Labour Court recommends uncapped redundancy terms for Maersk worker

The Labour Court overturned a Rights Commissioner’s recommendation and upheld a worker’s appeal against The Maersk Company (Ireland) Limited over enhanced redundancy terms. It recommended an ex gratia payment of six weeks’ pay per year of service, inclusive of statutory redundancy payment, with no cap. The decision was dated 7 January 2014. The worker sought terms the company had previously applied. The company said its policy provided four weeks’ pay per year, capped at 12 years of service. It had paid him one month’s pay per year, also capped at 12 years. The Rights Commissioner’s recommendation had not supported his claim. The Court noted the new terms were introduced without agreement and had a significantly disproportionate effect on the worker because of his very extensive service.