Striking Debenhams workers ‘shocked’ by recommendation of € 3m training fund

STORE MANAGERS REPRESENTING former Debenhams workers have said they are “shocked” and “deeply disappointed” by Labor Court Chief Kevin Foley’s proposals to resolve a months-long dispute over severance pay.

A recommendation from Foley would see that 3 million euros would be provided to workers who lost their jobs this year as part of a fund for training, education, career guidance and business creation.

It follows the compromise between the Mandate workers union, Debenhams liquidators, KPMG, and Government creditors, including Revenue Commissioners and the Department of Labor Affairs and Social Protection.

Former company employees have been protesting since April, when the chain went into liquidation and 1,000 workers lost their jobs.

The workers had requested enhanced severance pay of four weeks of pay per year of service, instead of the statutory two-week pay.

However, a statement from the workers last night said that Foley’s proposals had “broken” this lawsuit and did not fairly resolve the dispute.

“We are disappointed because we believed that this process was aimed at generating additional layoffs to workers by selling the remaining stock in stores,” said a spokesman for the Debenhams shop stewards.

“Despite discussions to that end, we are now told that the proceeds from the sale of the shares cannot be used to meet our demands.”

Union delegates described as “insulting” that workers’ demands could be met with a vocational training and guidance fund, and said that many Debenhams workers had already started their training and higher education, while many others were close to the retirement age.

They asked the government to make the 3 million euros reserved for retraining available to Debenhams workers as additional redundancy payments, adding that the proposals would be further discussed today.

Solidarity TD Mick Barry, based in Cork, said the Labor Court’s recommendation had “very disappointing the workers.”

“Workers have not had a penny increased their salary for dismissal,” he said.

“The upshot is that workers who have fought for justice during the 251 days of a pandemic have been presented with a truly embarrassing offer now, just a week before Christmas.”