Dáil debates

Thursday, 9 December 2021

Ceisteanna ar Sonraíodh Uain Dóibh - Priority Questions

Enterprise Policy

10:40 am

Photo of Damien EnglishDamien English (Meath West, Fine Gael) | Oireachtas source

I thank the Deputy for the question, which gives me an opportunity to provide an update on the report and our action plan. Ireland has a robust suite of legislation to protect and support workers facing redundancies. The Cahill Duffy report was in response to particular terms of reference that were quite narrow and specific and do not address the generality of redundancies that arise in insolvency situations.

Following extensive engagement with the social partners, the Oireachtas committee and many others over the past 18 months, the plan for action on collective redundancies following insolvency was published on 9 June this year by the Minister of State, Deputy Troy, and I. This sets out several commitments to safeguard further the rights of workers in these circumstances, including a range of amendments to company law and employment law, setting up an employment law review group on a statutory basis and the provision of an accessible guidance document to help workers and their representatives navigate the existing legal framework. The guidance document has just been completed and will be published shortly. It will provide clear and accessible information for employees facing a collective redundancy situation following a company insolvency. It will be of great assistance because there has been much misinformation in many cases. The Deputy referenced Debenhams. There was much misinformation at that time. The guidance will be very useful to enhance the work that has been completed by the unions.

The following recommendations were progressed in the Companies (Rescue Process for Small and Micro Companies) Act 2021, which was signed into law this week. It amends section 627 to clarify that the liquidator has power to bring or defend proceedings before the Workplace Relations Commission and Labour Court. It amends section 587 to oblige the liquidator and director to ensure creditors are made aware they have the right to form and participate in a committee of inspection. This includes employees. It amends section 666 to provide that where a committee of inspection is appointed it shall include at least one employee creditor member. Work on drafting amendments to the Protection of Employment Act 1977 will commence in quarter 1 of 2022.

The remaining company law recommendations will also be progressed next year. The employment law review group will initially be established on a non-statutory basis as early as possible in 2022. This will be very useful. This complementary range of measures will promote the provision of quality information, enhance participation and transparency for those workers facing a collective redundancy following company insolvency and will also provide for the continued development of employment law in general. This is a positive development.

Comments

No comments

Log in or join to post a public comment.