Communication Workers' Union v Catelli Primo Ltd

• Jurisdiction: Trinidad & Tobago
• Judge: Pounder, M.
• Judgment Date: 04 November 1991
• Court: Industrial Court (Trinidad and Tobago)
• Docket Number: 246 of 1987
• Date: 04 November 1991

Industrial Court

Valere, P.;

Pounder, M.

246 of 1987

Communication Workers' Union

and

Catelli Primo Ltd.

Appearances:

Mr. D. Oliver - President (1st), then Mr. Bholan Dan, - Executive Officer (2nd), then Mr. Keith Logan - Labour Relations Officer for party no. 1.

Mr. P. Cezair - Industrial Relations Consultant for party no. 2.

Industrial law - Collective agreement — Breakdown in negotiations for conclusion of collective agreement — Referral of dispute to court by Minister — Disputed items — Flours of work — Allowances — Subsistence allowance — Call out allowance — Cost of living allowance — Travelling allowance — Shift premium — Schedule of wages and salaries classification — Settlement by court.

Pounder, M.

1 This Trade Dispute arose out of a breakdown in negotiations between the Communication Workers' Union (“the Union”) and Catelli Primo Limited (“the Company”) for the conclusion of a collective agreement on behalf of the monthly rated workers of the Company for the period 1st January 1986 to 31st December, 1988 (“the Agreement”).

2 The Union reported the dispute to the Honourable Minister of Labour on 30th July, 1987 and the Minister referred the matter to the Industrial Court (“the court) in accordance section 61(a) of the Industrial Relations Act Chapter 88: 01 (“the Act”‘) on 10th December, 1987.

3 The parties executed Memorandum of Agreement on those items on which agreement had been reached previously in direct bilateral discussions on 3rd August, 1987 which is attached as an Appendix to the Minister's referral pursuant to section (2) of the Act.

4 When the matter came up for hearing the items remaining in dispute were: as follows:

ARTICLE 18 - Hours of Work - 4(a) shift work

SCHEDULE 3-9 - Paternity Leave

SCHEDULE 4-2 - Subsistence Allowance (a) (i) and (ii)

SCHEDULE 3 - Call out Allowance

SCHEDULE 4 - Cost of Living

SCHEDULE 5 - Shift Premium

SCHEDULE 6 - Travelling Allowances

SCHEDULE 7 - Wages/salaries Classification

5 The Union, with the agreement of the Company and the consent of the court, withdrew its proposal on Paternity Leave.

6 The Company as directed by the court submitted audited financial statements for the financial years ending 31st March, 1986 to 31st March 1989 as well as supplemental financial data and other relevant information.

7 The Acting Director of Research at the request of the court prepared a study of comparative salaries of certain benchmark jobs in comparable enterprises for the period covered by the agreement and gave oral testimony on the study.

8 The Company is engaged in the processing of foodstuffs and sells approximately 86% to 90% of its products to local distributors who are exclusive agents for specific brands of its products. Catelli Primo Limited, a Canadian Company, owns 46.2% of the Company's equity and three of the distributors, companies incorporated in Trinidad and Tobago, own 20% of the equity in equal shares.

9 The financial statements disclosed profits and (losses) after tax as follows:

1985 - 1986 - (188,000)

1986 - 1987 - ($502,000)

1987 - 1988 - $22,000

1988 - 1989 - ($988,000)

10 The 1985-1986 financial statements showed a comparative profit after tax for 1984-1985 amounting to $561,000.

11 The Company stated that it had experienced a significant decline in sales for the period 1985-1989 whereas it operational costs had risen and it had been unable to pass c the increases to consumers awing to the falling off of demand. Sales declined from $34m in 1984-1985 to $29.7 in 1988-1989.

12 We shall now deal with the issues in dispute.

ARTICLE 18 - HOURS OF WORK - 4(a) SHIFT WORK

13 The Union has proposed that the lunch/meal break during shift work should he increased from half ( ¹/₂) an hour to three quarter ( ³/₄) of an hour and that the ten (10) minutes break period should be increased to fifteen (15) minutes.

14 The Company holds that there should he no change in the existing provision.

15 We are not satisfied that the Union has made a case for a change in the existing lunch and break periods and we therefor reject the Union's proposal.

SCHEDULE 4 - ALLOWANCES

16 The Union has proposed increases in several of the allowances under this schedule and we shall make our orders in respect thereof at the conclusion of our consideration of all its proposals.

4.2 - SUBSISTENCE ALLOWANCE

17 The Union has proposed that -the subsistence allowance for overtime worked for two (2) hours up to four (4) hours be increased from $10.00 to $15.00 and for every four (4) hours worked thereafter from $9.00 to $10.00.

18 The Union has further proposed that, for overtime worked on Saturdays, Sundays and Public Holidays where workers are given notice the day immediately preceding the request for such overtime work the meal allowance for which a worker becomes eligible should be increased from $10.00 to $20.00.

19 The Company contends that the existing allowances are reasonable and adequate and should not be increased.

4.3 - CALL OUT ALLOWANCE

20 The Union has proposed that the: call out allowance should be increased as follows-

Monday through Friday - from $22.00 to 28.00

Saturday Sunday and Public Holiday - from $32.00 to 38.00

21 The Company holds that the existing rates are reasonable and has proposed that they remain unchanged.

4.4 - COST OF LIVING ALLOWANCE

22 This item is dealt with later on in this judgment.

4.5 SHIFT PREMIUM

23 The Union has proposed that the shift premium should be increased a s follows

Evening Shift - from $80.00 to $100.00

Night Shift - from $35.00 to $120.00

24 The Union argued that the proposed increases will bring the allowances closer to the norms in the market...