCabe, Court Secretary.