Information Circular No 5/2014: HADDINGTON RD AGREEMENT – Temporary Reduction in Annual Leave

By Industrial Relations Officer

The Haddington Rd Agreement provides for a temporary reduction in annual leave of 6 days over the lifetime of the Agreement or 2 days per year (This calculation is based on a 5 day week basis and will be grossed up to 8 days on a 7 day week basis).

The measure is intended to apply to those on the final point of the incremental scale who will not undergo any of the pay freezes where their pay is between €35,000 and €65,000 (inclusive of allowances in the nature of pay).  Where individuals reach the maximum of the scale following a single 15 month increment freeze, a temporary annual leave reduction of 3 days (4 days on a 7 day week basis) will apply.  Those who experience 2 increment freezes will not suffer any temporary annual leave reduction and those who experience 1 increment freeze will lose 4 days.

As an alternative to the temporary annual leave reduction, the Agreement provides for a cash deduction from pay of an equivalent amount to the value of the annual leave days or half of the most recent increment, whichever is the lesser.

Members will receive a notice from Pay Section asking them to indicate which of the above mentioned alternatives they wish to apply in their case i.e., temporary annual leave reduction; cash deduction from pay of an equivalent amount to the value of the annual leave or half the most recent increment, whichever is the lesser.

The cash deduction option is calculated on basic pay without allowances (MSA is treated as an allowance) and the figures quoted are net of tax, PRSI, USC and PRD.  Members are asked to nominate one of the three options by 16th May 2014 and once an option is indicated it cannot be altered.

This measure is part of the centrally negotiated Haddington Rd Agreement and is separate and distinct from negotiations that are taking place on the standardisation of annual leave which, for example, is dealing with the move to granting leave on a 5 day basis in the PDF.

Issued on 24/04/2014

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