Contract Cleaning ERO signed into law

The signing into law of the Contract Cleaning Employment Regulation Order 2016 has important implications for employers in this industry. This law takes effect immediately and is applicable for any industry which falls under the following definition; “Workers employed by undertakings engaged in whole or in part on the provision of cleaning and janitorial services in, or on the exterior of, establishments including hospitals, offices, shops, stores, factories, apartment buildings, hotels, airports and similar establishments”. Most employers in this industry will have already been aware of previous agreements in place, but as of the ratification of this legislation there is now new entitlements signed into law. All terms and conditions will be effective immediately except for the agreed pay rates which will be effective from the 26th December 2016. The main changes implemented by this new piece of legislation are in relation to;

• Pay Rates
  • Existing minimum rates of pay of €9.75 per hour will be in place until December 26^th 2016
  • A minimum rate increase to €10.05 per hour to be effective from either December 1^st or at latest 60 days after the Act is signed into law (which would bring it up to December 30^th as it was signed into law on November 1^st).
  • Minimum rate increase to €10.40 per hour by December 1^st 2017
  • Minimum rate increase to €10.80 per hour by December 1^st 2018
  • The prescribed pay increases amounts to more than a 10% increase in rate of pay in less than 3 years.
• Uniforms
  • Existing employees may no longer be deducted for uniform costs
  • New employees may be charged an initial €15 for uniform costs spread across 3 pay cycles.
  • A further €10 may be deducted from the final pay of a new employee who resigns within first 6 months of employment.
  • An employer in this industry must have a uniform procedure in place detailing the issuing of replacement items and return of uniforms at end of employment.
• Loss of Contract
  • In the event of an employer losing a cleaning contract, then that employer must provide to their employees (at least 2 weeks prior to loss of contract)
    • A copy of their contract
    • The outstanding holiday balance due to them
    • A certificate of service detailing their continuity of employment
  • Rosters
    • Rosters must be provided in writing and must be of a minimum of one week detailing all hours of work.
    • Rosters need to be provided no later than 3 days prior to roster commencing.
  • Wages/Deductions policy
    • Employers must have an operational procedure in place for resolving wage shortages and overpayments to employees.

Other entitlements as of previous agreements remain in place and unchanged, such as sick pay entitlements, Overtime entitlements after 44 hours of work and death in service benefits. If you have any queries on the above feel free to contact the advice line where we can guide you on the practical implications of this new piece of legislation and discuss the gaps in policy and procedures that need to be addressed as a result of legislative changes.