Dáil debates

Thursday, 23 March 2017

2:40 pm

Photo of Pat DeeringPat Deering (Carlow-Kilkenny, Fine Gael)
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I am delighted to have the opportunity to speak on this issue today. I have been trying to raise it for the past six or seven weeks. Eventually, my time has come.

To provide background to the situation, this concerns the Cheshire home group and, in particular, my local one in Tullow in County Carlow. Cheshire Ireland is a non-profit provider that is predominantly funded by the HSE. It currently provides support services in 17 different residential centres in addition to a range of community-based services throughout the country. It employs approximately 700 people.

A new policy on residential support for persons with disabilities has been agreed between the HSE and resident services providers. This policy is outlined in Time to Move on from Congregated Settings - A Strategy for Community Inclusion, which was published by the HSE in 2011. It aims to provide residents of congregated settings with alternative accommodation and care services in mainstream communities. In order to implement the policy, the Cheshire home group, as has other residential care service providers, has proposed to progressively close all their institutions that are serving ten or more people by not later than 2019. As the Minister of State knows, this process is currently under way and will result in compulsory redundancies of a number of catering and domestic staff.

The Cheshire home group has experienced financial difficulties in recent times and since 2008 has been in severe difficulty. In an effort to counteract these difficulties, it entered into an agreement with SIPTU, the INMO and Unite in 2014 under the Labour Relations Commission. As part of that agreement, the HSE was to fund a number of the outstanding issues of the Cheshire home group. This was supposed to happen by December 2015 at the very latest. As of today, it has not happened. Almost all the staff have been made redundant in my local Cheshire home which is almost closed as most of the service users have been moved out to the community-based services.

A commitment was given that no more staff would be made redundant until this issue was resolved. My understanding is that staff are to be made redundant in the next number of days and this issue still has not been resolved. What is the position regarding the commitment made as part of the Labour Relations Commission agreement?

When will the HSE's commitment to make redundancy payments be honoured? I ask the Minister to give a commitment that no one will be made redundant until this issue has been resolved.

2:50 pm

Photo of Marcella Corcoran KennedyMarcella Corcoran Kennedy (Offaly, Fine Gael)
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I thank Deputy Deering for raising this very important matter. Cheshire Ireland provides a range of support services to people, often with very complex and high support needs with both physical and neurological conditions in their homes, residential centres, supported accommodation and stand-alone respite facilities. Cheshire Ireland is funded under section 39 of the Health Act 2004, with services based throughout the country, including Tullow, County Carlow. The Health Service Executive has in place service level agreements with these providers, funded under section 39 of the Health Act 2004, which set out the level of service to be provided for the grant to the individual organisation and requirements regarding standards of care.

In 2017, as part of the overall service arrangement which the HSE community health care organisation No. 5 has with Cheshire Ireland, a funding allocation of €1.965 million will be provided to Carlow-Kilkenny community services. The Carlow-Kilkenny disability manager and finance manager reviewed the service level agreement file and advised that, at the service level agreement meeting in 2016, Cheshire Ireland indicated that it would undertake staff redundancies. I am informed, however, that the HSE did not receive any request for funding from Cheshire Ireland for these costs.

As the individuals employed by section 39 organisations are not HSE employees, the HSE has no role in determining the salaries or other terms and conditions applying to these staff, including any pension arrangements. Accordingly, such arrangements offered by individual providers will vary. I confirm to the Deputy and House that the pay and superannuation terms and conditions of the staff concerned are not subject to the control of the Department of Health as the employees are not classified as public servants.

The Deputy asked a specific question on a commitment given by the Health Service Executive at a meeting of the Workplace Relations Commission. I have no information on that matter and I am not in a position to make any commitments on redundancies in the company concerned. I will, however, endeavour to establish what precisely is the position regarding the HSE's commitment.

Deputy Pat Deering:I thank the Minister of State for her response. With the greatest respect, however, I am slightly disappointed and frustrated with it because my information differs entirely from the information provided. A Labour Court decision issued on 16 December 2015 recommended that the Cheshire Ireland engage with the Health Service Executive. It states: "Having regard to the Employer's financial difficulties and substantial dependency on the HSE for funding, the Court further recommends that the employer should engage in early course with the HSE with a view to securing the necessary additional funding required." My understanding, and that of the staff, trade unions and everyone else concerned, is that the HSE, in conjunction with Cheshire Ireland, would facilitate this particular matter. It is disappointing and strange that the HSE appears to have abdicated its responsibility in this matter. I ask the Minister of State to review the issue with HSE officials to determine precisely what the position is. Staff are in limbo and require clarification and certainty.

Photo of Marcella Corcoran KennedyMarcella Corcoran Kennedy (Offaly, Fine Gael)
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The Deputy is correct that the staff in question require clarification and certainty. As I stated, the information provided to me is that the HSE did not receive any request for funding from Cheshire Ireland for costs arising from staff redundancies. As for the recommendation made by the Labour Court that the employer engage with the HSE, while I do not know what efforts have been made by either party, I undertake to establish what the position is on this matter. I will liaise directly with the Deputy on the issue.