Binding provisions of right to bargain law come into effect

In June 2001, new legal powers were given to Ireland's Labour Court that will enable it to issue binding recommendations on pay and conditions in companies where trade union recognition does not exist. This represents the second stage of a new system of rules on union recognition and worker representation, and will apply where a voluntary approach has failed.

New powers granted to the Labour Court on 1 June 2001 under the Industrial Relations (Amendment) Act 2001 will enable the Court to issue binding decisions on pay and conditions where trade union recognition has been withheld by an employer. However, these new "fall-back" provisions allow only for representation on specific issues and do not allow for formal trade union recognition.

The introduction of the new powers form the second stage of a two-part approach to dealing with the issue of worker representation and union recognition. The provisions are based on the agreement on the recognition issue reached in 1999 by the Irish Congress of Trade Unions (ICTU) and the Irish Business and Employers Confederation (IBEC), both of which wanted to maintain the essentially voluntarist nature of the Irish industrial relations system (IE9903135F).

The first stage of the new representation system - which has been in place since mid-2001 - is known as the "voluntary procedure", covered under a Code of Good Practice on Voluntary Dispute Resolution drawn up by the Labour Relations Commission (LRC). The aim of this voluntary procedure or option, under which both management and trade union(s) can decide to use the LRC's advisory service, is to secure agreement on the representation of workers on a consensus basis. Under this process, the LRC acts as a "facilitator".

The second, compulsory component of the new provisions - which came in effect in June 2001 - is known as the "fall-back" provision. This is activated if an employer refuses to enter the voluntary procedure. The measure provides for a full Labour Court hearing, resulting at first in a non-binding recommendation on the issues in dispute. If this initial recommendation fails to resolve the dispute, then the union can apply to the Court for a "determination".

If the employer refuses voluntarily to accept this determination, the union then has two options:

• it can wait for a further 12 months, and if the determination has not been implemented, it can apply to the Circuit Court for an order to have it implemented; or

• it can apply within three months for a "review" of the determination. This review effectively reaffirms the determination unless there has been agreement between the parties in the meantime, or if new information has come to light in regard to the issues in dispute. If the result of the review has not been implemented within six weeks, the union can them apply to the Circuit Court to have it legally enforced.

It is anticipated that the fall-back provision will be used in only a small number of cases.