Bus Eireann, has announced that it is to implement cost-cutting measures on 13th January 2013 after unions had rejected a hearing at the Labour Court, to discuss the Company's Business Recovery Plan, which they believe will result in annual losses of up to €16m.
Among the changes to the employees terms and conditions will be
- Overtime rates to be reduced from time and a half to time and a quarter,
- A reduction in shift, premium and rota payments
- A reduction in annual leave by three days
- There will be a longer working week for clerical and executive employees from 36 to 39 hours per week.
- A range of allowance and expense payments will also be reduced by 33.3%
The Company has said that it has informed staff and unions of this, however a unilateral change to terms and conditions can potentially lead to a claim for constructive dismissal. due to the nature of the cuts and the context in which they are being brought (a Business Recovery plan) this case is worth keeping an eye on for future developments.