APPLYING FOR EXEMPTION FROM THE MAIN AGREEMENT WAGE INCREASES AND SPECIAL PHASE-IN DISPENSATION EFFECTIVE 1 JULY 2022

 Introduction

SEIFSA, on behalf of the 18 affiliated Employer Associations, signed an agreement with all the trade unions in our industry on 21 October 2021 on the terms and conditions of employment for a three-year period ending 30 June 2024.

Exemptions Procedure

 SEIFSA is aware that the current economic environment may pose severe constraints on certain member companies’ ability to implement the increases (see Appendix A) and these members are advised that the industry’s current wage exemption procedure continues to apply.

Furthermore, the parties have taken note that there are many employers who for one or other reason have been operating outside of the terms and conditions of the Main Agreement, particularly when it comes to rates of pay. The parties have agreed that encouraging these employers to come on board in one-step may not be feasible nor practical and will not assist in achieving the end-goal of parity on wages across the sector.

The parties have therefore agreed that in order to reach parity, phase-in will need to be approached in a stepped-phased approach and will form part of a broader project aimed at achieving parity with the Main Agreement in a managed manner over agreed time spans. Phase one of the project will focus on moving employers who may elect to be covered by the Main Agreement and/or have been operating outside of the Main Agreement to achieve 60% of the 2019/2020 Main Agreement minimum wage rates (see Appendix B).

The parties have agreed that 60% of the 2019/2020 Main Agreement minimum wage rates will be fixed for the duration of the 2021/ 2024 Main Agreement. Phase one of the project will end on 30 June 2024. The parties have agreed that during the currency of 2021/2024 Main Agreement the parties will agree on the modalities, goals, time-frames, and objectives informing phase two of the project.

Download the full management Brief on the procedure to apply for a Wage Increase Exemption