Labour Court recommends two 1.5% pay payments in New Era Packaging dispute

The Labour Court recommended that New Era Packaging Limited pay staff a lump sum of 1.5% of basic pay when its recommendation was accepted, followed by a further 1.5% on 1 March 2012. The recommendation was signed on 9 September 2011. The dispute with Unite the Union concerned increases under the Towards 2016 Transitional Agreement. The union said the company had not proved it could not afford them. New Era Packaging argued that increases would weaken its competitiveness and risk jobs. It had offered 2% in two phases, but withdrew that offer after the union rejected it. The Court considered the information before it, including an independent assessor’s report. It also recommended discussions about future pay increases after the second payment.