FULL RECOMMENDATION
INDUSTRIAL RELATIONS ACTS, 1946 TO 1990 SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990 PARTIES : SEIRBHISI NA N-�G (REPRESENTED BY IRISH BUSINESS AND EMPLOYERS' CONFEDERATION) - AND - SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION DIVISION : Chairman: Ms Jenkinson Employer Member: Ms Cryan Worker Member: Mr Shanahan |
1. Enhanced redundancy terms.
BACKGROUND:
2. This dispute concerns a claim by the Union for an enhanced redundancy package for three Workers. This 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 October,2013, in accordance with Section 26(1) of the Industrial Relations Act, 1990. A Labour Court hearing took place on the 26thMarch 2014.
UNION’S ARGUMENTS:
3. 1. An enhanced redundancy package of three weeks' pay per year of service plus statutory is the norm in the Community Sector.
2. The Labour Court has made many recommendations to this effect.
3. The Workers are being treated less favourably than other workers in the Community Sector.
EMPLOYER'S ARGUMENTS:
4. 1. The Employer's funding was cut, forcing it to make the three workers redundant.
2. The Employer had to borrow the necessary money to fund statutory redundancy payments.
3. The Employer cannot afford to concede the Union's claim.
RECOMMENDATION:
The matter before the Court is a claim by the Union on behalf of three Employees for enhanced redundancy payments when they were made redundant in July 2013. The Organisation, which is a not for profit body, receives funding through Galway Roscommon Education Training Board from the Department of Children & Youth Affairs. Due to a reduction in funding, Management had no alternative but to close the services, this resulted in the three Claimants being made redundant. Management stated to the Court that it had no funds to pay an ex-gratia redundancy payment.
Having considered the oral and written submissions of both parties, the Court recommends that an ex-gratia payment of three weeks' pay per year of service should be paid to the Claimants. The Court notes that due to the financial circumstances of the Organisation it does not have the funds to pay this amount out of its own resources and therefore the Court recommends that the parties should jointly cooperate in seeking the necessary funds from the funding agencies to discharge the amount recommended.
The Court so recommends.
Signed on behalf of the Labour Court
Caroline Jenkinson
11th April, 2014______________________
JMcCDeputy Chairman
NOTE
Enquiries concerning this Recommendation should be addressed to Jonathan McCabe, Court Secretary.