Marks & Spencer workers reject Labour Court Recommendation

Friday 25 April 2014

Mandate Trade Union and SIPTU members in Marks & Spencer have today (Friday, 25th April) voted to reject a Labour Court Recommendation by a margin of 84 percent to 16 percent.

Marks & Spencer employs approximately 2,300 workers in 17 stores nationally.

The Recommendation from the Labour Court largely backed plans by Marks & Spencer management for cost cutting measures which would seriously deteriorate the living standards for workers at the company.

Mandate Trade Union Assistant General Secretary, Gerry Light said, “This overwhelming rejection of the Labour Court Recommendation shows that workers in Marks & Spencer are united and prepared to fight to safeguard their conditions of employment.

“Our members don’t believe the proposed cuts are reasonable having regard to all of the circumstances. As far as they are concerned, the company has failed to provide sufficient evidence to justify them and this is why our members have made such a strong statement to the company and the Labour Court today.”

Mr Light explained that under the company’s plans, some workers would be expected to take a cut of more than 20 percent in their terms and conditions of employment.

Last year Marks & Spencer management closed the workers’ defined benefit pension scheme without agreement – informing the workers that their retirement fund is a ‘discretionary benefit’. Unlike many other defined benefit schemes, the Marks & Spencer scheme was a performing scheme and was in surplus to the tune of approximately €17m.

The company has also put forward proposals in relation to a whole range of cost saving measures including:

  • A reduction in the number of Section Managers;
  • A reduction in the Sunday and Public Holiday premium;
  • The elimination of the Christmas bonus.

Mr Light said, “As always, Mandate is available to sit down to discuss the relevant issues with Marks & Spencer management. However, any negotiations must be genuine and meaningful and the company must show a willingness to agree a resolution which is fair and equitable.”

Mandate has now written to the company to invite them back into negotiations.

Mr Light explained, “We have now written to management telling them that we fully expect them to respect to outcome of this ballot and ensure there will be no further unilateral actions to reduce our members’ conditions of employment.

“Any attempts to push through cost saving proposals without agreement will be resisted in the strongest possible way,” he concluded.