FULL RECOMMENDATION
PARTIES : MSD IRELAND DIVISION :
SUBJECT: 1.Pay/Tool Bursary/Bank Holiday Hours. 2. The Union also a toolbursaryof €300 and an increase in the payment of public holidays from 7.8 hours to 8 hours. 3. The Union request the Court would find merit in their argument and accept to be bound by the Court's recommendation.
4. 1. The Employer states the level of inflation is outside the control of the Company and say its over of 6.5% over a three-year period to be fair. 2. The Employer states it would willing to concede the Union's claim on toolbursaryandpayment of public holidays if the Union is willing to accept the Company's offer. 3.The Employer respectfully asks the Court to recommend in support of the Company's position.
Local discussions commenced in May 2021, but no agreement could be reached the issues were referred for conciliation. Two conciliation hearings took place, as the differences between the parties could not be resolved, the parties agreed to a joint referral to the Labour Court. The Connect claim. Is as follows: 9% pay increase over three years back dated to 1stJanuary 2021. An in-house tool bursary amount to be agreed Increase in Public Holiday payment from 7.8 to 8 hours. The Union submitted that an agreement could have been reached in mid-2021 if the employer had been prepared to move on there one and only offer of 6.5% for three years. The last eight months has seen a rapid rise in inflation which has heightened the expectations of the Union’s members. The Union claim of 9% is not excessive given all the circumstances. The Union’s preference is that instead of €1,000 AVC payment into the pension fund which the Employer values at 1% that this percentage should be added to the pay increase. The Union citied increases they had achieved in other employments of 5.5% over two years and 9% over three years. They accepted that the examples they provided were in the same regional location but not in the same sector. The details of the terms and conditions of employment that prevailed in those employments were not provided to the court. The Union does not accept that Connect and SIPTU grades are aligned for pay purposes. The Employer submitted that they were prepared to offer 6.5% over three years and that they were flexible in respect of the phasing of the increases. They were also prepared to offer a once off AVC payment into the pension fund of €1,000 per person. The employer submitted that the company and the industry as a whole were facing many challenges in the coming years and that there was an expectation that MSD Ballydine would achieve annual cost efficiencies of at least 5-8%. The Employer cited a local comparator in the sector where a three-year pay deal of 7.5% had been achieved but they did not have details of the terms and conditions attaching to the employment. The Employer submitted that in the context of a final agreement they were prepared to concede the Union claim on tool bursary and payment for public holidays. The Employer stressed that they had already concluded a pay deal with another Union for 6.5% over the three-year period and the €1,000 AVC (payment deferred) and any deviation from that would be problematic for them. The Court having considered the submissions of the parties both oral and written recommends the following increases : With effect from 1st January 2021 2.5% With effect from 1st January 2022 2% With effect from 1st January 2023 3% On acceptance of the above recommendation, AVC contribution to pension fund of €500 per person, concession of the Union claim in respect of 8 hours pay for Public holiday and €300 tool bursary. The Court so recommends.
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