Please find attached a copy of the settlement terms issued by the Labour Relations Commission on Wednesday, 18th July and formally accepted by the Telecom Sectoral Executive on Thursday, 19th July.

The settlement terms are a vindication of the Union’s position on this matter and a tribute to the work each and everyone of our activist’s put in, in delivering a massive 97% vote in favour of industrial action in pursuit of what is justifiably ours.

I want to thank all of you personally for showing support for your Union at this difficult time.  Once again we have a clear demonstration of the strengths that working people have when they come together as a Union to stand up for their rights. 

The settlement terms commit the Union to sitting down in partnership with the Company and agreeing the steps necessary to ensure the long term survival and profitability of the Company.  Such an engagement was never an issue for our Union and indeed has been the hallmark of the activity of the Union in eircom since its initial privatisation.  The big difference on this occasion is quite simply that the new management team from Babcock & Brown will have to understand that we see ourselves as full partners in this process and we fully expect that in dealing with these difficult change programmes, the Company will live up to its side of the bargain and ensure that the impact on our members is dealt with in a similar manner to which they expect the change programmes to be implemented.  I am happy that the settlement terms gives our members in eircom adequate protections and we also have the fail safe of reverting back to the LRC if the Company once again attempt to operate outside of the terms of the national agreement.

Despite misgivings that some of our members may have in relation to national agreements, there is no doubt that on this occasion the protections built into that agreement have assisted us in resolving this difficult matter. 

I would also like to take this opportunity to thank our comrades in the other three Unions IMPACT, PSEU and CPSU for their support and solidarity during this dispute.  Finally, once again I would like to thank each and every one of you for clearly showing that Trade Unionism is still alive and well in eircom.

18th July 2007

PROPOSAL OF THE LABOUR RELATIONS COMMISSION
EIRCOM DISPUTE

It is clear to the Labour Relations Commission that the parties face significant challenges in terms of dealing with the business issues facing the Company. It is also clear to the Commission that both parties are committed to constructive and realistic joint engagement utilising partnership and other internal structures to find agreement in relation to all issues in
all areas of the Business.
The Commission is also clear that an industrial dispute in relation to the terms of T2016 was not envisaged by the parties to that agreement and is in no party's interest in eircom at this
time.
Taking all of the above into account the Commission makes the following proposal to the parties:
Proposal
• The 2% phase of T20l6 be paid by the Company as soon as practicable with effect from the due date.
• The parties commit to all the provisions of the Private Sector Pay Agreement contained in T20l6.
• In this context also and in a spirit of partnership the parties commit to uninterrupted operation of the Partnership structures in eircom.
• The parties confirm to the commitments already agreed and articulated in JCC Report no.601.
• The parties commit fully to immediate and constructive engagement at JCC, PSG and other appropriate business unit fora on the Company's change programmes and initiatives with a view to prompt finalisation of agreement. The Union side will respond ideally within 20 working days of each proposal being tabled.
• The parties agree to immediately carry out a review to improve the effectiveness of internal Partnership structures, processes and accountabilities with external support or the assistance of the NCPP as may be agreed. This review should be completed by 30th September 2007.
• The parties agree that in the context of the company’s change programmes and initiatives, priority agreement is required, ideally by 31st August 2007, on the precise details of operation of the Resource Business or other similar unit for the eircom group as may be agreed, as an essential tool to re-assign, re-train and upskill displaced staff in line with the principles agreed as part of the ‘Blue Book’.
• The parties agree that in the context of each change programme, prompt engagement is required to develop jointly solutions to the significant staff impact issues which flow from them, including those arising from the current VR/VL scheme. The Parties commit to utilising all necessary internal procedures in order to resolve to finality any issue of disagreement which might emerge. The parties agree also to utilise the services of the LRC, in the case of genuinely exceptional matters and circumstances if necessary where disagreement persists following the exhaustion of all internal procedures.

Enquiries from members relating to the above should be referred to Jerome Barrett or Jimmy O'Conner