Tom Barry (Cork East, Fine Gael)

The objective of this Bill is to transpose into national legislation Directive 2008/104/EC of the European Parliament and of the Council of 19 November 2008. While I welcome this opportunity to speak on this legislation, at the outset I wish everyone present a happy new year in 2012. Hopefully, it will be another year of emergence from the economic crisis in which we find ourselves and I assure everyone who may be looking in on proceedings in the Chamber that all Members will work towards a better outcome for the country.

The transposition has the aim of providing protection to temporary agency workers on the basis of the principle of equal treatment in respect of their basic working and employment conditions. This means the same conditions will be applied to the agency workers as if they had been recruited directly by the undertaker, that is, the hirer, notwithstanding the nature of temporary workers' contractual relationships with the employment agency, which remains as the employer. The employment relationship of an agency worker is of a triangular nature between the agency worker, the employment agency and the hirer that undertakes where the agency worker ultimately will be assigned. The directive points out the objective to be pursued in respect of agency workers, that is, the employees, who are to be assigned by an employment agency, that is, the employers, to work under the direction and control of a third party, the hirer, and it is estimated that 35,000 people are in this position in Ireland.

As other Members have noted, I am disappointed the discussions between the social partners did not reach a satisfactory conclusion on the issue of derogation that would have allowed for a qualifying period, as is the position in the United Kingdom, where a 12-week period obtains. The administrative burden this measure will add to companies may be significant and is not welcome in that regard. Similarly, there is much trade between this jurisdiction, Northern Ireland and the United Kingdom. We also compete with them and this may put us at a slight disadvantage in this regard. I note the social partners were mad about social partnership during the good times when in essence, reaching an agreement simply meant paying more money. They now are being asked to reach agreements using methods other than more money and this requires leadership. However, the social partners have failed in their duty and have failed to recognise that for the country to emerge from this crisis, flexibility is required. One must sell what sometimes is a difficult story but they have baulked on this occasion.

I hope the issue of short-term contracts in particular industries can be re-examined at a later time in order that this necessary and broadly legislative development does not lead to job losses or unsustainable financial pressures on small enterprises that are already struggling. A review is scheduled for 2013 but hopefully it will not take that long because this may cause trouble in the short term. There is a strong argument in particular circumstances relating to some industries for a modest lead-in period before equal employment conditions should apply, particularly for businesses that only need employees for a short term. The Bill transposes the 2008 directive into national law and provides protection for temporary workers, which is positive. I am an employer and to achieve productivity, one's employees must be happy. They must go to work in the knowledge that their employer is being fair to them. One works on the basis of partnership with one's employees and one desires to have them treated properly. I have yet to see, particularly in smaller businesses, instances in which people would treat their employees differently. It would lead to dissatisfaction right across one's business, which ultimately leads to a lack of productivity. However, there are many issues in this regard. Perhaps during the good times too much pay was being given for working unsociable hours. As for Sunday working, I have never really agreed with it. I considered it unfair to push workers to work on a Sunday, which essentially is a family day. Certain tasks of course must be done and coming from a farming background, I am aware that one sometimes must work on Sundays. Cows must be milked on a Sunday and some jobs must be done. However, other jobs are not necessarily important on a Sunday.

This Bill also provides equal access to collective facilities and amenities in respect of employment opportunities. However, one must consider the ratios of workers in temporary employment. According to a report in the Irish Medical Times, the amount paid in 2010 by the Health Service Executive to external employment agencies was €151 million. This was almost double the €77 million paid in 2009 and in 2008, the outlay was just €15 million. Consequently, there has been an absolute surge in temporary employment and perhaps this should not have been encouraged. It was a quick fix, which in some respects has led to this legislation. Why is so much State money being spent on temporary workers and on subsidising recruitment agencies? They have done very well and Members may recall that recruitment agencies were being bought for multi-million amounts. The only reason this was the case is they were making fabulous profits. One could say this was achieved on the backs of workers, which in essence is another cost that employment cannot bear.

This issue should be considered in the context of hiring people. It is very important in business - I see it myself - to hire the right people. Instead of handing out this important job to a third party, which may not necessarily have the best interests of one's company at heart because they have a lot of other business to do, perhaps recruitment should be carried out in-house. One should hire people on the basis of their ability, reputation and drive because, ultimately, it is about ensuring the business remains in business. The idea of external recruitment never really washed well with me. Any time I employed someone, I sat down with and spoke to him or her and secured a reference for that person, thereby getting a good idea of the individual with whom I was dealing. This is important and I believe employees also would be glad to go in this direction because they would have more contact with the companies for which they were working. In addition, Members must examine the recruitment practices and embargoes within the health service because value for money is important in this regard. Perhaps by tweaking things in this respect, better value for money could be achieved for everyone.

Across the workforce, there are 35,000 temporary workers in Ireland, which comprises 2% of the active workforce. This is a large number, which represents many families who will enjoy more secure employment conditions. I always have been an advocate of fair play to workers. A sign of a good company is one in which the employees have worked for a long time. When I walk into a company and talk to the staff and hear one member has been with the company for 15 years and another for 20 years, that is a great sign that they are happy and contented. While they might not always be happy as there are days when things go wrong, on the whole everything is working out right for them and that is a great sign.

We need to focus on trying to move from having temporary workers to having full-time permanent positions. Such a move will be beneficial for the State in that people will have a secure position and may consider purchasing a house or a car, and that settles things down. When one is in a state of flux and employed on a temporary basis, one is fearful that things may change, especially in the current environment. It is important for us to be cognisant of that fact.

Coming from a business background, I am keen to point out that employers are anxious to protect the interests of their employees - I certainly am. In small businesses, employees are not only work colleagues but become personal friends. I have always used the term working with someone rather than for somebody. My business grew from a very small basis to being a reasonably large one and it was built on the abilities of the fabulous people who worked with me. That is the guideline we must have, namely, to respect people who work with us. Everybody has different abilities. Some people are good at organising others while others are good at getting the work done.

We have been good at subcontracting work. We left the manufacturing industries behind us in the good times and such industries moved to India and China. We have to get our hands dirty once more and get back to work. I have no doubt this legislation will ensure that matters will be better in the long run. As an employer, I can anticipate issues that will arise, but ensuring there is fairer treatment of workers and getting more people into permanent employment is what we are about.

The Government is tidying up many of our affairs. I am involved with the Minister, Deputy Bruton, in the policy committee and we are lining up all our ducks in a row. We are trying to get this country into a position where it will be ready for business. The jobs initiative was a bit like Food Harvest 2020 in agricultural sector - it has set a benchmark. We will have bank guarantee, micro-finance and credit guarantee schemes, and all these initiatives will assist and encourage business. I welcome the Bill.

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