Wednesday, October 8, 2008

SIPTU to invoke new labour law in Aer Lingus dispute ?

A report in today's 'Irish Times' suggests that the SIPTU trade union is examining a new piece of labour law in it's fight against large scale headcount reduction in Aer Lingus.
The Protection of Employment (Exceptional Collective Redundancies and Related Matters ) legislation was put in place following the Irish Ferries labour outsourcing debacle several years ago. The legislation allows for an independent panel to adjudicate as to whether the redundancies in the company are genuinely so, or are merely a case of replacing existing workers with cheap labour.
If the latter is found to be the case the matter can be referred to the Labour Court. In the event of the Labour Court finding in favour of the existing workers, the employees can claim unfair dismissal with a maximum of 5 years pay as compensation. The legislation also allows the Minister for Enterprise and Employment to refuse the 60% employers rebate on redundancy payments.
One of the key requirements for invoking the legislation is that the union must already be in dispute with the company which would explain the decision by Siptu for an immediate ballot of the Aer Lingus workers for an all out strike.   

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