Seanad debates

Thursday, 12 July 2012

Industrial Relations (Amendment)(No. 3) Bill 2011: Committee Stage

 

2:00 pm

Photo of David CullinaneDavid Cullinane (Sinn Fein)

I move amendment No. 10:

In page 13, line 5, after "business" to insert the following:

", including information on payments to directors and companies associated with directors over the previous 3 years,".

This amendment is similar to amendments Nos. 8 and 9 in the sense that it deals with the "inability to pay" exemption. I am disappointed that the Minister's decision not to accept the previous amendments means the 24-month provision will remain in the Bill. I have tabled this amendment to make it explicit that employers must provide all information to the court, rather than indulging in the sin of omission. There have been umpteen examples of companies or employers failing to pay their workers the entitlements they are due, perhaps by putting a pay freeze in place and pleading inability to pay, while at the same time allowing senior managers and chief executives to give themselves Rolls-Royce salaries, pensions, performance-related payments and bonuses, etc. Such behaviour irks employees, especially those at the bottom of the pay chain whom we are trying to protect in this legislation. We should ensure they are not left high and dry. I appreciate that the court can request information, but I am trying to ensure information is automatically provided. We should not allow companies to engage in creative accountancy practices in order to avoid paying their workers proper wages and entitlements. Some companies are able to amend their profit and loss levels by making payments to other associated companies and directors. I think this amendment is a reasonable proposition. I believe it would add value to this Bill. We have to make sure we protect the integrity of the existing "inability to pay" clause. It should not be possible for it to be abused or manipulated by some unscrupulous employers. That is why we are emphasising that full disclosure would prevent that from happening by tightening the system up and making it fairer. I await the Minister's response.

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