Dáil debates

Thursday, 11 May 2023

Ceisteanna Eile - Other Questions

Industrial Disputes

10:50 am

Photo of Louise O'ReillyLouise O'Reilly (Dublin Fingal, Sinn Fein)
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69. To ask the Minister for Enterprise, Trade and Employment if he has made contact with the new owners of a food retailer (details supplied); if he has managed to receive any clarity for workers in terms of wages owed and the future operations of the company; and if he will make a statement on the matter. [22019/23]

Photo of Louise O'ReillyLouise O'Reilly (Dublin Fingal, Sinn Fein)
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This is a specific question with regard to an ongoing dispute with Iceland. The workers are owed wages and they are very nervous and anxious about the future operation of the company and specifically the future for their own earnings and jobs.

Photo of Neale RichmondNeale Richmond (Dublin Rathdown, Fine Gael)
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I thank Deputy O'Reilly for raising this really important issue. I was delighted to see it on the question paper, because it deserves a good hearing. Deputy O'Reilly has raised it with me directly and with the Taoiseach several times in this Chamber, at committee and via correspondence. First and foremost, my thoughts, like those of the Deputy, are with those Iceland workers who are going through an unbelievably stressful period. As the Deputy will be aware, I have been meeting representatives from the grocery and retail sector this week. I can confirm that as per the Taoiseach's request, I have made contact with Iceland, though I have yet to have a full exchange with the company. An exchange is forthcoming and I will update the Deputy in due course and keep her fully abreast of the situation. We are all concerned about the treatment of the workers here, but it is important to note this is primarily a role for the WRC.

Ireland has a robust suite of employment rights legislation in place to protect and support workers, including certain protections with regard to the payment of wages and information provided to employees in situations where a transfer of undertakings has taken place. The European Communities (Protection of Employees on Transfer of Undertakings) Regulations 2003 safeguards the rights of employees in the event of any transfer of an undertaking, business or part of a business from one employer to another employer as a result of a legal transfer or merger.

The main provisions of the regulations provide that all the rights and obligations of an employer under a contract of employment, other than pension rights, are transferred to the new employer on the transfer of the business or part thereof. The new employer must also continue to observe the terms and conditions of any collective agreements until they expire or are replaced. Both the outgoing and incoming employers are also obliged to inform the employees of the reasons for the transfer and the legal, social and economic implications. The affected employees must be given this information not later than 30 days before the transfer.

With regard to outstanding employee wages, the Payment of Wages Act 1991 establishes a range of rights for all employees in relation to payment of wages. Importantly, failure by an employer to pay all or part of the wages due to an employee is considered to be an unlawful deduction. I expect all employers to comply with their legal obligations under employment rights legislation and the WRC is the organisation which is mandated to secure compliance.

Photo of Louise O'ReillyLouise O'Reilly (Dublin Fingal, Sinn Fein)
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I am familiar, as the Minister of State is, with the European Communities (Protection of Employees on Transfer of Undertakings) Regulations 2003, TUPE. We know them and the workers have had to appraise themselves of their entitlements under the regulations. Regrettably, the new employer in this instance seems blissfully unaware of its obligations under TUPE and it is for that reason we have ended up in this situation. I have put the Minister of State on notice. He may already be aware that at least one of the stores has balloted for industrial action. These are low-paid workers who do not wish to be on picket line. They will be there because they have no choice. Sometimes the gap between one's rights under the law and one's capacity to be able to achieve those can be quite wide. It is often so for workers who are not unionised, in particular, but also for workers on a low income. When the Minister of State meets the employer - I hope that is soon - I ask that he appraise the employer not just of the rights of its workers and its obligations under the law.

Photo of Neale RichmondNeale Richmond (Dublin Rathdown, Fine Gael)
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I hope to meet the employer very soon and I will keep the Deputy fully appraised of any engagement. We will also deal with a range of issues with regard to other matters we have been dealing with earlier such as price at the checkout. I am aware of the ballot and I know about a number of one-off protests that have happened at certain stores, that were not ballots or pickets, but they were protests and campaigns, including in Cork and other places. While I fully appreciate the difficult circumstances faced by some employees and I am really concerned by some of the reports, the WRC and the Labour Court are the relevant bodies. Workers can make reports to these bodies, which are independently administered. I am obliged to respect these instruments and will do so, as we all do, for very good reason. However, I appreciate the full engagement we are having on this matter and I hope we can continue to work, most importantly, to ensure that employees get what they are entitled to.

Photo of Louise O'ReillyLouise O'Reilly (Dublin Fingal, Sinn Fein)
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I ask that at the meeting, the Minister of State would encourage the employer in this instance to go in the direction of the WRC. The Minister of State is right, in that the WRC and the Labour Court have a very clear role here. However, they have no role if the employer does not turn up. One can take a section 20 and it will be binding on the person who takes it, but not on the person who does not turn up. That will be of very little value. We are in the middle of a cost-of-living crisis and these people are already on a low income. Not getting wages, if one has a few bob in the bank, might be inconvenient. Not getting wages, if one does not have any money in the bank, means one is going to a food bank. We do not wish to see that. These workers are hardworking. They have given good and loyal service to the company. They do not deserve to be treated like this. I hope that when the Minister of State meets with Iceland, he apprises the new owners of their obligations under the law and encourage them to engage with the WRC because, one way or another, money is owed to these workers. Regardless of whether they continue in employment, they are owed money.

Photo of Neale RichmondNeale Richmond (Dublin Rathdown, Fine Gael)
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The Deputy and I have spent enough time with retail workers, be it through organised labour movements, in our daily lives or indeed engaging with them practically for many different reasons. We know exactly what the strains of working in the retail sector can be and the effort that goes in. It is a tough job done by many people throughout the country. Retail is the largest private sector employment in the country. It is a good job for many people and deserves good wages, paid in a timely manner, as per legislation. I would always encourage employers to engage with the institutions of the State and the WRC. I am cognisant of my role here and my limitations in what I can ask or deliver, but I continue to remain fully engaged in the issue directly involving this company and wider issues in the sector.

Whenever I can bring the Deputy into conversation, I will continue to do so.

11:00 am

Photo of Marian HarkinMarian Harkin (Sligo-Leitrim, Independent)
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I thank the Deputy for stepping into the breach. We now move back to question No. 60.