Did you know that in October 2017 workers in the construction industry were granted improved pay and conditions of employment under a Sectoral Employment Order (SEO)?
As of March 2018, a second SEO came into force for those working in the Mechanical Engineering Building Services Contracting Sector giving improved terms to plumbers, pipefitters and welders.
The improved terms and conditions include statutory minimum pay, improved pension and sick pay entitlements.
What is an SEO?
Sectoral Employment Orders now replace the old Registered Employment Agreement system which was ruled unconstitutional in 2013. The SEOs for both the construction and mechanical engineering sectors set out increased employment rights for those working in the industry.
What does this mean to you?
The SEO applies to approximately 50,000 workers in the construction industry and 10,000 plumbers, pipefitters and registered apprentices.
The Construction sector SEO provides for the following pay rates:-
Category 1:
General Operatives with more than one year’s experience working in the Sector
€17.04
Category 2:
Skilled General Operatives, Scaffolders who hold an Advanced Scaffolding Card and who have four years’ experience, Banks operatives*, Steel Fixers, Crane Drivers and Heavy Machine Operators)
(*Banks operatives are more generally known as banksmen)
€18.36
Category 3:
Craft Workers in the following trades: Bricklayers/Stone Layers; Carpenters and Joiners; Floor Layers; Glaziers; Painters; Plasterers; Stone Cutters; Wood Machinists; Slaters and Tilers
€18.93
The rates for apprentices in these trades have also been increased, with rates of 33.3% of the Category 1 hourly rate of pay for Year 1 Apprentices to 90% of the Category 1 hourly rate of pay for Year 4 Apprentices. New entrant workers receive an hourly rate of €13.77.
The Mechanical Engineering sector SEO provides for the following pay rates:-
Category 1:
Category 2:
Category 3:
Newly qualified plumbers and pipefitters
Qualified plumbers and pipefitters employed in the Sector with effect from the commencement of their 3rd year of employment after qualification as a plumber or pipefitter
Qualified plumbers and pipefitters employed in the Sector with effect from the commencement of their 6th year of employment after qualification as a plumber or pipefitter
€22.73
€23.33
€23.60
The rates for apprentices in these trades have also been increased, with rates of 33.3% of the Category 1 hourly rate of pay for Year 1 Apprentices to 90% of the Category 1 hourly rate of pay for Year 4 Apprentices.
If you are an employee working in either of these sectors covered by the SEOs, your employer should ensure that you are registered in a pension scheme so you can start saving for your retirement and also be covered for death in service and sick pay benefits.
What do employers need to do now?
The SEO is legally binding on all employers in the Sector, whether or not they are members of a union and whether or not they agree with the SEO. Employers will need to review their payment practices and employment terms and conditions to ensure that they comply with the new requirements.
At AllPro Recruitment, we specialise in contract hire of labour to many industries, with over 20 years experience in the construction industry. We ensure all of our candidates are paid the correct rate for the job and their skills.
