Dáil debates

Wednesday, 29 July 2020

Financial Provisions (Covid-19) (No. 2) Bill 2020: Committee Stage (Resumed) and Remaining Stages

 

7:50 pm

Photo of Paschal DonohoePaschal Donohoe (Dublin Central, Fine Gael) | Oireachtas source

The Deputy's amendment seeks to restrict the hiring practices of employers who access the temporary wage subsidy scheme, the employment wage subsidy scheme or the special warehousing and interest provisions of the Bill. The amendment proposes that entry to such schemes would mean such employers would not be able to hire new workers to fill roles vacated due to layoffs or to hire new workers unless the work they are hired to carry out has been already offered to increase the hours of short-time workers.

These schemes are stand-alone measures to support employer viability through an unprecedented period and are based on clear and objective criteria that may be determined by the Revenue Commissioners. Concerns around the manipulation of access to such schemes have been already addressed to the greatest extent possible. It is not appropriate to link qualifications for such supports with matters that are more appropriate to employment law bodies.

As I have said previously, the position in respect of the temporary wage subsidy scheme and the employment wage subsidy scheme does not affect any legal obligations the employer may have to his or her employee as regards the terms, conditions and entitlements of employment. The new section 28B(6) proposed in this Bill provides for safeguards which will achieve what the Deputies aim to achieve in their amendment. It states that, except for bona fide commercial reasons, an employer cannot access the employment wage subsidy scheme if he or she has laid off a qualifying employee and replaced this employee with two or more qualifying employees who work fewer hours with the aim of increasing the number of qualifying employees so that he or she can get an increased subsidy payment.

I am glad we have the opportunity to get to Deputy Nash's amendment because this matter has been dealt with, albeit in a different part of the Bill from that which the Deputy seeks to amend.

Anything beyond the provision I have outlined would be expressly outside of the remit of the Revenue Commissioners. I note, however, that there is a sufficient number of bodies to deal with employment disputes in Ireland in which there is already a high level of expertise. The Workplace Relations Commission is responsible for a range of tasks in this area, including promoting and encouraging compliance with relevant enactments. In employment rights cases, the Workplace Relations Commission adjudicates and, if either party is dissatisfied, its decision may be appealed to the Labour Court. There are already checks and balances in place to ensure fairness to employees and employers. This matter has been dealt with in a different way in the proposed section 28B.

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