FULL RECOMMENDATION
INDUSTRIAL RELATIONS ACTS, 1946 TO 1990 SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990 PARTIES : ARDFERT QUARRIES (REPRESENTED BY IRISH BUSINESS AND EMPLOYERS' CONFEDERATION) - AND - SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION DIVISION : Chairman: Mr Duffy Employer Member: Ms Doyle Worker Member: Mr Nash |
1. Redundancy terms
BACKGROUND:
2. The issue before the Court concerns a claim by the Union on behalf of its member for an enhanced redundancy package. The worker was made compulsory redundant from his job in maintenance in December, 2008. The Company made an offer of statutory redundancy plus €500 per year of service. The offer was rejected by the worker and a dispute arose regarding his years of service from 1994 to 1997. The Company concedes that he was in fact employed since 1994 and an offer of €2,975 was made in regard to this time period. This offer was rejected by the worker as it did not take into account his pension entitlements lost during that period.
The issue could not be resolved at local level and was the subject of a Conciliation Conference under the auspices of the Labour Relations Commission. As agreement could not be reached the matter was referred to the Labour Court on 8th July, 2010 under Section 26(1) of the Industrial Relations Act, 1990. A Labour Court hearing took place on the 25th May, 2011.
UNION'S ARGUMENTS:
3. 1 The worker feels he was mistreated by the Company in being made compulsory redundant. The sum offered to compensate him for his years of service from 1994 to 1997 does not take into account what he lost in pension entitlements.
2 The worker never recieved his contract of employment. The Union is seeking an increase in the ex gratia payment from €500 per year of service to 2 weeks pay per year of service.
COMPANY'S ARGUMENTS:
4. 1 The Company has tried to reach an accommodation with the worker and the Union on his redundancy terms through conciliation. The Company met with the Union on a number of occasions prior to any redundancies being implemented and was under the impression that an agreement was reached with the Union on the redundancy terms.
2 Due to the financial position of the Company, 14 out of 36 positions have been made redundant since 2008. The Company has engaged with the Union on a programme of change to terms and conditions of employment to reduce cost, safeguard employment, ensure the Company's survival and avoid further redundancies.
RECOMMENDATION:
Having regard to all the circumstances of the case the court recommends that the Company reinstate its offer made at conciliation in March 2009. This should then be accepted by the Claimant in full and final settlement of his claim.
Signed on behalf of the Labour Court
Kevin Duffy
15th June, 2011______________________
DNChairman
NOTE
Enquiries concerning this Recommendation should be addressed to David P Noonan, Court Secretary.