The Labour Court has recommended that Packard Electric improve its redundancy terms for the 800 employees being laid off over the next six weeks. The company had offered employees five weeks' pay for each year of service, inclusive of statutory entitlements.
The unions had sought 10 weeks but the Labour Court has now recommended that the offer be improved to five weeks, exclusive of statutory entitlements. This would improve the package to 51/2 weeks for younger workers and six weeks for those aged over 41. All employees would also be entitled to an additional week's pay as a top up payment.
The court said employees' entitlements should be calculated on the basis of existing pay, plus the last two pay increases due under the Programme for Competitiveness and Work, which had been deferred. This would add another 5 per cent to the overall package.
Almost 297 Packard workers have been laid off for a year and 97 more were laid off last night, but the court said reckonable service for all 800 should be calculated from the end of the first week in July. This is when the last of the production staff will be let go.
Employees are to meet in Kilnamanagh church on Monday afternoon to consider the terms.