FULL RECOMMENDATION
SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990 PARTIES : MURRAY TIMBER PRODUCTS (REPRESENTED BY IRISH BUSINESS AND EMPLOYERS' CONFEDERATION) - AND - SERVICES INDUSTRIAL PROFESSIONAL TECHNICAL UNION DIVISION : Chairman: Ms Jenkinson Employer Member: Mr Marie Worker Member: Ms Tanham |
1. Pay Claim.
BACKGROUND:
2. 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 27 June 2017 in accordance with Section 26(1) of the Industrial Relations Act, 1990. A Labour Court hearing took place on 19 September 2017.
UNION’S ARGUMENTS:
3. 1. The Union has submitted a claim for a 3.5% pay increase from 1 August 2016 for twelve months, and a 3.5% pay increase from 1 August 2017.
2. The Union's position is reasonable and offers the Company stability to January 2019.
3. The bonus payments have nothing to do with pay talks.
EMPLOYER'S ARGUMENTS:
4. 1. In recent times of austerity the Company, at no stage implemented a cut to basic pay or the rate of the production related payment.
2. The Company has always met it's commitments in relation to national wage agreements.
3. The Company's position is that the increase in pay as demanded by the Union is not warranted and cannot be sustained.
RECOMMENDATION:
The matter before the Court concerns a pay claim by the Union on behalf of General Operatives in the Company. The Union submitted a claim for a 3.5% increase from 1st August 2016 for twelve months and a 3.5% increase from 1st August 2017 for a further twelve months.
The Company rejected the Union’s claim and instead offered a pay increase of 2% over 24 months. The Company told the Court that it was the impact of Brexit and a drop in sterling was causing trading difficulties for the Company. It referred to the significant increase expected in the production related bonus payment this year, which is expected to yield over €6,500 per employee.
Having considered the submission of both parties, the Court recommends the following increase in pay:-
- 2.75% from 1stJuly 2017 to expire on 30thSeptember 2018
2.75% from 1stOctober 2018 to expire on 31stDecember 2019
Signed on behalf of the Labour Court
Caroline Jenkinson
27 September 2017______________________
MNDeputy Chairman
NOTE
Enquiries concerning this Recommendation should be addressed to Michael Neville, Court Secretary.