LCR22392

FULL RECOMMENDATION

CD/21/11
CCc-165089-20

RECOMMENDATIONNO.LCR22392

SECTION 26(1), INDUSTRIAL RELATIONS ACT, 1990

PARTIES :

UPS IRELAND
(REPRESENTED BY IRISH BUSINESS AND EMPLOYERS' CONFEDERATION)

- AND -

200 DRIVERS, DRIVERS HELPERS AND WAREHOUSE OPERATIVES
(REPRESENTED BY CWU)

DIVISION :

Chairman:	Mr Geraghty
Employer Member:	Ms Connolly
Worker Member:	Mr Bell

SUBJECT:

1.Pay Claim for 2020.

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 the 12 January 2021 in accordance with Section 26(1) of the Industrial Relations Act, 1990.

A Labour Court hearing took place in a virtual setting on 9 April 2021.

UNIONS ARGUMENTS:

3. 1. The Union contend that a 2.75% rise should apply to all other people who are below the top point of the scale. This is what is provided for in the agreement between the parties. There is no provision in the agreement for the application of a lower increase of 2.25% for people who are below the top point of the scale, as sought by the Employer.

2. The Union requested that the matter be referred to the Labour Court for a recommendation on the interpretation of the agreement between the parties at the WRC.

EMPLOYER'S ARGUMENTS:

1. The Employer states the parties to this dispute have already reached an agreement in the WRC, which was later clarified by the WRC.

2. The Employer agreed to refer the matter to the Labour Court for clarification.

3. The agreement between the parties provides for a new shortened incremental scale, a 2.75% pay increase for most staff who are on points below the top of the scale and for increases of 2.25% for staff whose pay is above the maximum point applicable to them. Due to the shortening of the scale, there are 88 members of staff in receipt of pay that is above the appropriate point of the pay scale applicable to them. The correct increase applicable to them is 2.25%.

RECOMMENDATION:

The Court notes that an excellent agreement that is fair to all parties was reached after protracted negotiations and accepts that both parties approached these discussions in good faith.

It is regrettable that some of the specifics of the agreement gave rise to a divergence in understanding as to the agreement’s application and the Court hopes that this will not damage the future relationship between the parties.

There was one specific issue put before the Court for clarification. The Court approached the issue on the basis that it was not being asked to offer any comment on the merits or otherwise of the particular provision but, rather, simply to give an interpretation as to its meaning. On that basis alone, it seems to the Court that a reasonable interpretation of the language used in the agreement suggests, at face value, that there is one maximum on a pay scale and that is the top point of the scale. This concurs with the view expressed to the Court by the Union.

The Court recommends that the Employer should apply the agreement in accordance with this interpretation. The Court recommends further that in the negotiation of future agreements the parties should ensure that there is mutual understanding of, and agreement on, all details of the application of specific provisions for the avoidance of a recurrence of the circumstances of this case.

	Signed on behalf of the Labour Court

	Tom Geraghty
TH	______________________
12 April 2021	Deputy Chairman

NOTE

Enquiries concerning this Recommendation should be addressed to Therese Hickey, Court Secretary.