European court backs catering worker’s pay claim

The European Court of Justice has backed a claim by a Dutchman whose salary halved when his employer Heineken put the company’s catering out to competitive tender in 2005, the Volkskrant reports on Friday.


Cantine worker John Roest worked for Heineken but his employer became contract caterer Albron when it won the contract. As a result, his salary was cut from almost €46,000 to €20,000 a year, the Volkskrant says.
Although workers who switch employers in similar situations are supposed to have the same pay and conditions, Heineken had devised a way of getting round the requirement.
Rather than being formally employed by Heineken, the man and other catering workers were employed by an intermediary company. This, Heineken said, meant they were not covered by the brewery pay scales.
Consequences

Experts say the ruling will have major consequences for the outsourcing industry and payroll sector. Many large firms use intermediary firms or payroll services to employ staff, particularly in cleaning and security.
Neither Heineken or Albron would comment on the ruling which was requested by Amsterdam appeal court. It is currently hearing the case.
A spokeswoman for the FNV trade union said: ‘We are going to investigate if more companies have used this method to contract out services which have led to worse pay and conditions for workers.’

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