Séamus Kirk (Louth, Fianna Fail)

I am glad of the opportunity to say a few words on this Bill in the limited time available. I support the Fianna Fáil-sponsored Industrial Relations (Amendment) Bill 2011. I wish to compliment our colleague, Deputy Willie O'Dea, on bringing this legislation before the House with a considerable degree of urgency. The reason we are pushing ahead with this Bill is because of the ineptitude of the current Government in dealing with this crisis. Following the ruling on 7 July in the High Court, some 200,000 people are at risk and face lower rates of pay and inferior working conditions. The Government promised to address the situation with the utmost urgency, but that simply has not happened.

Deputy O'Dea has introduced this legislation to remedy the constitutional issues related to JLCs in order to protect workers. Unions have describe the situation as devastating for employees. It is worth bearing in mind that it was Fianna Fáil, under the late Seán Lemass, that introduced the JLC system in 1946.

Prior to the High Court ruling it was clear there was a major rift brewing between the coalition parties over the reforms of the Minister, Deputy Bruton, to the JLC system, which went beyond those proposed by the Duffy-Walsh report. Workers already face hard times from the recent ECB interest rate increases. In addition, imminent household utility charges are coming down the tracks, including for water and perhaps septic tank charges in rural areas.

Fine Gael and Labour have broken a number of promises in relation to the JLCs. Those who care about the people affected would like to see the Government focus specifically on this issue. Who will represent the interests and needs of the 200,000 people who are directly affected? Following the ruling, the Government promised that it would move immediately to introduce temporary measures to protect vulnerable workers.

The Minister for Jobs, Enterprise and Innovation, Deputy Richard Bruton, said the matter was being explored "with the utmost urgency" and an announcement would be made as soon as a specific course of action had been decided upon. However, the Government has reneged on this, saying that no legislation will be brought forward before the summer recess. Clearly, the Minister simply does not understand the meaning of the term "urgent". It is not good enough that thousands of vulnerable workers will be left in a precarious position while the Government goes off on its summer break. The Government had acknowledged the seriousness of the situation, but is still dragging its heels.

On 12 July 2011, the Taoiseach told the Dáil:

The vulnerability of some workers is of concern... There are now limited protections for workers because of contracts entered into. This is a matter the Government feels should be responded to as quickly as possible. It will not, however, be possible for the Minister for Jobs, Enterprise and Innovation to have the matter rectified before the summer recess.

A study published in the Industrial Relations Journal in January 2011, found that two thirds of respondents surveyed considered that JLCs were still necessary in addition to the national minimum wage, while a third thought that they were not necessary. The study is entitled "Minimum labour standards in a social partnership system: the persistence of the Irish variant of wages councils". Its authors, Michelle O'Sullivan and Joseph Wallace, found that the overwhelming majority of trade union and independent members believed JLCs were necessary. Employer members were most likely to hold the view that JLCs were no longer necessary, but there was no consensus among them. A substantial minority of one third of employer respondents believed JLCs were necessary. The reasons with the strongest employer support - 33% of those covered - were that "JLCs are necessary because they tailor minimum pay and conditions to the specific industry/employment covered", and that "JLCs are necessary because they try to prevent employer undercutting". Other well supported reasons were that "JLCs provide a negotiating forum for generally non-unionised workers", and that "JLCs set more minimum conditions of employment than provided in employment legislation".

As Members will have gleaned from Opposition contributions, we are all supportive of what Deputy Willie O'Dea is proposing in this Private Members' Bill. We are glad the Government has agreed to allow it to progress to Second Stage, but there are other stages to be negotiated. Hopefully, the Government will recognise the merit of the legislation, support it and allow it through all stages.

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