I have received the report prepared by Mr. Ercus Stewart, Senior Counsel, on the facts which led to the dispute in Ranks (Ireland) Limited and the imprisonment of 14 former employees for contempt of court. Copies of that report are available in the Library of the House for inspection by Members. I appointed Mr. Stewart to independently ascertain and clarify the facts surrounding this dispute. The report which he has prepared sets out those facts in a clear and impartial manner. Basically, what is at issue between the company, the union — the ITGWU which represented the workers employed in the Ranks Limerick and Dublin Flour Mills — and the 26 former employees who took unofficial industrial action against the company is the level of redundancy payments which should be made and whether these payments should correspond to redundancy settlements previously made by the company in 1978 and 1979. The payments in question had been set down in an agreement with the company, known as the 1978-79 Company Redundancy Scheme. The details of that agreement had been arrived at over a period of years since 1974 through negotiations with various companies and broadly referred to "the going rate" in the milling industry which provided for compensation of five-and-a-half to six-and-a-half weeks of pay per year of service.
An addendum to this agreement was subsequently obtained by the No. 12 Branch of the Irish Transport and General Workers' Union. The addendum provided that "the company, in the event of redundancy following future plant investment or organisation and alteration causing job reductions, would not discontinue the 1978-1979 company redundancy scheme unless it could be shown to the mutual satisfaction of the parties that such payments were financially unsustainable".
Mr. Stewart points out in his report that the 26 men involved in the unofficial action rely very seriously on the addendum provided by the company to the Dublin No. 12 Branch of the ITGWU.
In October 1982 the company announced a rationalisation plan for the Limerick and Dublin Mills. The company had been experiencing considerable financial difficulties and was losing £7,000 per day. The company claimed that the dramatic increase in flour imports in 1982 resulted in the industry being unable to implement an increase of £16 per ton in July and having to reduce the price by £8 per ton in August. The rationalisation programme saw up to 200 job losses in the Limerick and Dublin areas. The company sought implementation of the plan from 1 December 1982 and indicated its inability to pay redundancy compensation.
On 25 November 1982, at a meeting between the union and the company's chief executive, the company sought agreement by 7 December on rationalisation, agreed to extend the implementation date to 31 December and offered to pay over to the workers the rebate from the redundancy fund which the company would be entitled to receive. The union pressed for the 1978-79 redundancy terms.
On 17 December the company issued redundancy notices to expire on 31 December to the employees concerned. The company stated that if this was not acceptable it would issue redundancy notice to all employees. The case was investigated by the Labour Court on the 4 January 1983. The company had earlier agreed to defer the redundancy notices and issued them on that date to expire at the end of January. Strike notice was served. On 10 January the court recommended a phased payment in line with existing precedents. On 25 January the company announced closure of the mills offering the statutory redundancy terms plus 60 per cent rebate in the event of an orderly closure. The company offered to continue to fund company pensions at a stated cost of £250,000 per annum.
The matter was referred back to the Labour Court on 24 January and the company believed that it there convinced the union of its inability to meet the original recommendation terms, although the union denied this. A ballot of union members on 27 January accepted these terms. Forty-three of the Dublin workers had refused to participate in the ballot. A separate ballot of the Dublin workers on 29 January rejected the company's terms. Some of the Dublin workers decided to accept the company's terms. The remaining 26 commenced unofficial industrial action and engaged in a sit-in on the day the mills closed on 4 February.
When access to the silo could not be gained the company sought and secured an injunction against those in occupation of the mills. The High Court order was not obeyed and ultimately resulted in the imprisonment for contempt of court of 14 of the men involved.
Following my appointment of Mr. Ercus Stewart, Senior Counsel, to prepare a report for me on this dispute he arranged to meet three representatives of each of the parties involved in the following order: the company, the union and the unofficial strikers who claimed to represent 26 or 28 former workers of Ranks, including the 14 committed to prison for contempt of court. Mr. Stewart, in his report, has reached a number of conclusions. I shall now quote the main ones as follows:
There appears to be at present a stalemate between the company and the group of 26, particularly the group of 14 in prison. It appears that only the 14 men can obtain their release from prison by applying to the court, giving an undertaking not to break the High Court order and so purging their contempt. I think the matter is solely in their hands and it does not appear that any outside party, including the Minister for Labour or the Department of Labour, or their union, could obtain their release from prison, as they are there on the order of the High Court Judge purely by reason of a breach of an order of a High Court Judge and a refusal to obey orders of the High Court prohibiting them from occupying or trespassing on the company's premises. I should state that there have been a number of references by a number of different people to the Prohibition of Forcible Entry and Occupation Act, 1971, but I must record that that Act had nothing whatsoever to do with the present dispute or problem and it was not used by any of the parties, or by the Garda Síochána, in this case.
Therefore the use of the Prohibition of Forcible Entry Act in trade disputes does not arise in this case.
Some of the parties to this dispute have genuine views on the use and on the value of injunctions in trade disputes and the use of the courts in trade disputes. This is obviously a matter which the Minister for Labour may be looking at in the future. But I do not see its relevance in the present dispute. The injunctions obtained by the company were not injunctions against picketing, whether that picketing was official or unofficial. All of the parties involved, the company, the union and the unofficial group, agree that if the workers had picketed, either officially or unofficially, that no injunction would have been applied for or would have been granted by the High Court. It is only because the workers occupied the premises of the company, as the company state because they "trespassed" on the company's property, that the company sought an injunction, and the company state they only applied for an injunction when there was a risk to the perishable goods inside the silos after the workers barred their entry on Monday, 7 February. The workers had been in occupation since Friday but the company did not apply to the High Court until Monday.
All of the parties agree that the workers were aware that an injunction would be applied for and were given the opportunity to leave before the injunction was applied for. All of the parties agree that the workers were given the opportunity on a number of occasions in the High Court, by the High Court Judge, to agree to abide by the orders in the future (notwithstanding their past refusal) but they refused, on a number of occasions, to give an undertaking to comply in the future. All are agreed that it was pointed out to them the consequences of this and that they were aware that they would be committed to prison if they did not give the undertakings to purge their contempt. The workers say that they chose not to do so because there was no other way to compel the company to comply with the redundancy settlement terms as in the 1978-79 precedents.
The workers, having gone this far, are not prepared to compromise or to negotiate, but will only accept what their original demands were. The company, too, is not prepared to negotiate or to compromise. This would be giving way to blackmail and to condoning the occupation of the premises where the majority of workers have, albeit reluctantly, accepted much more modest proposals.
The union is, at the present, in a position where its hands are tied, although when I put this to the union they mentioned that they were still actively working on behalf of all of their members to achieve better settlement terms and were also working on behalf of all other members of the union in the milling industry in Ireland, through pressure on the Government, various Ministers and Departments, the Irish Flour Milling Union, the ICTU and other bodies.
One of the most important points is that a number of the workers, in Limerick and Dublin, who have accepted, reluctantly, the company's offer and some of the group of 26, could have accepted the large redundancy payment in 1978 or 1979 but instead chose to work, but were of the belief that in any future redundancy they would be offered the same terms. This is probably the main reason why a minority has chosen to occupy the premises as being, as they see it, the only way to put pressure on the company.
I should like to end my remarks on the dispute in Ranks by stating that I feel it is regrettable that the attitude of the parties to this dispute has led to workers being jailed. I believe the events in Ranks and in other recent disputes have led to a grave worsening in the industrial relations climate in this country which is not in the long-term interest of either employers or workers and which could be extremely detrimental to the future of the whole economy at a time when we are facing the worst recession in modern times.
I should like to avail of this opportunity to appeal to employers and workers on a national basis not to take precipitate action which can have the gravest consequences for economic and employment prospects. I would ask the parties to examine the report. I feel they should re-think their position before taking any further action. I should especially like to take this opportunity to ask those who are not directly involved in this dispute not to exacerbate the situation further through industrial or other action.