Jan O'Sullivan (Limerick City, Labour)
Link to this: Individually | In context | Oireachtas source

I thank the Ceann Comhairle's office for selecting this matter for discussion on the Adjournment. I also thank the Minister, Deputy Mitchell O'Connor, for being present to respond.

At the end of last week, before the bank holiday weekend, the staff, parents and children of three crèches in the Limerick area were told the facilities were closing. There was no warning whatsoever. I refer to the Tic Toc crèches, one in Newcastle West, one in the city centre and one at the edge of the city in Westbury, Corbally. Since then, there has been some reprieve for two out of the three crèches but the one in Westbury continues to be occupied by the staff with the full support of parents because they were told, with no warning whatsoever, that the facilities were closing. A total of 17 staff members are affected and a large number of children. The crèches have gone into liquidation with no warning.

When I checked this afternoon, the staff had still not had a promised visit from the owner of the crèches, in particular the one in Westbury, which is the one where the jobs have been lost and the premises has closed. I understand the owner was due to meet the workers to address the issues around money owed to them in redundancy pay, holiday pay and salaries. The staff remain in occupation of the crèche. The workers have been assisted very well by Frank McDonald of SIPTU. They are seeking their rights and have approached the Department of Social Protection in regard to statutory redundancy. It is simply not acceptable that somebody would so callously close down a crèche, let down parents who have to go to work and who have no alternative and also let down dedicated workers who in many cases have been working in the crèche for a long time. There is a very warm relationship between the families and the workers. What happened is a complete shock to everybody.

A total of 55 children are booked in for the early childhood care and education scheme for next September and their parents must now try to find alternatives. Everybody hopes the crèche will be taken over and that it can continue to operate. It is a very good premises and it is very well stocked. One option under consideration is whether the crèche could become a community crèche. I and other local Oireachtas Members have been making inquiries in that regard on behalf of those involved. That is the preferred option but we are also exploring the possibility of the crèche being taken over by somebody else. Those affected have been left completely high and dry. People who had important meetings were not able to go to work because they did not have alternative child care. Understandably, the children were very unsettled by the whole experience when the place where they were being cared for was closed without any warning. It was particularly difficult for the children with special needs in particular who find it very difficult to adapt to change. The sudden closure of the crèche was traumatic for all of the children, their families and the dedicated workers.

I wanted to raise the issue tonight in the hope there will be a response from the Government. Last week when we had a debate on a Labour Party motion for workers' rights it was indicated that the Company Law Review Group is examining liquidations and protecting people in such situations. From a Labour Party perspective, while significant work was done when we were in government, we raised a number of other areas in the debate last week. My real concern is that the immediate needs of the workers, children and their parents are addressed and that they have an alternative, which is provided as quickly as possible and that in the meantime all of their rights are protected. I know the Department of Social Protection pays statutory redundancy where it is not paid by the owner or liquidator but that is a significant cost to the State and there must be some responsibility taken in such situations and some humanity shown as well.

Mary Mitchell O'Connor (Dún Laoghaire, Fine Gael)
Link to this: Individually | In context | Oireachtas source

I thank Deputy Jan O'Sullivan for raising this serious matter and I share her concerns about the position of the employees in question. I know the Deputy has a significant interest in children's welfare and education, which was so evident when she was Minister for Education and Skills. I also share her concern about the position of families who may be affected by the sudden closure of the child care services in question. The uncertainty caused in this situation must be stressful for parents, children and workers alike.

At the outset, I confirm that there has been no engagement or communication from this company with my Department. However, I wish to reassure the workers concerned that we have a robust suite of employment rights legislation which provides strong protections to employees. Those protections include, for example: the Protection of Employment Acts 1977 to 2007, which provide for a process of information and consultation between the employer and the employee representatives in circumstances where a collective redundancy is proposed; the Minimum Notice and Terms of Employment Acts 1973 to 2005, which give employees entitlements to specified notice periods or payment in lieu of notice; and the European Communities (Protection of Employees on Transfer of Undertakings) Regulations 2003 which may apply in certain circumstances.

These regulations aim to protect the basic terms and conditions of employment for employees in situations where a transfer of a business takes place. Fourth, there are the Redundancy Payments Acts and the insolvency payments scheme, both of which are administered by the Minister for Social Protection.

The Workplace Relations Commission, WRC, is mandated to secure compliance with employment rights legislation. The WRC's customer service section provides information on employment, equality and industrial relations rights and obligations, as well as on how to obtain redress where appropriate. The WRC's customer service section can be contacted at the lo-call number, 1890 80 80 90, and the website also provides extensive information on employment rights.

I understand the concerns of the Deputy about the impact on families and children affected by this situation. I understand from the Department of Children and Youth Affairs that in response to the closure of Tic Toc, Limerick Childcare Committee is working with parents to assist them in making alternative child care arrangements. I understand further that all children registered in the early childhood care and education free preschool year at the three Tic Toc services have received their full entitlement for the 2015-2016 year. This represents the vast majority of children registered in the affected services. The Department of Children and Youth Affairs is keen to ensure that the areas served by the Tic Toc facilities continue to have access to child care and where it is possible for replacement services to be established at, or close to, the sites in question, that Department and other relevant bodies, which act as agents of the Department, will provide all possible assistance to potential new management. The Department of Children and Youth Affairs understands that some preliminary discussions already have taken place in this regard. The Deputy will appreciate that the provision of child care services is a matter for my colleague, the Minister for Children and Youth Affairs. The Deputy may wish to raise these matters separately with my colleague.