Irish Ferries talks adjourn at Labour Court

Talks at the Labour Court in the Irish Ferries dispute have adjourned this evening and the company has indicated it will re-enter…

Talks at the Labour Court in the Irish Ferries dispute have adjourned this evening and the company has indicated it will re-enter discussions on issues related to its controversial redundancy plan.

The company wants to make over 500 seafarers redundant with a view to outsourcing the jobs at cheaper rates to agency workers, mainly from eastern Europe.

Officials left the Labour Court after just half an hour this evening. It is reported that the company will delay implementation of any redundancies until talks with unions are complete at the end of the month.  Siptu agreed at the weekend not to take industrial action while talks are underway.

Today's talks took place against conflicting reports about the uptake of the redundancy package on offer.  Advice was also given by the Attorney General that the redundancies might not be valid and that the company therefore would  not qualify for a refund of statutory redundancy payments from the Government.

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This would also mean workers opting to take the package would be liable to pay tax. Around 50 Siptu members of Irish Ferries yesterday voted unanimously to reject the company's offer.

The company has claimed that around 90 per cent of its 550 seafarers had accepted the severance terms. But the union says hundreds of workers who had indicated they would accept the package have now changed their minds amid claims some people had been bullied into accepting the deal.

A large number of workers now want their forms returned as they have now changed their mind and wish the union to negotiate a settlement on their behalf
Paul Smyth, Siptu

Siptu has deferred its planned strike pending the outcome of today's talks before the Labour Court. However, the industrial action could ago ahead tomorrow.

Speaking yesterday, Siptu branch secretary Paul Smyth said: "We were told of members being put under extreme pressure by the company to sign the yellow redundancy document before the closure date of today.

"A large number of workers now want their forms returned as they have now changed their mind and wish the union to negotiate a settlement on their behalf."

He said there was also considerable concern among members that the package could be liable to income tax at the full rate after the Attorney General advised the deal may not meet the terms of the Redundancy Payment Acts.

In a statement this afternoon, Irish Ferries said it was "untrue" that the company had failed to engage with State agencies and with the Labour Court.

"In the last three years, Irish Ferries has used the services of the Labour Court and the Labour Relations Commission and has engaged with the National Implementation Body in many attempts to address the problem of our lack of cost competitiveness, compared with international shipping companies," the company said.

Irish Ferries also said it was untrue that it had refused to attend the Labour Court to discuss current issues. It was attending the talks today and had been represented at a hearing last Friday, the statement said.

Irish Ferries has, at no point, breached process in relation to the registered agreement with Ships Officers
Irish Ferries statement

"Irish Ferries has, at no point, breached process in relation to the registered agreement with Ships Officers. Our priority, at this point, is to meet the request by 90 per cent of our seafaring staff for the voluntary redundancy package.

"Accordingly, today, we will be waiving our right to contest the allegation of breach of process and asking for a speedy Recommendation by the Labour Court on the issues affecting the Ships Officers (18 per cent

of our total seafaring staff) to allow us to progress the clear desire by the overwhelming majority of our seafaring staff for the proposed voluntary package."

Irish Ferries said the situation it is now in "results from its inability to continue operations at its current high cost base in the face of low cost shipping competition and increased capacity from low fares airlines".