Seanad debates

Wednesday, 1 April 2015

Workplace Relations Bill 2014: Report and Final Stages

 

10:30 am

Photo of David CullinaneDavid Cullinane (Sinn Fein) | Oireachtas source

While the Senator may not agree with the amendment, he can second it anyway. As I will not be pushing it to a vote, it is okay. This amendment pertains to enforcement of the national minimum wage. The question of whether it is increased or decreased will now be an issue for the low pay commission, which is a different story. However, this amendment seeks to increase the minimum fine from €2,000 to €4,000 for non-compliance. Sinn Féin believes this amendment will deal with vexatious employers who will seek to delay compliance and this reverts to the issue of compliance about which I spoke earlier. In Britain, new legislation has been introduced that provides for fines of up to £20,000 for non-compliance or non-payment of the national minimum wage. Sinn Féin does not advocate a penalty of that size and believes it is being reasonable in this regard. Moreover, the Irish Congress of Trade Unions also has asked for consideration to be given to increasing the fine from €2,000 to €4,000 to act as a sufficient deterrent to employers who may not pay the minimum wage. If there are increases in the minimum wage, the Senator may have concerns that some companies may not be able to afford to pay them. Again, I imagine the Minister or the low pay commission will deal with this issue. There are mechanisms in place for employers who genuinely cannot pay any increase in the national minimum wage not to so do. As there is an inability-to-pay element to all of that, I do not believe it should be a real concern. As for those who can pay, if they can do so they will pay and no major issue arises. However, this amendment is about those who can afford to pay but do not, which is a different story. The proposal is to increase the penalty from €2,000 to €4,000.

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