Seanad debates

Wednesday, 5 July 2017

Central Bank and Financial Services Authority of Ireland (Amendment) Bill 2014: Committee Stage

 

10:40 am

Photo of Michael D'ArcyMichael D'Arcy (Wexford, Fine Gael) | Oireachtas source

I understand that there was good discussion about the merits of mediation on the various Stages of this Bill and the Government’s Bill. Certainly we had a good conversation on Committee Stage of the Government's Bill last week.

Mediation is a facilitative voluntary process in which the parties to a dispute, with the assistance of a mediator, attempt to reach a mutually acceptable agreement to resolve the dispute. Under current legislation, the ombudsman may attempt to resolve a complaint by referring both parties to mediation. Indeed, mediation, by telephone and email and through meetings, is now the first and preferred option for resolving complaints. By engaging with the parties directly, and quickly, it is possible to achieve a timely and satisfactory resolution most of the time. In our view, mediation is a voluntary process and must be entered into freely by both parties in order to have a chance of success.

The current wording in section 6 of this Bill sets out the same wording that is in section 58 of the Government’s Bill. Sinn Féin's amendment seeks to reinstate the original wording on mediation that is currently set out in the Central Bank Act 1942. In effect, the proposed change to this Bill is that the ombudsman "shall, as far as possible", try to resolve the complaint by mediation, rather than "may, where he or she deems it appropriate, try to resolve a complaint by mediation".

The intention to support mediation as a key method to resolve complaints has been a core element of this Bill, and indeed of the Minister’s Bill. There is cross-party support for mediation in both Bills and the current trends which point to up to 60% of cases being resolved by mediation are very encouraging. The wording in section 58(1) was an attempt to improve on the drafting in the existing legislation. It was not meant to represent a change in policy or substance. If the Senators would prefer to retain the existing wording in this Bill as set out in amendment No. 7, I have no objection. However, for my Bill I would have to ensure that the wording would fit harmoniously with other sections, such as section 12 which also allows resolution of complaints by informal means. I would have to examine this in the context of Report Stage of the Government’s Bill.

I am supportive of attempts to support mediation in the ombudsman’s office and I think there is cross-party support on this policy. For this reason I can accept amendment No. 7.

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