Labour Court recommends taxable country money allowance continue until end of 2019

The Labour Court recommended that Waterways Ireland continue paying the Services Industrial Professional Technical Union’s members a €181.64 weekly country money allowance until 31 December 2019, but on a taxable basis. The recommendation was dated 17 July 2019. The allowance compensated about 70 workers for travelling to different work sites rather than reporting to a fixed base. Waterways Ireland said the existing tax-free arrangements did not comply with Revenue rules, which allow tax-free payment only where travel is at least 20 miles. The union accepted that the rules had to be followed but sought to reduce the financial impact on members. The Court recommended that the parties try to agree a replacement payment arrangement consistent with Revenue rules, while maintaining flexibility for workers travelling away from base. When the allowance ends, it recommended compensation for any loss calculated at 1.5 times the annual loss.