FULL RECOMMENDATION
INDUSTRIAL RELATIONS ACTS, 1946 TO 1990 SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990 PARTIES : CONNACHT GOLD CO-OPERATIVE SOCIETY LIMITED (REPRESENTED BY IBEC) - AND - SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION DIVISION : Chairman: Mr Duffy Employer Member: Ms Doyle Worker Member: Mr Shanahan |
1. Hearing arising from LCR19822
BACKGROUND:
2. The case concerns LCR19822 which issued in June, 2010, and involved a pay reduction which applied to approximately 45 Union workers. The full background to the case is contained in LCR19822. The Court recommended that the Company should provide the Union with the necessary information to justify the reduction and also that an independent assessment of the situation should be made. The assessment issued in November, 2010, and supported the Company's position. The Union's case is that since then the Company's financial position has improved and it is seeking to have the pay cuts (7.5%) restored. The parties met on a number of occasions to try to sort out the dispute but failed and it was agreed that the case would be referred back to the Court. A hearing took place on the 26th January, 2012.
UNION'S ARGUMENTS:
3. 1. The pay reductions made by the Company were unilateral and should be restored. The Union put forward alternative solutions (details supplied to the Court) to sort out the issue but these were rejected by the Company. The Company's financial position has improved considerably since 2009 and the restoration of the 7.5% cuts could easily be absorbed.
COMPANY'S ARGUMENTS:
4. 1. Following lengthy discussions, the Company has reached agreement with other groups of workers - Dairy Executives Association (DEA) and non-union members - which involve partial pay restorations in January, 2012 and 2013. The Company believes that this is a fair solution but agreement could not be reached with SIPTU members.
RECOMMENDATION:
The Court recommends that a further assessment of the Company's financial circumstances be undertaken by the assessor appointed on foot of LCR19822. This assessment should be undertaken as soon as possible and a report furnished to the parties. In light of the outcome of the assessment further direct discussions should be held between the parties and, if necessary, the matter should be progressed through normal dispute resolution procedures.
Signed on behalf of the Labour Court
Kevin Duffy
1st February, 2012______________________
CONChairman
NOTE
Enquiries concerning this Recommendation should be addressed to Ciaran O'Neill, Court Secretary.