FULL RECOMMENDATION
INDUSTRIAL RELATIONS ACTS, 1946 TO 1990 SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990 PARTIES : RESOURCE GROUP (REPRESENTED BY MANAGEMENT SUPPORT SERVICES IRELAND LTD) - AND - SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION DIVISION : Chairman: Mr Duffy Employer Member: Mr Murphy Worker Member: Ms Ni Mhurchu |
1. (1) Proposed reduction in Sunday Premium; and (2) Reduction in Theatre Rate for new employees
BACKGROUND:
2. The Company has a cleaning contract at Beaumont Hospital since 2007 and employs 150 personnel on site. In mid-2012 the contract came up for renewal and the Company re-secured it against stiff competition but with a two hundred hour reduction in cleaning hours per week. The Company consequently sought to restructure the delivery of cleaning at the Hospital to reflect its reduced income flow from the contract. A dispute has arisen over two pay rate cuts seen as imperative by Management if the Company is to remain financially sustainable. Labour costs make up almost 90% of the total charge to the contract.
The dispute 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 was not reached, the dispute was referred to the Labour Court on the 16th January, 2013, in accordance with Section 26(1) of the Industrial Relations Act, 1990. A Labour Court hearing took place on the 19th April, 2013.
UNION'S ARGUMENTS:
3. 1. The proposal to reduce the Sunday Premium is not acceptable as double time is standard within in the industry.
2. Theatre work is extra demanding and the agreed Theatre Rate cannot now be unilaterally cut by Management.
EMPLOYER'S ARGUMENTS:
4. 1. The Hospital is seeking major cost savings and the Company has had to respond by finding savings through more efficient working and adjustments to certain practices including the Sunday premium rate.
2. The Theatre Premium Rate was set originally because Cleaners were unable to leave the theatre until after surgeries were finished and this is no longer the case. In order to protect the basic hourly rate, contracted hours and other terms and conditions, a cut in premium rates is imperative.
RECOMMENDATION:
In relation to the two matters before it the Court recommends as follows:-
Sunday Premium:-
The Court recommends that the Company's proposal in relation to Sunday Premium be accepted by the Union. In return the Company should negotiate with the Union with a view to designing and introducing a Sick Pay Scheme providing for up to three weeks' certified paid sick leave per year (with the first three days of illness unpaid). This should apply only to the Beaumont Hospital site.
Theatre Rate:-
It appears from the information provided to the Court that while cleaning in theatre in some hospitals attracts a premium rate none are of the magnitude that applies in this case. Consequently the Court is satisfied that there is justification for applying a reduced premium rate for new entrants engaged in cleaning the theatre which should be fixed at €10.00 per hour. Existing staff should continue to be paid at the current rate on a personal-to-holder basis.
These changes should take effect immediately on acceptance of this Recommendation.
Signed on behalf of the Labour Court
Kevin Duffy
27th June, 2013______________________
JFChairman
NOTE
Enquiries concerning this Recommendation should be addressed to John Foley, Court Secretary.