Dáil debates

Wednesday, 22 May 2013

Other Questions

Employment Rights Issues

2:30 pm

Photo of Richard Boyd BarrettRichard Boyd Barrett (Dún Laoghaire, People Before Profit Alliance)
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8. To ask the Minister for Jobs, Enterprise and Innovation when he will reply to two direct representations (details supplied), representing four former employees of Connolly shoes in Dun Laoghaire who are now in their fourth year of a dispute; and if he will make a statement on the matter. [24468/13]

Photo of Richard BrutonRichard Bruton (Dublin North Central, Fine Gael)
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I am aware of the issues surrounding this dispute since I became Minister and, indeed, before that time. I understand that initially attempts were made to resolve the matter by arbitration through the offices of the Labour Relations Commission; however, no constructive developments came out of these efforts despite the LRC remaining at the parties' disposal should it be again required.

The workers involved referred some complaints to the rights commissioner service and others directly to the Employment Appeals Tribunal, EAT. Awards were made in their favour by both parties. The rights commissioner awards were appealed to the EAT. I understand that the appeal taken by the company concerning the worker that made the representations, which are the subject of this question, had his appeal heard last February. The company did not attend the appeal, and so it failed for want of prosecution.

Under the current system the enforcement of EAT awards is eventually a matter for the courts and civil enforcement process. The holder of an award or his or her trade union may seek to enforce it himself or herself through the Circuit Court or he or she may seek, in most cases, the assistance of the Minister to have this process carried out on his or her behalf. This involves the use of the enforcement services unit of the National Employment Rights Authority, NERA, to have such awards enforced if appropriate through the civil courts. NERA is currently enforcing some of the awards in question and has engaged legal assistance to further this matter.

It is acknowledged that the system that has developed over the years, as illustrated in this case, has become complex and, in some cases, involves unacceptably long delays. However, I have commenced a root and branch reform with the objective of establishing a world-class workplace relations service. It is through the reform of the existing workplace relations structures that we can remove any advantage currently present in delaying a case through appealing and then not taking part in the hearing.

As Minister, I propose to establish a new two-tier workplace relations structure with the result that two statutory independent bodies will replace the current five bodies. There will be a new single body of first instance, the workplace relations commission, and a separate appeals body, which will effectively be an expanded Labour Court. It is intended that the WRC will deal with all first instance claims within three months from the time the case is lodged.

Additional information not given on the floor of the House.

I also believe that for a workplace relations system to have credibility it must be supported by proportionate, effective and efficient compliance and enforcement measures. The current system of enforcement of employment rights awards is cumbersome and expensive and not fit for purpose. For this reason, I am proposing to make provision in the workplace relations Bill for a range of enhanced compliance measures, including the use of compliance notices, fixed charge notices and a new mechanism for forcing awards of the WRC adjudicators and labour court determinations. These measures will provide for more proportionate, efficient and effective enforcement of employment law.

Photo of Richard Boyd BarrettRichard Boyd Barrett (Dún Laoghaire, People Before Profit Alliance)
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I thank the Minister for his reply. It is more than three years since four workers were unfairly dismissed and left without redundancy or wages owed to them by Connolly shoes in Dún Laoghaire, a firm which they had worked for, in some cases, over 30 years. They were dumped on the scrap heap by an unscrupulous employer. The LRC and the EAT, as the Minister said, have found on every occasion, based on the issues that have been brought before them, that the workers were right and the employer was wrong.

Yet, three and a half years on, John Mulpeter, who has written to the Minister several times, is still picketing outside the premises. The former director or CEO of Connolly Shoes has set up another shoe business under another name and is still operating, with other employees having replaced those who were unfairly dismissed and forced to picket for the past three years. How can it possibly take so long for workers such as those in Connolly shoes to get justice? Can we have the Minister's assurance that whatever new regime he is considering setting up will prevent this unacceptable situation happening again, and prevent unscrupulous employers treating workers like this and being able to set up the same business under another guise and carry on with impunity?

I note the power of the parliamentary question. John Mulpeter has written to the Minister on several occasions looking for answers and miraculously received a letter yesterday, for which I am sure he is very grateful. He should not have to resort to asking a parliamentary question in order to have a letter answered.

Photo of Richard BrutonRichard Bruton (Dublin North Central, Fine Gael)
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As I said in the reply, the existing system I inherited is not fit for purpose and have I set about seeking to reform it.

We have already introduced a large number of administrative reforms which are already having an impact. For example, we are seeing a turnaround in respect of access to rights commissioner services. Once the time lapse of notification ends, a hearing will generally be scheduled almost immediately. We are also working on new legislation, which I hope will be published before the end of this session, to overhaul the existing system by way of much improved provisions. For instance, we are changing the provision in regard to appeals to ensure they are fast-tracked. An additional provision in this regard will mean that individuals who do not turn up to a hearing and who subsequently lodge an appeal will be subject to additional charges.

We recognise that there are problems with the enforcement regime. We are seeking to reform the regime via the introduction of a determination order for which a worker can apply. On foot of such an order, the Labour Court can enforce its provisions by way of civil proceedings, with a criminal prosecution or both. In short, we are making substantial changes in the system. Unfortunately, however, legislative change takes time. We have had a great deal of consultation and have discussed the proposals at the Oireachtas committee. I recognise that the system needs to be changed and we are already setting about that task.

2:40 pm

Photo of Richard Boyd BarrettRichard Boyd Barrett (Dún Laoghaire, People Before Profit Alliance)
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I welcome the information the Minister has given and his commitment to dealing with these issues. They are applicable not only to the workers at Connolly Footwear, but also those at La Senza, Vita Cortex, Jane Norman and many others. I hope the Minister can prove in the measures he proposes to take that we have a machinery that is capable of delivering justice for workers who are unfairly treated. Looking at the experience of the past two years, one might conclude that the most effective way for workers to obtain justice in these matters is to occupy their place of employment. That seems to be the only means of fast-tracking a fair resolution in these cases. People should not have to do that, just as they should not have to wait three years for a conclusion.

I am sure the Connolly Footwear workers are awaiting a verdict with bated breath. Given the duration of this particular case, I hope the Minister will keep an eye on proceedings. He must ensure for the future that there is proper enforcement and compliance in such cases. The measures he is proposing must deliver a system that works in an efficient and timely manner and delivers compliance when employers are found to have behaved wrongly towards their workers.

Photo of Richard BrutonRichard Bruton (Dublin North Central, Fine Gael)
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The National Employment Rights Authority has a role in terms of enforcement. As I said, I hope to bring legislation to the House before the summer. Already the changes we have made are showing a significant improvement, such as having a single point of entry, not having multiple hearings of the same source of dispute, having quick resolution as an alternative and scheduling hearings quickly. I acknowledge, however, that the legislative framework must also be improved.