LCR22757

1.Overtime Premium Payments.

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 5 April 2023 in accordance with Section 26(1) of the Industrial Relations Act, 1990. A Labour Court hearing took place on 19 May 2023.


UNION’S ARGUMENTS:

3. 1. The Union states their Members claim is to have additional hours and overtime hours paid at premium level.

2. The Union request that the Court recommends that all overtime hours worked on Saturday, or first rest day are paid at time plus a half and all overtime worked on Sunday, or second rest day are paid at double time.

3. The Union respectfully request the Court to recommend in their favour.


EMPLOYER'S ARGUMENTS:

4. 1.The Employer states they are not in a position to fund such a increase in overtime pay given the financial burden it has on site.

2.The Employer states they have already increased the overtime rate to one and a quarter effective from September 2022. Following talks, the Employer agreed to an overtime premium of one and a third with a further review in September /October 2023. However, the Employees rejected it.

3. The Employer respectfully state it is willing to commit to the recommendation of paying one and one third which includes a review in late 2023.

RECOMMENDATION:

The Dispute

Within dispute concerns the overtime rate paid to workers at an in-plant plastic carton manufacturing facility operated by First Circle Packaging Limited (‘the Company’) in Ballitore, County Kildare. The Company operates three different shift patterns. Overtime is currently paid at time plus a quarter.

The Union’s claim is that this rate is insufficient to incentivise its members to work in excess of their normal rostered hours. It is seeking an increase in the rate payable for overtime as follows:

• 
  •All overtime hours worked on Saturday, or first rest day, to be paid at time plus a half;

  •All overtime hours worked on Sunday, or second rest day, to be paid at double time.

It is submitted on behalf of the Company that the business has been loss-making since it was acquired in 2020 from Nampak SA but that it expects to make a modest profit in FY2023. The Company informed the Court that it is willing to implement a proposal made by the Conciliation Service to increase the rate of overtime payments to time plus one third with a view to carrying out a further review of the issue in September/October 2023.

Recommendation

The Court recommends that the Workers accept the overtime rate of time plus a third recommended by the Conciliation Service, backdated to 16 February 2023 (the date of the Conciliation Officer’s proposal). The Court further recommends that the Parties engage in good faith discussions regarding the overtime rate in September 2023.

The Court so recommends.

	Signed on behalf of the Labour Court
	Alan Haugh
TH	______________________
23 May 2023	Deputy Chairman