Transdev has suspended the sick pay scheme for Luas workers who are engaged in a dispute over pay.
In a letter sent to SIPTU on Friday, the Luas operator said it is invoking an existing agreement which states that if absence levels rise above 4 per-cent, management has the right to suspend individuals from the regular sick pay scheme.
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The company also said that the absence rate for drivers is currently running at approximately 12 per-cent which is imposing significant additional costs on the company.
As the long-running row continues several more days of industrial action are planned for later this month and next.