The Labour Court recommended that the Technical, Engineering and Electrical Union accept the same terms as other unionised employees on a 2.5% pay increase due under the third phase of Towards 2016. The recommendation was signed on 1 July 2010. Irish Distillers Limited said 92% of staff had agreed to defer the increase as part of a cost-saving plan after sales and profits fell. The union argued the company was profitable and should honour the national pay agreement.