Electrical employer groups seek to leave pay agreement

IN a move which could create major industrial unrest in the electrical industry, two of the biggest employer groups have applied to withdraw from a legally binding agreement which sets pay and conditions for up to 10,000 electricians.

The Association of Electrical Contractors in Ireland executive wrote, in October, to the Labour Relations Commission not only informing it of its withdrawal from the negotiations on a new registered employment agreement (REA) for the industry, but also that it was “pursuing members’ instructions for the removal of the REA for this industry”.

The REA is a legally binding agreement which sets wages and conditions in the industry. It has been widely reported that since the downturn, many employers have looked at reducing pay levels below the minimum rate. It is estimated up to 90% of employers are now non-compliant.

Earlier this month, the AECI along with the other main employers’ body, the Electrical Contractors’ Association, jointly wrote to the Labour Court giving six months’ notice of their intention to apply for cancellation of the REA.

If both are allowed to withdraw, the REA will essentially become defunct.

The Technical Electrical and Engineering Union has warned that any attempt by an employer to unilaterally cut pay will be met by industrial resistance. In 2009, thousands of electricians went on strike over employers’ refusal to pay an increase that unions said was due to them under the REA.