Phil Hogan (Carlow-Kilkenny, Fine Gael) | Oireachtas source

Departments are not shadow employers. A number of State-funded programmes are delivered at local level by the network of local development companies, which are independently limited companies that have their own boards of management, memoranda and articles of association. These companies have tendered to deliver certain programmes for a specific period. Similar to other funding Departments, my Department has no role in the internal operations of these companies and, therefore, does not have a role in relation to staff or employment which are for the board of each company, as employer, to manage.

Departments provide funding to particular groups and local development companies to carry out work on behalf of the State. They are separate private companies and are treated as such. It is a matter for each of the companies to decide its role, responsibilities and staffing and to ensure interaction between them and their representative groups is good.

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