FULL RECOMMENDATION
INDUSTRIAL RELATIONS ACTS, 1946 TO 1990 SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990 PARTIES : JOHN CRANE LIMITED - AND - SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION DIVISION : Chairman: Mr Duffy Employer Member: Ms Doyle Worker Member: Ms Tanham |
1. Pay increase.
BACKGROUND:
2. This dispute concerns the Union's claim for a pay increase. 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 2nd April, 2014, in accordance with Section 26(1) of the Industrial Relations Act, 1990. A Labour Court hearing took place on the 1st July, 2014.
UNION'S ARGUMENTS:
3 1 The Company is part of a large, profitable multinational Group .
2 There is no justification for introducing a pay pause.
3 The Company's proposed pay increase is not an adequate recognition of the Workers' loyal service.
COMPANY'S ARGUMENTS:
4 1 The Workers have consistently received pay increases in excess of rises in the Consumer Price Index.
2 The Company believes the modest pay increase will protect its competitiveness.
3. The Company is also proposing significant improvements to the Income Continuance Plan.
RECOMMENDATION:
The Court believes that the level of pay increase in this employment should be in line with that applying in similar employments within the region in which pay increases are being granted. The Court is satisfied that the rate of increase in such employments is of the order of 2%.
The Court recommends that the parties conclude an agreement for two years commencing on 1stJanuary 2014 and ending on 31stDecember 2015. A 2% increase should apply on 1stJanuary 2014 for 12 months followed by a further increase of 2% on 1stJanuary 2015 for the period up to 31stDecember 2015.
The Court also believes that it is not unreasonable for the Union to seek some compensation in respect of the five months from the termination of the previous agreement up to the commencement of the agreement now recommended. The Court recommends that each full-time employee with full service during this period should receive a lump-sum payment of €350. Part-time employees and those with less than full service should receive a pro-rata amount.
Signed on behalf of the Labour Court
Kevin Duffy
23rd July, 2014______________________
JMcCChairman
NOTE
Enquiries concerning this Recommendation should be addressed to Jonathan McCabe, Court Secretary.