Credit union manager to be paid pending hearing

CAVAN CREDIT Union has undertaken to pay its general manager his salary pending the return to the High Court of his proceedings…

CAVAN CREDIT Union has undertaken to pay its general manager his salary pending the return to the High Court of his proceedings challenging his dismissal.

John McCourt, who claims the credit union was technically insolvent when he took over its management, initiated proceedings last week aimed at halting his dismissal. He claims he had returned from holidays last Friday to learn he was facing dismissal.

The credit union contends the dismissal of Mr McCourt did take effect last Friday but, without prejudice to that position, it is prepared to undertake to pay his salary for another two weeks, according to Tom Mallon, for the credit union. This is while it prepares replying affidavits to his claims.

Mr Justice Peter Charleton agreed to return Mr McCourt’s injunction proceedings for two weeks.

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Mr McCourt had last week secured an order allowing him to serve short notice on the credit union of his application for an injunction restraining his dismissal pending the outcome of full court proceedings. The matter was returned before Mr Justice Charleton yesterday.

Mr McCourt has claimed the credit union raised concerns about his alleged poor performance only after he sought a salary increase. He claims his purported dismissal is in breach of contract.

Mr McCourt says he was employed last January on an annual salary of €70,000 and no issues were raised in the following months about his performance.

The chairman had confirmed in a letter last August that his six-month probationary period had ended, he claims. However, when he returned from holidays just weeks later, he claims he was told his probation had been extended and there were issues with staff regarding his management style.

At a meeting on September 12th, he claims he was told he had failed to turn the credit union around and was subsequently told his employment was to be terminated on September 30th.

Mary Carolan

Mary Carolan

Mary Carolan is the Legal Affairs Correspondent of the Irish Times