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Labour Court recommends longer-service premium increase in Rathdrum redundancy terms

By Orla Quinn

Historic decision · Decision date:

Place: no local area assigned from the source.

The Labour Court recommended increasing the long-service premium for employees with more than 17.33 years at the Rathdrum plant from 10 weeks’ reckonable pay to 15 weeks. It recommended no other changes to the redundancy terms proposed by MSD Schering Plough (Avondale) Ltd. The Services Industrial Professional Technical Union and the Technical, Engineering and Electrical Union sought enhanced terms for workers affected by the plant closure. The Court considered the company’s proposed terms reasonable overall, while accepting the unions’ argument that the redundancies were compulsory, unlike earlier voluntary redundancies at the site. The recommendation was signed on 10 January 2014 and applies only to Rathdrum.

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