RAI considering constitutional challenge to re-introduction of JLC wage-setting

“We’re very weary with regard to the re-introduction of the JLC system as it’s anti-business, anti-job creation and anti-employer” - RAI Chief Executive Adrian Cummins.

The Restaurants Association of Ireland has expressed ‘outrage’ at the Government’s recent proposal to re-introduce the JLC wage-setting system as set out in the Industrial Relations (Amendment) (No 3 Bill) 2011 and the RAI is prepared to consider a constitutional challenge to this once it has seen the exact content of the Bill.

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“We’re very weary with regard to the re-introduction of the JLC system as it’s anti-business, anti-job-creation and anti-employer,” RAI Chief Executive Adrian Cummins told Drinks Industry Ireland, “We’d hoped that the Minister could see the light of day and effectively abolish the JLC and we urge our colleagues in other business organisations to look at the options available to us.

“This will not create any new jobs,” he added, “The sky hasn’t fallen down since its abolition.”

Adrian Cummins has also been alarmed by the stance of the Competition Authority which has stated that it cannot look at JLCs from a competition point-of-view “… whereas it’s blatantly obvious that competition is affected by these instruments”.
And he’ll be asking the Minister why this is not possible from the CA’s perspective.

“In our industry, if you had a restaurant in a hotel under the old scheme, the hotel would have an advantage over the restaurant in pitching for business as the wage rates in the restaurant would be higher than in a hotel,” he explained, accusing the Government of “going back to the future” in this case.

Earlier last year he’d stated, “It’s time for the Minister for Jobs, Enterprise and Innovation Richard Bruton to immediately abolish Joint Labour Committees and let the restaurants across the country start employing people without JLC barriers.”

Ireland’s minimum wage is one of the highest in Europe. European countries not paying Sunday Premiums include France, UK, Germany and Spain.
 
“We’re going to see a lot more closures if this proposal in the Bill is re-enacted,” he concluded.

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