FULL RECOMMENDATION
INDUSTRIAL RELATIONS ACTS, 1946 TO 1990 SECTION 20(1), INDUSTRIAL RELATIONS ACT, 1969 PARTIES : RPS GROUP LIMITED - AND - A WORKER (REPRESENTED BY SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION) DIVISION : Chairman: Mr Hayes Employer Member: Ms Cryan Worker Member: Mr Nash |
1. Enhanced redundancy terms
BACKGROUND:
2. The RPS Group is an multinational environmental consulting firm that employs 4,500 worldwide and over 1,000 in Ireland. The Complainant began working with the firm as a Receptionist / Administrator within the Technical Support Services Division on 3rd July 2006. Her job became redundant on 31st December, 2009. The Company offered her statutory redundancy only but the Union is seeking an enhanced package for the Complainant. A number of meeting took place between the parties but a satisfactory agreement could not be reached.
On the 12th February, 2010 the Union referred the issue to the Labour Court, in accordance with Section 20(1) of the Industrial Relations Act, 1969. A Labour Court hearing took place on the 15th September, 2010. The Union agreed to be bound by the Court’s Recommendation.
UNION'S ARGUMENTS:
3. 1. The Union is seeking to have the same redundancy terms awarded to the Complainant, as recommended by the Labour Court in LCR19568 which awarded two weeks' average pay per year of service in addition to statutory redundancy payments.
COMPANY'S ARGUMENTS:
4. 1. It is the policy of the Company to pay statutory redundancy only to staff. An enhanced package would have knock-on effects and would place a substantial extra cost burden on the Company.
2. The Company did not pay the enhanced ex-gratia payment as recommended by the Labour Court in LCR19568, to do so would put the viability of the business at risk bearing in mind the redundancies which are likely to ensue next year.
RECOMMENDATION:
The Court has carefully considered the submissions of both parties in this case. The Company, in its own evidence, acknowledged that it was trading profitably at the time the worker was made redundant. Accordingly the Court, in all the circumstances of this case and taking into account the amount of money involved and the capacity of the Company to pay an enhanced package to the worker, recommends concession of the Union’s claim.
The Court so Recommends
Signed on behalf of the Labour Court
Brendan Hayes
29th September, 2010______________________
JFDeputy Chairman
NOTE
Enquiries concerning this Recommendation should be addressed to John Foley, Court Secretary.