Bus and rail strike averted by Labour Court recommendations

THE threat of a national transport strike appears to have been averted. This follows a Labour Court recommendation that a pay rise due under the Programme for Competitiveness and Work be implemented and that company and unions meet immediately to discuss a viability plan.

The court criticised unions for balloting on strike action before it had held a hearing in the dispute, but it ruled that the 2.5 per cent pay rise sought should be paid in January, with retrospection where applicable.

It also recommended the parties meet immediately to agree an urgent timetable for negotiations on the viability plan, to accord with the company's deadline of March 31st, 1997. The pay rise was due to CIE manual workers from October 1st, but the company announced last month that it would not pay it until March 1st, and then only if unions accepted cuts of £44 million.

The court held that while the PCW allowed for consideration of the economic circumstances of accompany before award of the increase, CIE's attempt to link it to acceptance of the viability plan was not in keeping with the spirit of the programme.

The court accepted that the three CIE companies faced very serious difficulties which would be aggravated by new EU deregulatory rules, and said it was essential that the parties agree cost reductions. Given the complexity of the issues involved, the court ruling said, both sides should seek the help of conciliators to help reach an agreement.

A spokesmen for the National Bus and Rail Union last night welcomed the recommendation, saying it met the NBRU's two demands. A CIE management source also welcomed the ruling on the basis of its recommendation on the timetable for viability talks.