Around 10,000 electricians could lose legal protection of their pay and conditions after a significant group of employers announced they were withdrawing from a binding agreement governing the electrical sector.
For years, the Electrical Contractors' Association, the Association of Electrical Contractors Ireland and the Technical Engineering and Electrical Union negotiated a Registered Employment Agreement on pay and conditions in the sector.
Those terms and conditions were legally binding on any employer operating within the State.
However, employers have argued that they cannot afford the current terms and had sought a major reduction in pay and other benefits.
They say significant numbers of contractors have been forced out of business because of the current terms.
In addition, two other groups of electrical contractors, National Electrical Contractors Ireland and an unaligned group of contractors, have mounted legal challenges to the REA because they were not included in the negotiations for the agreement, yet are legally bound by the outcome.
To date the validity of the REA has been upheld.
However, the decision by the Association of Electrical Contractors Ireland, which claims to represent between 300 and 400 contractors, to withdraw from the REA could trigger its collapse, as there would no longer be substantial representation of employers in the sector - a critical requirement for the REA.
The AECI has notified chairman of the Labour Court Kevin Duffy of its decision to withdraw from the REA and has requested that the REA be cancelled.
It accused the TEEU of failing to engage in meaningful talks on the issue.
The union fears the collapse of the REA could trigger a free-for-all in pay and conditions for its members.
