`Anomaly' in employment law is criticised

It was not satisfactory that a multinational company could apply one industrial relations law for its workers in this country…

It was not satisfactory that a multinational company could apply one industrial relations law for its workers in this country and another in its overseas base, said Mr Joe Costello (Lab).

This anomaly should be addressed, because Ireland had a greater concentration of multinational activity than any other European Union member-state.

Mr Costello sought to have an amendment made to the Industrial Relations Bill, which provides a procedure for processing employees' claims where an employer has refused to follow a code of practice on voluntary dispute resolution.

Under the Bill the Labour Court can use its powers to summon parties and can issue a determination on pay procedures or conditions of employment. If necessary, the determination can be enforced in the Circuit Court.

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The court is being given a new dispute-settling function which obliges it to take account of any existing practices in place in the employment concerned for settling terms and conditions of employment.

The court has to have regard to "the entirety of labour relations practices" in the employment.

Mr Costello argued that this should be expanded to encompass labour relations practised by an employer outside the State.

He said he had tabled the amendment because of the situation in the Aldi store in Dublin's Parnell Street, although the same principle could be applied to other multinational activities.

While he welcomed the extensive cut-price range of goods being made available by a German-based multinational, he said the workforce in Parnell Street was on strike because of the lack of trade union recognition.

Five people had been sacked over this issue and had been picketing the store.

Responding, the Minister of State at the Department of Enterprise, Trade and Employment, Mr Tom Kitt, said that in dealing with claims the LRC and the Labour Court would conduct their business with a view to best practice in the Irish context.

Both sides were also free to point to developments elsewhere and it was a matter for the Labour Court to make a judgment on an agreement.

Saying he could not accept the amendment, Mr Kitt said: "We should not force these kinds of international linkages."

Mr Costello argued that it was invidious that an employer could come into this country and not operate best practice here. It gave the employer an unfair advantage in terms of operating within another jurisdiction.

"It appears to me that we are settling for something that is second-best and that Irish workers can be treated less favourably than their colleagues in Germany will be treated by this company."

Mr Kitt said he felt the reference in the Bill that regard had to be had to the entirety of labour practices in the employment concerned dealt with the concern expressed by Mr Costello, but he would reflect on the matter and would seek further legal advice about it.