Labour Court recommends Krups Engineering workers accept manufacturing changes with earnings protection

The Labour Court recommended that Krups Engineering Limited employees accept cellular manufacturing at its Limerick plant, with a 104-week buy-out for any resulting loss of earnings. It also recommended that redundancy payments for affected employees made redundant within three years use their earlier pay rate where that would be more beneficial, and that seasonal work patterns be discussed through Partnership 2000. The Services Industrial Professional Technical Union opposed earnings reductions and sought outstanding pay increases. Krups Engineering said it needed the changes to compete and attract investment. In return for acceptance of the proposals, the Court said the company should pay the outstanding 2% Programme for Competitiveness and Work increase, staggered over an agreed period. The recommendation was dated 19 June 1997.