It has come to your union’s attention that Tesco management are engaging in intensive store meetings with staff in a deliberate attempt to confuse and misinform workers in order to influence the outcome of the national ballot which is about to start. Therefore, it is important to deal with some of the smokescreen issues which are being raised by the store managers at the meetings with staff. The company’s position (Tesco) is outlined in bold with your Union’s response (Mandate) is directly below it.

(Tesco) “You should not vote in favour of industrial action as the dispute has nothing to do with post 1996 staff who have now received all that is due from the Labour Court recommendation.” 

(Mandate) Tesco management are attempting to establish the practice of forcing drastic changes to workers’ terms and conditions of employment without their agreement. If you allow this then no employee’s contract of employment is safe going forward. It may be some of your colleagues today but it could well be you tomorrow. This is why all members should stick together and not allow themselves be divided.

(Tesco) “Voting to support your fellow union members is foolish as most of them are only trying to enhance their redundancy packages and consequently will leave the company soon.”

(Mandate) Tesco are attempting to deflect staff away from the real issue. The issue is not about the terms of a redundancy package, don’t be fooled. Tesco’s plan is to forcibly change the contracts of employment of some staff. If certain staff want to leave the company on the terms of a package not negotiated with their union that is a matter for them, we want to protect terms and conditions and give staff a range of options in circumstances where the company wants to introduce change.

(Tesco) “The union did nothing to achieve the 2% pay increase and 1.5% share bonus for post 2006 staff.”

(Mandate) In suggesting this management runs the real risk of insulting the intelligence of their staff. In 2015 the company claimed it could not afford a pay increase or to pay the share bonus scheme. Be under no illusion that Tesco would have stuck with their original position of non-payment only for the indisputable fact that all union members were united in bringing a claim to the Labour Court which was emphatically won. It is vital the terms of the Recommendation are paid to all staff, we cannot allow the company take a selective approach to applying the terms of the Labour Court recommendation, as this would set a very dangerous precedent for the future.

(Tesco) “If you vote yes for industrial action stores will close and jobs will be lost.”

(Mandate) This is a standard threat used by employers when they are faced with the possibility of industrial action and another smokescreen by Tesco. Like any other business Tesco Ireland does not close profitable stores and a decision to close a store is usually based on a longer term assessment with many other factors being taken into consideration.  

(Tesco) “If the pre 96 issue is sorted the company will not come after other terms and conditions of employment.”

(Mandate) This commitment can only be judged based on the degree of trust a worker has in their employer, particularly given the behaviour of Tesco management in recent months. At this stage everybody accepts that the agenda of Tesco Ireland is to cut costs in order to protect the substantial profits they make in this country. What is so unfair and unacceptable is that they are attempting to achieve these savings by savagely attacking the earnings of their workers and there is nothing in their recent behaviour to suggest that if they can do this without the agreement of the workers concerned they will attempt it again in the future.

(Tesco) “You cannot trust the Union.”

(Mandate) You and your fellow colleagues ARE the union and collectively Mandate Trade Union has a sole purpose which is to serve the interests of its members both now and in the future. How well your union has carried out this objective over recent months is there to be seen by anybody who seeks to make such an assessment through an objective and fair evaluation. On the other hand, Tesco’s main purpose is to return increased profits which have in recent times been dented by bad senior management decisions here in Ireland and all over the world. Based on these competing objectives and the recent unacceptable behaviour of management a worker in Tesco Ireland will not be easily fooled by misinformation from the company who will do anything they can to confuse, scare and intimidate you into voting against your best interests and the interests of your fellow members. As part of a strong collective you can fight against the greed and unfairness that has been witnessed in recent months from Tesco. Together we can win.

Conclusion

Given what has been won by a unified union membership in recent weeks, now is not the time to allow your employer to divide you and your fellow members, do not be fooled by the company’s attempts to deflect you from the real issue, which is forcing through changes to staffs terms and conditions. When the current dispute is over, your union intends to aggressively pursue a pay claim which prioritises the needs of all members. In fact, the claim has already been served on your employer. The best way of achieving this type of progress is for all union members to participate in the upcoming national ballot and voting in such a way that leaves Tesco Ireland in no doubt that you and your fellow union members will stand together determined to protect and grow your terms and conditions of employment both now and into the future.

More than 12,000 Mandate Trade Union members in Tesco Ireland are to be balloted for industrial action over the coming weeks after the company refused to accept a Labour Court recommendation and are now attempting to force significant wage cuts on a large number of staff members.

The Labour Court issued its recommendation on February 19^th which said all workers in Tesco are entitled to a 2pc pay increase and a share bonus payment.

Tesco has now told more than 1,000 of their workers they will not be receiving the 2pc pay increase and will instead be forced to take pay cuts of at least 15pc from the 18^th April 2016. Further changes to workers’ conditions of employment include cuts to hours of work, changes to work patterns and loss of bonuses.

Tesco Ireland employs up to 14,500 workers in 149 stores in the Republic of Ireland and while the company does not publish its Irish profits, Mandate estimates the company is making up to €250m in profits annually.

Mandate General Secretary John Douglas said Tesco’s behavior towards their workers over the last year has been atrocious.

He said, “This has to be seen for what it is, an attack on low-paid workers by a very profitable multinational retailer who are trying to increase their profits at the expense of their long serving staff in Ireland.”

Mr Douglas expressed concerns at the motivations for these cuts saying he believes “Irish workers are being expected to pay for bad investments and accounting scandals associated with the parent company in Britain last year.”

Mr Douglas added, “Tesco has refused to confirm acceptance of the full Labour Court recommendation and are withholding a 2pc pay increase for about 1,000 staff while they try to force massive reductions in pay and conditions of employment. This is a terrible abuse of power”.

He explained that Tesco workers fully understand that if the company is successful in targeting one group of workers for such drastic cuts, it could be their conditions of employment next.

“Tesco are trying to drive a wedge between their own workers by paying one group a pay increase while denying it to others. It’s a classic case of divide and conquer. We believe our members will see through this and stand together to ensure no worker in Tesco faces cuts and instead the company implements the full terms of the Labour Court recommendation,” said Mr Douglas.

Tesco have refused to attend the Labour Court for a hearing on their plans to introduce pay cuts for their workers.

Mandate concluded by saying this dispute in entirely avoidable provided the company accept the full terms of the Labour Court recommendation and withdraw their threat to cut employment conditions for their workers on 18^th April.

Mandate will commence balloting for industrial action on Tuesday, 5^th April 2016.

Based on reports received today (Tuesday, 29th March 2016) it would appear that pre 1996 union members in Tesco Ireland are being approached by management wanting to know whether they would accept a revised redundancy package or a compulsory buy out of their terms and conditions of employment.

Even though these crucial issues have been central to negotiations with the company over the past number of weeks the current offer has never been formally tabled to your union by management. Regardless of these latest developments the number one priority for your union negotiating team has always been to ensure that whatever offer is made can only be considered on a purely voluntary basis and that the members affected have the right to retain their current terms and conditions if they so desire. This is and remains a fundamental demand and one which must be supported for obvious reasons by all union members both now and into the future.

Following proactive negotiations by your union last Thursday a decision was made to pay the 1.5% variable share bonus for 2015. Based on the announcement made by the company on Friday, a deliberate attempt was made to blatantly ignore your union’s involvement in securing this payment. It is clear at this stage that management have no desire to engage in either good faith or meaningful negotiations with your union. However, it is equally obvious that we only make progress when all members show an absolute determination to stick together.

Make no mistake about it, the developments announced last Friday and today have only come about following the decision to commence a national ballot for industrial action in pursuit of the full implementation of the recently released Labour Court recommendation and the stance taken by your pre 96 fellow union members not to have their livelihoods savagely destroyed by their employer.

Slowly but surely we are winning our demands. By maintaining solidarity amongst all union members employed in Tesco Ireland we will achieve total victory. More importantly, we will send a strong message to management that neither now or in the future this behaviour and bullish tactics, which are designed to erode your terms and conditions of employment without agreement, will not be tolerated by a unified union membership.

In fact, your union sees the future for Tesco members as being centred around growth and this will be evident in the pay claim for 2016 which we about to serve on Tesco Ireland in the coming days.

Yours,

Gerry Light

Mandate Assistant General Secretary

More than 7,000 Mandate Trade Union members working in Tesco Ireland have won the implementation of a 1.5pc share bonus payment almost 12 months after the company refused to pay it.

This follows shortly after the Union won a 2pc pay increase for all Tesco workers in the Labour Court. However, the company has refused to implement the pay increase for 1,000 of Tesco’s longest serving staff members.

Mandate Assistant General Secretary Gerry Light said: “This is a fantastic result and shows what can be achieved when workers stick together. All that’s outstanding from last years claim is the 2pc pay increase for Tesco’s longest serving staff.”

He said, “It is abundantly clear that the company is withholding the pay increase for a small number of staff because they want to isolate them. They’re using it as a stick to beat those workers with as the company prepares to force them either onto inferior contracts of employment or out of the business altogether.

“Neither of these outcomes will happen against the will of the members concerned who no doubt will command the support of their fellow union members as the company threatens to force these changes on them,” he added.

“It’s nothing short of a disgrace that the company would treat its longest serving staff like this,” said Mr Light. “If they treat these staff members like this, you wonder what they’ll try doing to their fellow union members who happen to have less service or those who join the company in the future.” he said.

Mr. Light concluded by saying,“Today is a good day for all of our members in Tesco but we all have to remember that last year the company refused to pay any pay increase and also refused to implement the share bonus that all of their workers were entitled to. Together we forced them into this position. We’ve come a long way and we’ve nearly achieved everything we set out to achieve. The best way to ensure we are successful in the full claim is to stand together over the next few weeks and months.”

Dear Member

As you are aware, you and your fellow Mandate members lodged a pay claim with Tesco Ireland in March 2015 which the Company refused to accept. Following this, Tesco – without consultation – refused to pay the share bonus scheme to the majority of workers. This led to discussions which ultimately resulted in a Labour Court hearing where a Recommendation was issued on February 19th.

The Labour Court made two key recommendations:

1. All Tesco workers should receive a 2% pay increase backdated to April 2015.
2. All Tesco workers who had so far not received a share bonus payment should receive a 1.5% bonus payment, backdated to May 2015.

Prior to you and your fellow members having an opportunity to vote on whether to accept the terms of the Labour Court Recommendation – which is normal procedure following local negotiations or a Labour Court hearing – the Company announced on Friday 11th March that they were proceeding with plans to pay the 2% pay increase, but only to workers employed after 1996. The Company also said they had not made a decision on whether to accept or reject the Labour Court Recommendation on the share bonus payment citing “legal and revenue issues”, something that your Union believes is not insurmountable and can be easily overcome. Tesco’s decision not to apply the full terms of the Labour Court Recommendation is extremely disappointing.

In keeping with normal practice, a National Shop Stewards meeting was held on Sunday 13th March 2016 to consider the terms of the Labour Court Recommendation. The Shop Stewards unanimously decided to recommend acceptance of the Recommendation to all members and simultaneously to commence a national ballot for industrial action, only in the event that Tesco fails to honour and implement the full terms of the Labour Court Recommendation. Remember, it was Tesco’s decision not to give any pay increase or issue a share bonus to the majority of their workers.

The Company’s latest action is yet another crude but deliberate attempt to divide their workforce and we must not fall into this devious and dangerous trap. Comments by Tesco management and letters issued to staff advising that these issues ‘don’t affect you’ are clearly designed to divide the workers. Not complying with collective agreements and forced changes to contracts effects all workers – it may not be you this time, but if we don’t stand united it could be your terms and conditions next.

The progress that we have achieved to date proves that we are winning and if we continue to pull together in common cause, we will win fully what the Labour Court has decided is rightfully yours. We got to this point by sticking together as a united union membership and now we must use this collective strength to push forward on behalf of all members, for the full implementation of the Labour Court Recommendation.

Over the coming weeks balloting arrangements will be put in place for your store and you are strongly encouraged not only to note them but also to participate in your ballot meeting when they come around.

Your Shop Stewards also decided to step up in a very determined way the promotion of the Tesco Workers Together Campaign (www.tescoworkers.ie) and you will see many signs of this over the coming weeks such as the red wrist bands which members were asked to wear as a display of solidarity – yet management have now told members to remove wristbands under the threat of disciplinary action. You need to ask yourself why they have never given these instructions before in relation to wristbands and therefore why are they trying to deny you and your fellow members the opportunity to visually display your solidarity with each other?

Finally, the National Shop Stewards meeting also adopted a pay claim for this year and this will be served on your employer in the near future.

Yours fraternally,

Gerry Light

Mandate Assistant General Secretary

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Download a printable version of this update and post on your notice board here.Tesco-Update-Mar16-Final1

Mandate Trade Union met with Tesco senior management on Wednesday (10th February 2016) in an effort to address the company’s attempts to cut terms and conditions for their longest serving loyal staff.

Gerry Light, Mandate Assistant General Secretary said the meeting was productive but that negotiations would continue on Friday, 19^th February 2016.

In a letter to Mr Timmins summarising the meeting, Mr Light said the union’s understanding at this point includes the following:

1. All parties are committed to meaningful negotiations which will entail if necessary full exhaustion of our agreed dispute resolution procedures.
2. In the event of the company not adhering to the undertakings outlined at Point 1 and consequentially moving to impose unilateral change to our members’ current terms and conditions of employment at any date in the future the unions at that stage will deem procedures to be exhausted and will move immediately to a ballot of the affected members for industrial action.
3. The main intent of the negotiations is to reach an outcome which is ultimately acceptable to our members.
4. In order to assist an effective and hopefully productive negotiating process the company has agreed to provide relevant information. Initially the unions are seeking the following details. A list of all affected members and the stores in which they work. We also require the specific details regarding the terms and conditions relating to each individual which the company wish to alter. We have also asked that management provide the labour cost percentages for each store location.
5. The parties agree to meet again on Friday 19^th February 2016.

Further updates will follow.

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Mandate Trade Union said yesterday’s (Tuesday, 26th January) announcement by Tesco management that long serving members of staff would be facing pay cuts, more flexibility and reduced terms of conditions of employment would be resisted by all staff at the company.

Tesco called their longest serving members of staff into meetings early yesterday morning to announce the company’s intention to implement changes to employment conditions for all workers employed prior to 1996. This affects almost 1,000 members of staff and would mean a cut of €2.35 (16.5%) per hour for workers earning €14.31.

The financial implications of the proposed changes include:

• A minimum reduction in annual income of €6,591.
• The loss of late night allowance.
• The loss of early morning allowance.
• The loss of the guaranteed share bonus scheme.

Mandate Assistant General Secretary Gerry Light said: “Tesco’s antics yesterday led to shock for all of the staff concerned but that shock has quickly turned to anger and now determination as the workers say they will resist any changes that are pushed through without negotiations and ultimately agreed with the workers concerned.”

He added, “The mischievous attempt to attribute these cuts to ‘customer services’ has gained no traction with anyone. This is quite simply a case of Tesco attempting to increase their profits for the parent company at the expense of their most loyal and long-standing members of staff.”

Mr Light said he was extremely disappointed that the company went on a “solo-run” by making this announcement to the union’s members without negotiations.

“We have agreements with Tesco to address such issues as they arise. It’s not good industrial relations practice to do business in this way and our members are quite rightly angered by the company’s behaviour.

“This is not a struggling company. It is a highly profitable retailer that has one quarter of the entire grocery market in the Republic of Ireland. The company refuses to release their profits but we estimate them to be in the region of €250-300 million per year.”

Addressing the company’s statement that Tesco made losses last year, Mr Light said it is disingenuous in the extreme to be using bad investments and inappropriate accountancy practices in London to justify cutting workers’ wages in Ireland.

“Tesco are saying they made a loss last year when in reality the company made bad investment in the United States, bad investments in the Middle East and they were caught overvaluing properties and mismanaging their accounts, so much so that shareholders are now suing the company for millions.

“That is not the fault of their Irish workers, who have made Tesco into the most successful retail business in Ireland today. If the parent company needs to make savings, they should start at the top of the food chain instead of targeting their loyal workers who are already classified as low paid in relative terms,” concluded Mr Light.
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