LCR22339

1.Workers Seeking Reinstatement Of Hourly Differential Following The Introduction Of An SEO

BACKGROUND:
 
UNIONS ARGUMENTS:

1.The Union claims that the application of the SEO in 2017 resulted in their respective members receiving a smaller increase than other similar workers due to the existence of the legacy differential.

EMPLOYER'S ARGUMENTS:

1.The Employers position is that the 2017 SEO replaced the existing pay rates.

RECOMMENDATION:

The issue in dispute between the parties concerns a legacy pay rate that applied to ten advanced scaffolders. The issue was referred to the Court under Section 20 (2) of the Industrial Relations Act 1969 whereby both parties agree to be bound by the Recommendation of the Labour Court.

The Unions position is that the application of the SEO in 2017 resulted in this cohort of workers receiving a smaller increase than other workers in the grade because of the existence of the legacy differential. The Union raised this issue with the Employer in November 2017. Numerous meetings were held but they failed to resolve the issue. The parties attended at the WRC in 2018 and 2019 for conciliation but were unable to resolve their differences. It is the Unions submission that the Workers are out of pocket to the tune of €2494.44 on an annual basis based on the alteration to the legacy differential.

The Employer accepts that there was a legacy differential for pre 2008 advance scaffolders but that the SEO in 2017 set out new standard payments for the group and designated them as category A workers. This category of worker is one of two categories which attracts a higher pay rate. It is the Employers submission that 2017 SEO replaced the existing pay rates.

The Employer informed the Court it had 65 advanced scaffolders, 10 of whom prior to the SEO had the legacy differential. In an effort to resolve this issue the Employer had offered a once off lumpsum to compensate for the loss of the differential. However, despite the Employer increasing their offer the amount on offer was not acceptable to the Workers.

The Court having carefully considered the submissions of the parties and the oral submissions made on the day of the hearing recommends that a sum equal to one and a half times the value of the loss of the differential be paid to the workers in full and final settlement of this issue. The value of the annual loss as submitted by the Union was €2494.44. The Employer accepted this figure. Therefore, the amount to be paid to each of the ten workers covered by this claim is €3741.66 gross.

The Court so Recommends.

	Signed on behalf of the Labour Court
	Louise O'Donnell
DC	______________________
11 January 2021	Deputy Chairman