Theatre nurses in cash-strapped St Vincent's private hospital should get compensation of up to €2,500 for the loss of free meals, Labour Court chairman Kevin Duffy recommended last week.

Hospital management admitted to the court that the private hospital in Dublin was faced with a number of "economic difficulties" including the staff pension scheme.

"The hospital is faced with a changing economic environment. The removal of the free meals is part of cost-saving arrangements," argued hospital management. It added that free meals to nurses cost the hospital €60,000 a year.

As far back as March 2006, management proposed to do away with the meals, offering compensation ranging from €922 for those with under two years' service up to a maximum of €2,494 for those with over 20 years' service. After that was rejected, management added in two extra days' leave but this too was rejected.

The Irish Nurses Organisation argued that staff had enjoyed free meals since 1991 and claimed that staff were prepared to make savings in other areas.

After deferring the cost saving exercise for a year, management stopped free meals last January.

Duffy recommended that the nurses accept management's offer.

Meanwhile, in Killarney staff in the HSE's St Finan's hospital are to get a relocation allowance of €2,945 each for moving one-third of a mile to another facility, Cluain Fhionnain in Ballydribeen.