Mairead Farrell (Galway West, Sinn Fein) | Oireachtas source

I, too, thank the Minister for his response. We need to realise that the issue of bogus self-employment has a knock-on effect in terms of bid-rigging. We know that there are concerns in regard to bid-rigging. The Competition and Consumer Protection Commission has been requested to get involved. Bid-rigging is a process whereby bidders for public work contracts co-ordinate bids to keep them at artificially high prices. Bogus self-employment ties into this over-inflated cost for public works in that the larger contractors that engage in bid-rigging are able to submit lower tender bids because they save around 30% in labour costs through the avoidance of PRSI.

It has a knock-on effect on public works being carried out. I understand that Dublin City Council also expressed concern about the high prices it was having to pay for homes in Dublin city, which could also be attributed to this so it might have a knock-on effect on that too. It is important to make the point on the impact that it has on public works as well.