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Statement by Minister Bruton on JLCs

The Minister for Jobs, Enterprise and Innovation, Richard Bruton TD, signed Orders yesterday, giving effect to recommendations contained in the Labour Court Review of the Joint Labour Committees (JLC) which the Minister had published on October 2nd 2013.

Today’s (Wednesday) move is part of an overall process that will reduce the number of JLCs by half and make further changes to improve Ireland's competitiveness by enhancing wage flexibility while also ensuring protection for vulnerable workers.

The Orders signed by Minister Bruton provide for:

1. The abolition of 2 Joint Labour Committees:

· Dublin Hotels

· Law Clerks

2. Amendments to the existing Establishment Orders in respect of:

· Contract Cleaning

· Hairdressing

· Hotels (non-Dublin and Cork)

· Security

The Minister indicated that, as the Agricultural Workers JLC was established under primary legislation, effecting the recommendation of the Labour Court Review will require an amendment to primary legislation. In this regard his officials are engaged with the Department of Agriculture, Food and Marine to see how this can be implemented as early as possible.

The Minister also indicated that it is not his intention to alter the current scope of the two catering JLCs or the Retail Grocery JLC.

Today’s announcement establishes JLCs – Employment Regulation Orders will not come into effect unless agreed by the parties.

Minister Bruton said: “From the start of this process I have said that reform in this area is necessary in order to make the system fairer and more responsive to changing economic circumstances and support job-creation.

“The Orders I have signed will provide the framework within which employee representatives can come together voluntarily to negotiate terms and conditions for workers in their respective sectors. For vulnerable workers, the advantage of JLCs is that they see fair terms and conditions such as wage rates, sick pay etc. agreed and given effect by Employment Regulation Orders. For employers, the advantage of the JLC system, based on the principle of self-governance, means that they can agree and set minimum pay and conditions, agree on work practices which are custom-made to their industry – a flexibility which cannot be achieved by primary legislation. Where both parties to a JLC see commonality of purpose and outcome then an agreement may emerge”.

ENDS

For further information, please contact:

Press Office, Department of Jobs, Enterprise and Innovation, 01-6312200, press.office@djei.ie

NOTES FOR EDITORS

JLC Review

Section 41A of the Industrial Relations Act 1946 (inserted by Section 11 of the Industrial Relations (Amendment) Act 2012) provides that reviews of each Joint Labour Committee (JLC) will be carried out by the Labour Court, as soon as practicable after the commencement of the Act, and at least once every five years thereafter.

The Labour Court appointed Ms Janet Hughes to undertake the review of the 10 existing JLCs on its behalf.

The review assisted the Labour Court’s deliberations as to whether any JLC should be abolished, maintained in its current form, amalgamated with another JLC or its establishment order amended and the Labour Court is required to make recommendations to me to this effect.

The Labour Court’s report was published by the Minister on October 2nd 2013 along with detail of the measures he would take to give effect to its recommendations.

Legal advice obtained by the Minister during the drafting of the proposed Order for the Retail Grocery JLC indicated that it would not be appropriate for the Minister to proceed with amending the scope of the Retail Grocery JLC as recommended by the Labour Court. The effect of this is that the existing Establishment Order governing the Retail Grocery sector remains in place.

With regard to the two catering JLCs, the Minister accepted the recommendation that the existing scope and structures remain in place. It is therefore not necessary for the Minister to make Orders in these instances.