The Labour Court has said Dublin Bus can go ahead without delay with plans to take 120 buses from its fleet.
In new settlement terms put forward today in the row over a controversial cost-saving plan at the company, the Labour Court also proposed that weekend overtime earning potential for drivers be increased.
It also said there should be no dilution of current shift pay arrangements.
However it proposed changes to current paid meal break arrangements for drivers which the company believes could generate about €350,000 in savings.
Dublin Bus is seeking to implement new cost-saving measures, including the reduction of 120 buses from its fleet, in a bid to address a potential €31 million deficit this year. However last week drivers at the company rejected compromise proposals drawn up by the Labour Relations Commission and warned of strike action in the event of management introducing reforms without agreement.
Industrial action over the cost-cutting plan, which could have affected up to 450,000 passengers daily, was averted last weekend following the intervention of the Labour Court.
In a recommendation issued today the court said that due to the serious financial position of the company and the weekly losses incurred as a result of the delay in introducing the cost-effectiveness plan that service reductions should commence without delay.
"These service reductions should commence on a phased basis. However all service reductions should be complete by April 26th, 2009. Such changes should be implemented, even if agreement cannot be reached by that date, and any areas of disagreement dealt with after implementation", it said.
It is understood Dublin Bus has estimated it is currently losing €500,000 per week.
Dublin Bus said last night that it was considering the Labour Court recommendation.
Dublin Bus Human Resources Manager Gerry Maguire said that the Labour Court deal had been carefully designed to have the least impact on customers, staff and staffing numbers and to ensure that the projected losses of €31 million are addressed.
Siptu said last night that it would be holding a mass meeting of members in Dublin Bus at Liberty Hall tomorrow (FRI) to discuss the Labour Court recommendation. It said that it would be asking drivers to give serious consideration to the proposals.
Branch Organiser Willie Noone said: "SIPTU will be advising members that considerable progress has been made in the Labour Court compared with the company's original proposals. The Branch Committee will be advising them that we have now exhausted the dispute resolution procedures and there is no other forum which can intervene or to which we can refer the dispute".
"Among the advances is a more equitable distribution of the effects of the proposals among drivers, including the total elimination of the company proposal to cut shift pay", he said.
Siptu said that it was it was disappointed at the scale of the cutbacks in the size of the Dublin Bus fleet but argued that this "was a political decision outside the company's control".