Siptu says pay cut threat to Luas drivers ‘unlawful’

Transdev says staff will be docked 10% from Friday if industrial action continues

Siptu has said that Luas drivers will will not accept unilateral pay cuts which management at the Dublin light rail system has warned will be imposed on those who continue to engage in industrial action.

The union said plans by Luas operator Transdev to introduce pay cuts for staff engaged in what it described as a legitimate trade dispute from Friday was "unlawful" and "would be challenged".

Siptu divisional organiser Owen Reidy said the company had acted in a "a provocative and unprecedented manner by threatening to reduce the pay".

Separately Siptu Luas shop steward Richard McCarthy told The Irish Times that the mood among drivers was becoming defiant.

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“The company are threatening an illegal move to reduce drivers salary by 10 per cent which is clearly in breach of employment legislation and in breach of our contracts of employment,” he said.

“The company has levied unsubstantiated allegations at the driver grade for part performing on our contract of employment, when we are in fact strictly adhering to it in its entirety.”

Mr McCarthy said “any attempt to reduce wages will be considered a willful breach of employment legislation”.

Luas drivers are to meet on Thursday to decide on a response to a warning issued by Transdev management that they will face pay cuts of 10 per cent from Friday if industrial action continued.

The company said the unilateral 10 per cent pay cut would come into effect from Friday morning if drivers did not lift an on-going work-to-rule which has been in place for a number of weeks alongside strikes which have taken place on a number of occasions.

Luas drivers are scheduled to stage another strike on Thursday as part of their campaign for improved terms and conditions.

Transdev warned staff that deeper pay cuts could be imposed in the future while it also said it was continuing to consider its position on other options such as lay-offs or short- term working for drivers who continued to engage in strikes or the work-to-rule.

Credible basis

The company also said that it would immediately re-engage in talks with drivers once a credible basis existed for negotiations.

The company argued on Monday that drivers’ claims for a 26.5 pay rise to be paid over three years was not achievable.

It said it was no longer willing to accept “the partial performance of contracts of employment and pay in full for same”.

Transdev signalled on Wednesday that it would be prepared to talk about concerns drivers may have in relation to some potential productivity measures they had been asked previously to concede.

The company managing director Gerry Madden says he would love to talk with drivers and would be happy to meet with them directly, and union representatives, in an effort to reach a deal.

Speaking on the Pat Kenny Show on Newstalk, he appealed to drivers to call off tomorrow's strike and to have a meeting to come up with alternatives to the pay claim.

He said he would happily “clear his diary” to talk with drivers.

“I believe the time is right for compromise. I think they want to bring this to a close,” he said. “The promises made by the drivers’ reps cannot be met.”

In a statement on Wednesday Mr Reidy said the plan to introduce pay cuts was “an outrageous and provocative act on behalf of the company which is clearly designed to seek to bully members into submission”.

Mr Reidy said the company’s move would merely prolong and intensify what was fast becoming a very divisive and bitter dispute.

“Siptu driver members will not be intimated or threatened into a unilateral one sided agreement. They continue to demand a negotiated settlement and are resolved to see this through.”

Martin Wall

Martin Wall

Martin Wall is the former Washington Correspondent of The Irish Times. He was previously industry correspondent