FULL RECOMMENDATION
INDUSTRIAL RELATIONS ACTS, 1946 TO 1990 SECTION 20(1), INDUSTRIAL RELATIONS ACT, 1969 PARTIES : SMC PNEUMATICS (IRELAND) LIMITED - AND - MANDATE DIVISION : Chairman: Mr Hayes Employer Member: Ms Cryan Worker Member: Ms Tanham |
1. 1. Restoration of lunch / entertainment allowances. 2. Telephone / administration allowances.
BACKGROUND:
2. The Company is a subsidiary of the SMC Corporation of Japan and is involved in the importation and distribution of pneumatic components. The issue before the Court concerns the unilateral discontinuation of certain allowances that were enjoyed by Sales Engineers within the Company.
On the 16th August 2011 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 23rd November, 2011.
The Union agreed to be bound by the Court’s Recommendation.
UNION'S ARGUMENTS:
3. 1. The Union is seeking the restoration of subsistence allowances to their historic levels which were in line with industry norms.
2. Payment of an enhanced home telephone allowance to include broadband costs incurred on company business.
COMPANY'S ARGUMENTS:
4. 1. The Company provides access to free tea and coffee for all staff in the canteen each day.
2. Sales staff receive an allowance that is commensurate with the size of the territories they service.
3. The company is under pressure to reduce costs and all allowances are under review to ensure that they are only paid where necessary and represent value for money.
4. The company provides its staff with the tools necessary to discharge their duties including smart phones that have data transfer capacities that are adequate to the tasks sales staff must undertake.
RECOMMENDATION:
The Court notes that the Employer in this case decided not to attend the hearing. However the Employer made a submission to the Court which it took into consideration when making this Recommendation.
Having considered the written submissions of both parties and the additional oral submissions presented at the Hearing by the Union side, the Court finds that the daily subsistence payments and the monthly telephone allowances in place in this Company appear to be out of line with industry norms and accordingly recommends that the parties meet to address the issues in dispute with a view to reaching agreement on a mutually acceptable way forward consistent with the maintenance of good, well-paid employment within the Company.
The Court so recommends.
Signed on behalf of the Labour Court
Brendan Hayes
29th November, 2011______________________
JFDeputy Chairman
NOTE
Enquiries concerning this Recommendation should be addressed to John Foley, Court Secretary.