As the social partners prepared to enter talks on the next phase of the 10-year social partnership agreement Towards 2016 (2.86Mb PDF) [1] in late April 2008, signs of divided opinions already began to emerge. A particularly large gap has been observed between the positions of the Irish Business and Employers’ Confederation (IBEC [2]), the Irish Congress of Trade Unions (ICTU [3]) and the government on important issues such as pay, temporary agency workers and trade union representation rights.[1] http://www.taoiseach.gov.ie/attached_files/Pdf files/Towards2016PartnershipAgreement.pdf[2] http://www.ibec.ie/[3] http://www.ictu.ie/
In late April 2008, the social partners were due to commence negotiations on the next national agreement under the overall framework of the ‘Towards 2016’ social partnership agreement. The social partners expect that the talks will be tough and may even continue until the end of July. Contentious issues are set to include those concerning pay, trade union representation and temporary agency workers.
As the social partners prepared to enter talks on the next phase of the 10-year social partnership agreement [Towards 2016 (2.86Mb PDF)](http://www.taoiseach.gov.ie/attached_files/Pdf files/Towards2016PartnershipAgreement.pdf) in late April 2008, signs of divided opinions already began to emerge. A particularly large gap has been observed between the positions of the Irish Business and Employers’ Confederation (IBEC), the Irish Congress of Trade Unions (ICTU) and the government on important issues such as pay, temporary agency workers and trade union representation rights.
Other critical issues include those pertaining to pensions, the future of the public service pay benchmarking process and the current crisis in the Irish health system. The talks are expected to be difficult and may continue until the end of July.
Impact of recent political changes
The recent resignation of the Irish Prime Minister (Taoiseach), Bertie Ahern, on 6 May 2008 presents a challenge to the social partnership process. Since 1987, Mr Ahern has been the most influential political supporter of social partnership. In the same year, in his capacity as Minister for Labour, he was a central figure in the negotiations that led to the first of these social partnership agreements – the [Programme for National Recovery (756Kb PDF)](http://www.taoiseach.gov.ie/attached_files/Pdf files/Program for Nat Recovery.pdf).
The former Minister for Finance, Brian Cowen, has since been unanimously elected as Ireland’s new Taoiseach and leader of the majority government party, Fianna Fáil. Although Mr Cowen is a supporter of social partnership, he does not have the same reputation for consensus building as that acquired by Mr Ahern through his role in social partnership and the Northern Ireland peace process.
Moreover, Mr Cowen has inherited a more unfavourable economic climate than the one inherited by Mr Ahern in 1997. This will make it more difficult for the government to balance the competing demands of employers and trade unions in national talks, compared with the more favourable climate during Ireland’s so-called ‘Celtic Tiger’ boom years.
Social partner demands
Pay increases
The trade unions will be seeking pay increases that are at least equal to, or above, the consumer price index (CPI) – which stood at 5% in March 2008. However, the Director General of IBEC, Turlough O’Sullivan, pointed out that a pay deal which ‘chases inflation’ would be bad for Ireland.
Participation in collective bargaining
Apart from pay, ICTU has set out a number of key demands for the talks. In particular, it would like to see a legal framework established which gives workers the right to engage in collective bargaining with their employer through their trade union. This proposal seeks to address the collateral damage – at least from a trade union perspective – which was implicit in a 2007 Supreme Court ruling regarding the Ryanair case (IE0702019I). This ruling reduced the ability of trade unions under the Industrial Relations Acts 2001 and 2004 to represent workers in non-union workplaces.
Position on proposed constitutional referendum
Nonetheless, there is unlikely to be any appetite on either side for the proposed constitutional referendum, which most lawyers believe to be necessary for the introduction of statutory trade union recognition – similar to the system which currently applies in the United Kingdom. On numerous occasions, IBEC’s Director General, Mr O’Sullivan, has insisted that such a referendum is an absolute ‘non-starter’ as far as his organisation is concerned.
Protection of Joint Labour Committee system
At the same time, ICTU also wants to protect the Joint Labour Committee (JLC) system, which covers minimum standards in designated sectors, against legal challenge. Although a challenge on constitutional grounds by the Irish Hotels Federation (IHF) (IE0801039I) earlier this year was withdrawn, it is believed that the system remains vulnerable.
Provisions for temporary agency workers
On the question of equal rights for temporary agency workers, ICTU is calling for: ‘the further enhancement of the programme of legislation agreed in Towards 2016 to protect agency workers against exploitation by providing for equality of treatment with other workers in the same workplace.’
Workplace change
Meanwhile, employers are set to raise concerns about the slow pace of change in the workplace. Unionised IBEC members have been telling their leaders that non-union companies often have an advantage as they can introduce more rapid change. IBEC’s Director of Industrial Relations and Human Resources, Brendan McGinty, recently claimed that some employers believe that trade unions sometimes hide behind the procedures contained in the agreements.
Brian Sheehan, IRN Publishing
Eurofound recommends citing this publication in the following way.
Eurofound (2008), Social partners foresee tough talks on national agreement, article.