The threat of a national postal strike was removed last night after the Labour Court issued new proposals aimed at ending the long-running dispute at the company.
They included a recommendation that An Post pays the increases due under Sustaining Progress to members of the Communications Workers' Union (CWU). As a result, the union said it was calling off its planned campaign of industrial action. It had threatened to disrupt the postal service in the run-up to Christmas.
An Post said it was analysing the court's proposals and would consider the cost implications at a board meeting tomorrow.
The court's 10-page recommendation, dealing with a range of work-practice changes sought by the company as well as the pay issue, was issued shortly after 7pm. Crucially for the union, the court attached no conditions to the payment of the increases due under Sustaining Progress.
In a previous recommendation in July, it said the increases should be paid, but only once the CWU's 8,500 members in An Post had signed up to a major rationalisation of collection and delivery services. The union rejected this and said the pay increases and rationalisation were separate issues and should not be linked.
Its members began industrial action just over two weeks ago but deferred it after 18 hours, following an intervention by the National Implementation Body. The NIB referred the matter to the Labour Court, which issued its recommendation last night, following three days of discussions with the parties.
The CWU's executive immediately met to consider the recommendation in detail. As the meeting continued, however, it was confirmed there would be no further industrial action.
As well as recommendations dealing with issues such as productivity, holiday pay and recruitment of temporary workers, the court said there was an "urgent need" for the two sides to "critically review" their relationship.
It said they should immediately reactivate a process previously put in place to review partnership arrangements.
The court also said it was clear the union was committed to delivering significant change in the collection and delivery service of An Post. Management was also firm in its conviction that the proposed changes were crucial to the company's survival, it said.
If the company accepts the recommendation, the majority of its staff and pensioners, represented by the CWU, will receive an outstanding pay increase of just over 5 per cent, and a further 2.5 per cent from May 1st next.
The court had previously recommended that the increases be paid to members of other unions in the company.