LCR20922

SUBJECT:
1. Pay Increase


BACKGROUND:

2. This case concerns a dispute between the Company and Union in relation to a claim for an increase in basic pay. The dispute was not 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 matter was referred to the Labour Court on 5th November 2014 in accordance with Section 26(1) of the Industrial Relations Act, 1990. A Labour Court hearing took place on 14th January, 2015.



UNION'S ARGUMENT:

3 1 The Union is seeking a pay increase on the basis that its members have not received an increase in pay since 2008 and have previously supported the Company during its difficult trading circumstances. The Company is now experiencing an improvement in its trading position and has invested heavily in its future operations. Consequently, the workers should be awarded the pay increases as sought.

COMPANY'S ARGUMENT:

4 1 Management has offered a pay increase in return for minimal cost offsetting measures and agreement on other minor issues that have already been discussed with the Union. Unfortunately the pay increase offered was rejected.

RECOMMENDATION:

The matter before the Court concerns a claim by the Union on behalf of its members employed by the Company for payment of a 2% increase in basic pay from 1st April 2014 for a period of 18 months.

In response to the claim the Company through the auspices of the Labour Relations Commission made two proposals including an offer of a 2% increase in basic pay effective from 1^stJanuary 2015 for a period of two years conditional on agreement on cost-saving measures and commitment to ongoing change and efficiencies. These proposals were rejected.

Having considered the positions of both sides the Court recommends that the Labour Relations Commission proposals dated 3^rdOctober 2014 should be amended to offer a 2% increase in basic pay effective from 1^stJuly 2014 for a period of 18 months.

The Court so recommends.



Signed on behalf of the Labour Court



Caroline Jenkinson
30th January 2015______________________
AHDeputy Chairman



NOTE

Enquiries concerning this Recommendation should be addressed to Andrew Heavey, Court Secretary.