Tony Killeen (Clare, Fianna Fail)

The Deputy is right that this is an important issue that must be addressed urgently. The issue features strongly in the current partnership negotiations and in the two reviews already completed by the Department. The Payment of Wages Act 1991 states that an employer shall give or cause to be given to an employee a statement in writing specifying clearly the gross amount of the wages payable to the employee and the nature and amount of any deduction therefrom. It further states that the employer shall take such reasonable steps as are necessary to ensure that both the matter to which the statement relates and the statement are treated confidentially by the employer and his agents and by any other employees. This is fine as far as it goes, but clearly one would need important additional information such as the number of hours worked and the rate per hour if one were to pursue cases successfully.

To be fair, in the case of Moneypoint the auditors for the ESB discovered the underpayments and raised the matter with the ESB which then pursued the issue. First it informed the relevant union, the TEEU, and had a memorandum of agreement with the subcontractor to deal with and resolve the matter. This process was at an advanced stage before the matter came to the notice of the Department's inspectorate. I would prefer the issue had been brought to the notice of the inspectorate earlier. It might well have happened that it did not come to the inspectorate's notice at all, which would have been unhelpful.

Arising from the points made by Deputy Eamon Ryan, there are issues with regard to how other State agencies interact with the labour inspectorate and the Department. For example, information available to the Revenue Commissioners or the Department of Social and Family Affairs could be of major importance in terms of determining how to proceed with particular cases. The new legislation will include provision for an interchange of information among these agencies.

The Deputy raised the matter of deductions. Specified deductions are provided for under the legislation. Some employers say that in view of the high cost of accommodation, the deductions are particularly low. Be that as it may, there are standard maximum deductions in place.

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