08/03/2011

Striking Hotel Staff Reinstated

The Labour Court has ordered the O'Callaghan Hotel Group to reinstate striking workers on their old minimum wage rate of €8.65. The hotel group was criticised for cutting the wages of housekeeping staff that were on the minimum wage.

The row arose after the outgoing government lowered the national minimum wage from €8.65 an hour to €7.65 from 1 February.

Staff in the Davenport hotel were told they would have to sign documents agreeing to cut their pay rate to €7.80 per hour.

Five members of the housekeeping staff refused to accede and were removed from the roster. They subsequently went on strike.

The Labour Court was not satisfied that the employees had been provided with all the relevant information, or given a reasonable period to reflect or take advice.

The court said that because the employer had not provided financial information, it could not support the company's submission that the pay cut was necessary to sustain jobs.

It was also noted that the company had not pleaded inability to pay.

The court was also not satisfied that a clear procedure for resolving such disputes in a fair and reasonable way had been put in place and that in light of these factors, the employers' actions were not fair or reasonable.

It was held by the court that the employees concerned be reinstated in their employment, on their contract rates of pay, with effect from the date on which they were removed from the duty roster. The Labour Court ordered that they be paid all the monies they would have earned had they not been removed.

The incoming government has pledged to reverse the cut in the minimum wage during its first 100 days in office.

(JG)

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