FULL RECOMMENDATION
SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990 PARTIES : EGIS ROAD & TUNNEL OPERATIONS (REPRESENTED BY IRISH BUSINESS AND EMPLOYERS' CONFEDERATION) - AND - SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION DIVISION : Chairman: Ms Jenkinson Employer Member: Ms Doyle Worker Member: Mr Shanahan |
1. Pay Increase.
BACKGROUND:
2. This issue in dispute concerns 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 Workplace Relations Commission. As agreement was not reached, the dispute was referred to the Labour Court on the 12th August, 2016, in accordance with Section 26(1) of the Industrial Relations Act, 1990. A Labour Court hearing took place on the 14th October, 2016.
UNION'S ARGUMENTS:
3.1. A 5% pay increase should be spread over a three year period.
2. A bigger element of the pay increase should be frontloaded than the 2% that the Company is offering.
3 The increase should be applied equally across all grades from the beginning of the agreement.
4. Since 2008 and the start of pay negotiations in 2015, our members have endured a significant pay freeze while continuing to take on the workload increase as a result of natural wastage occurring.
COMPANY'S ARGUMENTS:
41. The Company is willing to implement the WRC proposal that was tentatively agreed.
2. The Company is not in a position to increase the pay award over that of the proposal. To do so, would have a negative cost impact on the Company and the contract.
3. The pay increase should not apply to all grades. Certain grades have recently had pay increases or are paid substantially higher relative to the market average.
RECOMMENDATION:
The matter before the Court concerns a claim by the Union on behalf of all grades employed in Egis Road and Tunnel Operations in Dublin Port Tunnel.
Following negotiations at the Workplace Relations Commission (WRC), on 23rdMay 2016 the conciliation officer of the WRC put forward proposals to increase pay by the following:-
- 2% effective from 1stMarch 2015,
2% effective from 1stMarch 2016 (incl. Maintenance Technicians)
1% effective from 1stMarch 2017 (incl. Maintenance Technicians, Duty Managers and MTCC Operators)
The parties to engage locally on a new 2018 agreement for all staff in quarter four of 2017.
The proposals were rejected by Union members. The Union sought (i) a shortening of the agreement (ii) a bigger element of the 5% increase to be frontloaded than the initial 2% offered and (iii) the increases should be applied equally to all grades from the beginning of the agreement.
Management explained the reasons for the differences in application of the increases to the different grades.
Having considered the oral and written submissions made, the Court recommends that the proposals dated 23rdMay 2016 should be accepted as outlined with the following amendment:-
- (i)the increases should be applied equally to all grades from each of the three dates outlined above, and
(ii)the agreement to expire on 31stDecember 2017.
The Court so recommends.
Signed on behalf of the Labour Court
Caroline Jenkinson
18th October 2016______________________
JKDeputy Chairman
NOTE
Enquiries concerning this Recommendation should be addressed to Jason Kennedy, Court Secretary.