The union representing cleaning staff at the Central Bank in Dublin last night lifted the threat of industrial action against the Bank. The Labour Court had earlier postponed a hearing on the case which was to be held yesterday, asking SIPTU to withdraw the threat of strike action in writing before it would review the case.
More than 30 part-time cleaning staff, working in Dame Street and Sandyford, are involved in a dispute with Central Bank management about pension entitlements. The women, some of whom are aged over 70, voted overwhelmingly in favour of strike action last week, although strike notice had yet to be served on the Bank.
A Central Bank spokesman said it was unfortunate the Labour Court hearing had to be postponed but he said proper procedures had to be followed. "Normal industrial relations negotiations were ongoing and this hearing was something we had sought ourselves," he said.
All employees in the Central Bank, with the exception of the cleaning staff, retire at 65 and are covered by a pension scheme, Ms Chris Rowland of SIPTU said.
The Bank offered the cleaners the option to join the existing pension scheme but they declined as their low income meant they would not qualify for benefits.
The cleaners work, on average, 17.5 hours per week and those with more than 10 years service are paid €8.26 per hour. While no realistic pension is available to this group of workers, they do have an entitlement to work until age 65. This practice was normalised many years ago by the Bank.
According to Ms Rowland, SIPTU is trying to secure a lump sum retirement payment for these employees by offering to sell back to the Central Bank their final 10 years' service from age 65 to 75. "In the absence of a pension fund, this is the only way they can expect to get a lump sum which will provide a cushion for their retirement," she said.
SIPTU is seeking to have this lump sum payment linked to years of service, with a maximum payment in the region of €38,000. Ms Rowland said that management had so far offered €1,300, an offer she described as "derisory".
The Central Bank spokesman declined to comment on specific figures but said that the cleaners were given a gratuity payment on retirement, related to years of service.
The gratuity, according to SIPTU, is based on one week's pay for the first 15 years' service plus two weeks' pay for each year after that, up to a maximum of 25 years. Under this formula, a part-time cleaner on the average earnings of €144.55 per week retiring after 25 years service would receive a gratuity of €5,034.
