Paul Murphy (Dublin South West, Socialist Party)
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5. To ask the Minister for Jobs, Enterprise and Innovation to set out his views on the findings of the University of Limerick study into zero-hour and low-hour contracts which the Government commissioned in 2015. [2146/16]

Paul Murphy (Dublin South West, Socialist Party)
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Will the Minister set out his views on the findings of the report of the University of Limerick and the study on the prevalence of zero-hour contracts? The study confirms the precarious nature of work in this economy. It confirms that the labour market has become increasingly flexible not through the use not of zero-hour contracts, in particular, but of if-and-when contracts. What is the Government going to do to ensure that the jobs being created are decent jobs such that people can provide decent living standards for themselves and their families?

Gerald Nash (Louth, Labour)
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The statement of Government priorities in July 2014 committed to conduct a study on the prevalence of zero-hour contracts among Irish employers and their impact on employees and make policy recommendations to Government on foot of the study. Following a competitive tendering process, a team from the University of Limerick was appointed in February 2015 to carry out a study into the prevalence of zero-hour contracts and low-hour contracts in the Irish economy and their impact on employees.

The study, published in November last year, found that zero-hour contracts, as defined within current Irish employment rights legislation, are not extensively used in Ireland. It found low working hours can arise in different forms in employment contracts, such as regular part-time contracts with fixed hours or a contract with if-and-when hours only or a hybrid of the two. If-and-when contracts are contracts where workers are not contractually required to make themselves available for work.

The UL report made a range of recommendations relating to contracts, hours of work and notice, minimum hours, how contracted hours should be determined, collective agreements, data gathering and wider contextual issues. The UL study was an independent study and the conclusions drawn and the recommendations made are those of UL. Therefore, it was essential for the various stakeholders who contributed to the study and any other interested parties who may not have had an opportunity to discuss their views with the University of Limerick during the data gathering period, to be given an opportunity to consider and respond to the report. To this end, I sought submissions from interested parties by way of a public consultation. That process concluded on 4 January 2016. That was the closing date for the receipt of submissions. As Deputies can imagine, the responses contain a variety of views, including for and against the findings and recommendations made by the University of Limerick. They will require careful consideration by my Department over the coming period. This will inform the policy response to be considered by Government arising from the study.

As I said at the committee yesterday, it is my intention, as per the Government agreement in November, to bring forward proposals to Government colleagues in the coming period.

Paul Murphy (Dublin South West, Socialist Party)
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Does the Minister accept that the prevalence of if-and-when contracts and precarious work gives the lie to the idea of a strong recovery and good quality jobs being created? Given that 32% of workers are working fewer than 35 hours per week, 24% of workers work different hours each week and 41% of workers work part-time because they cannot find full-time work, compared to less than 30% across the European Union, it is clear we have a worrying drive towards increasing labour market flexibility. This comes at the expense of workers' security and workers knowing what is happening next week and being able to access mortgages, etc. In reality, we have vicious exploitation of workers, in particular, workers in certain sectors, such as retail, and women - this issue is distinctly gendered.

What is the Government going to do about it? Which of the recommendations - I agree that they are good - is the Government going to accept and try to legislate for?

Gerald Nash (Louth, Labour)
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I know that Deputy Murphy has a particular worldview. Regardless of what the CSO might say about the increase in full-time work, the increase in employment generally and the falling numbers of those in underemployment, all of which are welcome, he would always beg to differ with the view of the CSO and the Government.

There is of course a challenge for the economy, the Government and employers to ensure that the jobs we are creating are good decent sustainable jobs that reward people appropriately and have strong terms and conditions. We have introduced a suite of reforms in the industrial relations landscape and in employment rights. This has been done by the Minister, Deputy Bruton, and by me in recent years. The Minister, Deputy Bruton, introduced legislation to replace the joint labour committee system which fell in the courts some years ago. In October I signed into law employment regulation orders applying to the contract cleaning and security industries. These brought forward in law new minimum rates of pay for those working in those industries. It has resulted in 55,000 people with better protection and terms and conditions.

When we analyse the performance of the economy and the type of jobs that are being created, we should not necessarily look at one area in particular. The broad range of employment protection legislation, the increases to the minimum wage and new arrangements are all positive.

Paul Murphy (Dublin South West, Socialist Party)
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My particular worldview is one that would have been shared by the Labour Party not long ago. It is the idea that no one who is in work should be living in poverty. We should not be the second highest country in the OECD in terms of prevalence of low pay. We should not have 20% of workers living in deprivation. I do not think that is such a radical worldview.

What will the Government do about this?

A key point made in the report was on the rising cost to the State of income supports. The State is subsidising low-pay, precarious employers through the likes of the family income supplement, FIS. Will the Government take action to eliminate what are largely the equivalent of zero-hour contracts and introduce banded-hour contracts and guaranteed-hour contracts so that people might know what hours they must work, plan accordingly and have enough money on which to survive?

Gerald Nash (Louth, Labour)
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We are considering the proposals. It is important to ensure that employers have a degree of flexibility in the labour market, but not to the point where anyone is allowed to be exploited or abused by unscrupulous employers. We undertook this study because we were conscious of that. We wanted to get a handle on the nature and extent of low-hour contracts and the survey has made a useful contribution to that debate.

Ours is the first Government that has taken a keen interest in this matter and it is our view that we should be tackling some of the more egregious aspects of these practices in order to end abuse. We are considering a suite of proposals made by the University of Limerick, but the Government has not formed a view on how to progress them yet. I have views on that front, however, and I want to do everything that I can to ensure that the interests of low-paid workers and people in precarious work situations are protected and their circumstances are enhanced. All of the measures that I have taken on this matter since being appointed Minister of State with responsibility for business and employment have fed into that process and been successful.