Hotel staff win battle to prevent cut in wage rates

THE Labour Court has ordered that five SIPTU members in dispute with the operators of the Davenport Hotel in Dublin after refusing to accept a cut in their minimum wage should be reinstated and their previous wage levels restored.

The Court criticised the O’Callaghan Hotel Group for cutting the wages and also ordered that the five accommodation staff be paid all the monies they would have earned had they not been removed from the work roster in early February. The row arose after the outgoing government lowered the national minimum wage from €8.65 an hour to €7.65 from 1 February.

Staff in the Davenport Hotel were told they would have to sign documents agreeing to cut their pay rate to €7.80 per hour.

However, five of the hotel’s housekeeping staff refused to sign the documents lowering their pay and were removed from the roster. The five staff members subsequently went on strike.

In its finding, the Labour Court said it could not support the submission of the hotel operator, Persian Properties, that the reduction in hourly pay from €8.65 to €7.79 was necessary to sustain jobs, as the company had not provided any trading or financial information to back up its claim.

The court also said the company should have provided staff with all relevant information necessary to make an informed decision on the proposed pay cut and that they should have been given a reasonable period of time to take advice on the matter.