Dáil debates

Wednesday, 15 June 2016

Priority Questions

Company Closures

2:35 pm

Photo of Pat BreenPat Breen (Clare, Fine Gael) | Oireachtas source

I thank Deputy Niall Collins for raising this issue. The closure of Clerys department store and the manner in which its workers lost their jobs was totally unacceptable and should not happen again.

A number of actions were initiated as part of the Government’s response to the closure of Clerys. They included the Duffy-Cahill expert examination of legal protections for workers. The Duffy-Cahill report was published on 26 April last, as the Deputy knows. It makes a number of proposals for reform of the law. My priority now is to complete the public consultation to allow for a response to be brought forward for consideration by the Government. I remind the Deputy that the consultation is to finish this Friday.

The Company Law Review Group was asked to review company law. This was with a view to recommending ways company law could be amended to ensure better safeguards for employees and unsecured creditors. The work of the Company Law Review Group is progressing in this regard.

Separately, authorised officers have sought information from a number of parties regarding the collective redundancies that took place in OCS Operations Limited on 12 June 2015. This work is ongoing. However, one of the parties from whom the authorised officers sought information initiated proceedings in the High Court challenging the powers of the authorised officers. As the matter is before the court, it would not be appropriate for me to comment any further.

With regard to compliance with company law, this is ultimately a matter for the court to decide in any particular case before it.


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