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Tic Tac maker Ferrero Ireland says overtime claim would cost €1.1m
Tic Tac maker Ferrero Ireland says overtime claim would cost €1.1m

Irish Examiner

time04-07-2025

  • Business
  • Irish Examiner

Tic Tac maker Ferrero Ireland says overtime claim would cost €1.1m

The maker of iconic sweets Tic Tacs, confectionery giant Ferrero Ireland, has told the Labour Court that an overtime pay demand by craft workers would result in an additional €1.1m cost and it was not in a position to agree to the change. At the Labour Court, the Cork-based Ferrero Ireland Ltd said the company has lost orders and has had to action a headcount reduction. In the case, 24 craft workers - represented by the Connect union - are seeking that overtime be paid at shift rate rather than basic rate. In its argument before the Labour Court, Ferrero Ireland stated that it is not in a financial position to implement the change requested by the union as this would significantly increase labour costs across the site at a time of decreased demand. The company - represented by Ibec at the Labour Court - argued 'that they cannot jeopardise the overall site by bringing about significant costs'. The most recent accounts filed by Ferrero Ireland Ltd show that pre-tax profits increased by 27% to €3m as revenues rose by 13% from €35.5m to €39.9m in the 12 months to the end of August last. The company paid out a €2m dividend last year and this followed a €6m dividend in the prior year. Average numbers employed last year stood at 317. Staff costs totalled €19.2m. On behalf of Ferrero Ireland, Ibec stated that while only Connect are making the claim there is another union on site who have placed the company on notice that they will be seeking this change as part of the next collective agreement. Ferrero Ireland stated that its review of what the change would cost showed it would add an additional overtime cost of €1.1m, based on the current quantum of overtime. In response, Connect submitted that it is the industry norm that overtime is paid at shift rate of pay and not basic rate. Connect stated that Ferrero Ireland has sought to rely on a no cost increasing clause in the overall pay agreement despite having agreed to this issue being processed outside of the pay agreement. Connect stated that it is their belief that paying overtime at shift rate is standard practice in the industry and they cited various examples from the food and drinks sector who are applying it. The union also stated that having agreed to separate out the issue of shift payment it was not acceptable that the employer was now trying to hide behind a clause in the agreement they had sought to extract this claim from. Connect stated that overtime within the plant is at the discretion of management so they can control the cost to the business. In response, deputy chair at the Labour Court, Louise O'Donnell recommended that the parties have further local engagement on the issue and identify possible savings that could be off set against the cost of the change, with a view to finalising this issue as part of negotiations for the next pay round.

Labour Court rejects sick pay scheme for workers with Long Covid
Labour Court rejects sick pay scheme for workers with Long Covid

Irish Independent

time26-06-2025

  • Health
  • Irish Independent

Labour Court rejects sick pay scheme for workers with Long Covid

The Labour Court has ruled that Covid-19 and Long Covid are not considered occupational illnesses or an injury at work in this jurisdiction, so it could not decide otherwise. At least 159 health workers are covered by a temporary paid leave scheme that is due to end on June 30 but are not currently fit to return to work. The court has recommended an extension to the current scheme from July 1 to December 31. After this, it said anyone remaining on the scheme should transition to the normal public service sick leave scheme. In the recommendation, the court said there was a dispute over the scheme between the Department of Health, HSE and healthcare workers represented by Siptu, Fórsa, the IMO and INMO. It said it arose in relation to the unions' claim for an Occupational Illness Scheme, similar to a Blood Borne Disease scheme, for sufferers of Long Covid. The court said the unions also want the establishment of a scheme for Long Covid sufferers who are excluded form a Special Leave with Pay Scheme. It said the employer's position is that the government has chosen not to define Covid-19 or Long Covid as an occupational illness or injury at work, and therefore it could not do so. 'Any recommendation that the court makes has to be based on the fact, that at this point in time, Covid -19 and Long Covid are not considered occupational illnesses or an injury at work in this jurisdiction,' it said. 'It is not within the gift of the Labour Court to determine otherwise.' ADVERTISEMENT Learn more In the recommendation, court chair Louise O'Donnell said it appears to the court that the main point of contention between the parties is that the unions are seeking to have Covid-19 defined as an occupational illness and Long Covid defined as an injury at work, 'thereby providing access to the Injury Allowance scheme'. 'The employer's position is that the Government has chosen not to define Covid-19 or Long Covid as an occupational illness and/or an injury at work and therefore it is not open to the employer to do so,' said the recommendation. The employer maintained that it was not open to claims relating to Long Covid and the public service sick pay scheme should apply. The unions said as of January this year, there are 159 employees receiving a temporary scheme of paid leave. This equals less than 0.01pc of health workers. They said in March 2020, the Department of Public Expenditure and Reform sanctioned the granting of special leave with pay to civil and public servants for leave related to Covid 19. 'This arrangement was separate to normal sick leave and did not impact on sick leave record,' they said. In December 2020, updated guidance from the department said from 1 January 2021 a new 28-day limit for the special leave was being introduced and after that period ordinary sick leave would apply. On 19 July 2022, a further circular issued confirming the implementation of a temporary scheme of paid leave for those who ceased to be entitled to special leave from 1 July 2022. It provided for six months basic pay, fixed allowances and premium payments, followed by a special extension for three months and a second special extension for three months of basic pay and fixed allowances. The scheme was due to expire July 2023, but there have been numerous extensions with the latest extension from 1 July 2024 to 30 June this year. The Irish Congress of Trade Unions group of healthcare unions called on the government to classify Covid as an occupational illness or injury. They said in a statement that this was 'in order that those small number of healthcare workers who are suffering from Long Covid are supported by their employer. The unions noted that the court recommended that the current scheme of paid leave due to expire on June 30 be extended for another six months. 'Unions have called on the HSE as the employer, to extend the current scheme as per the Labour Court's recommendation and for the Government to classify COVID and Long COVID as an occupational illness/injury,' they said. Chairperson of the Ictu Group of Healthcare Unions and INMO Director of Industrial Relations, Albert Murphy said employer must now implement the court recommendation to extend the current scheme. 'The ICTU Group of Healthcare Unions are calling on the Government to classify Covid or Long Covid as an occupational illness/injury, in line with other EU countries,' he said. 'This would remove an barrier identified by the Labour Court to resolving the issue for the small group of healthcare workers who remain affected by Long Covid.' He said healthcare workers with Long Covid went to work when everyone else was told to stay at home and are still suffering the consequences that come with a huge physical and mental cost. Head of Siptu Health, Kevin Figgis, said the unions have written to the HSE seeking confirmation that the current scheme will be extended until the end of 2025. Head of Fórsa, Health and Welfare Division, Ashley Connolly said the government must move to classify Covid as an occupational injury.

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