06.08.2011
In Section 34 on page 19 of Justice Feeneys High Court Judgment of the 7th of July the Judge states the following,
“Where the consequences are an ERO which is to place an obligation on an employer to apply particular wage rates and conditions of employment which can be enforced by criminal sanction, those rates and conditions must be determined and based upon principles and policies laid down by the Oireachtas and not as determined by a delegated body acting in the absence of stated principles and policies.”
Having considered Justice Feeneys recent High Court decision and taken advice from our legal team and in particular considering the section of the Judgment outlined above, NECI now make the following observations.
Despite the fact that the National Employment Rights Authority (NERA) has been advising Electrical Contractors that the ruling of the 7th of July 2011 does not change the legal status of the REA (Registered Employment Agreement) for the Electrical Contracting Industry, NECI are of the opinion that the system of Registered Employment Agreements is, like the Employment Regulation Orders (ERO) Unconstitutional. The reason for this is that the High Court declared it Unconstitutional for a delegated body (as is the Electrical JIC) determining wage rates and conditions which can be enforced by criminal sanctions (As in the REA) without having regard to principles and policies laid down by the Oireachtas. NECI suspect that the fear that every Electrical Contractor who has paid out money's on foot of the Registered Agreement will go to the courts to get those funds returned is the major factor behind NERAs position. The Government need to realise that this last ditch effort to uphold the flawed REA system will only delay the inevitable, and that when the system of REAs eventually falls (As NECI are confident it will) the majority of Electrical Contractors will seek retribution for what they have suffered under the terms of this Unconstitutional agreement at the hands of the TEEU, EPACE and facilitated by the Labour Court. NECI will facilitate it's members in every way possible to achieve this retribution. Since its formation in 2008 NECI have never changed it's opinion regarding the legal status of the electrical REA.
This agreement was entered into in 1990 by employers who did not hold (and still do not hold) a negotiating licence and were not substantially representative as required by section 27 of the flawed 1947 Industrial Relations Act. It is shocking that the protests by the Majority of Electrical Contractors who have been forced to comply with the terms of an unlawful agreement by the activities of a Trade Union and a Private Company who stand to gain financially from every Contractor who is conscripted, have fallen on deaf ears. NECI understand that some legal Maneuvers in the High Court will soon see the end of the REA system. The biggest casualty from this will be the preferred pension scheme which will no doubt struggle to hold onto it's membership when employers can check out the full Market to achieve best value. We are confident that as with the challenge by the Quick Service Food Alliance, right will win out in the end. We would also assure our members that Electrical Contractors need never worry that another unrepresentative agreement will be introduced "Under the radar" as happened in 1990. NECI will never again allow the minority to rule the majority and will be wary of allowing any agreement with any Trade Union to be forced upon the business of every Electrical Contractor, big or small, operating in the state.
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Related contacts
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NECI CEO: Denis Judge
Galway
086 6008836 |
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Source: NECI Website - 02/08/11 |
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