Cyprian Brady (Dublin Central, Fianna Fail)

I thank the Minister of State, Deputy Kelleher, for sharing his time with me. I am delighted to contribute to the debate on this Bill. I congratulate the Minister of State, Deputy Calleary, on dealing with this complicated area which has been on the boil for quite some time. Up and down the country individuals and businesses are affected daily by various regulations and rulings. This legislation will be welcomed by all sides as it clarifies exactly where workers and employers stand.

The main purpose of the Bill is to strengthen the already strong, existing system for making employment regulation orders and registered employment agreements, as agreed by the Government and the social partners. In the context of the Towards 2016 review, the Government and social partners agreed to the implementation of a series of measures in the areas of employment rights and compliance. These included the introduction of legislation to strengthen arrangements for the making of employment regulation orders and registered employment agreements.

As we have seen in recent years, EROs and REAs have had a major influence and impact on various business sectors, but particularly in service industries. In the restaurant trade we have seen the difference in rates in Dublin and just outside the county boundary. In the electrical sector, electricians and small employers were greatly affected by such agreements and orders.

The social partnership process has served this country remarkably well since its introduction in 1987. It has played a vital role in our economic and social development over that period, during which we enjoyed remarkable economic growth and improved living standards as a direct result of the partnership between Government and various pillars. The seven social partnership agreements which were negotiated in that time, helped to provide stability and the means by which society in general has progressed, not just in terms of remuneration but also regarding wider social policy advancements that have been made on the basis of the social partnership framework. It has been an excellent success in that respect and has brought many improvements to working people's lives for many years. Many of the advances - including greater take-home pay, better terms and conditions of employment, better and more widely available opportunities for working families and their children in education provision and in all other respects - have been as a direct result of a commitment by the social partners to that process.

All the pillars represented, including trade unions, farming, business organisations and the voluntary sector, have contributed over the years to providing a stable environment. Everyone accepts that we are in a different economic situation now, however, so every effort must be made on all sides so that the process and structures that were put in place will be used fully to ensure we can compete domestically and internationally. It is crucial that we go back to that position. Of course it involves compromises and having to work out shared objectives, but at the end of the day there is no doubt that social partnership has proven itself to be a good way in which to organise interests in the wider society.

It is true that we have had difficulties securing agreements in recent times, but we must remain committed to the approach and objectives agreed with all the partners in Towards 2016. We have a solid history of fair employment law. In the 1980s and 1990s, we were one of the leaders in Europe in introducing such laws here. Our workers are some of the best supported and protected in Europe. When one considers the raft of legislation that is being amended by this Bill, dating from 1946 to 2004, it shows how long we have been working on putting these structures in place. It is essential to get it right and this legislation's safeguards will ensure that workers are protected and that employers are given every opportunity to comply with all the requirements. In addition, particular timeframes and employers' circumstances will be taken into account. The Bill will thus ensure fair and equal treatment for everybody involved.

In publishing the Bill, the Minister said it may be timely to consider bringing the joint labour committee and registered employment agreement systems into line with procedures already established under the National Minimum Wage Act 2000. That allows individual employers to submit inability to pay claims to the Labour Court for adjudication. This reform of the minimum wage legislation may be timely, given the severe economic challenges employers face today. Ultimately, as the Tánaiste has said, this is about saving jobs. If this measure assists in that process it needs to be considered.

Minimum rates of pay and other conditions of employment for workers in certain sectors are set down in employment regulation orders. These orders are based on proposals negotiated and drawn up by the relevant joint labour committees. These committees are independent bodies, composed of equal numbers of employers' and workers' representatives under an independent chairperson. That system has proven to be successful, although there have been glitches. The Bill will ensure, however, that where an error is made or where circumstances change rapidly - which has happened in recent times - we are able to deal with it. In that way, nobody will suffer discrimination or be taken advantage of.

Ireland has a strong system. Workers from Italy, Germany and elsewhere in Europe come here in the knowledge that they will be better protected than they would be in their own countries. Hardship or inability to pay clauses are in place in other EU countries, including Austria, Belgium, France, Germany, Spain and Italy. They have been introduced to help firms in crisis situations to respond, through temporary measures, to adverse labour market conditions and pressures to regain competitiveness. The Minister of State has also signalled his intention to bring forward amendments on Committee Stage. We must ensure that the legislation enables people to create and stay in jobs and that they get a fair wage for a fair day's work. Anything that helps achieve this must be welcomed.

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