Gerald Nash (Labour) | Oireachtas source

It is all related with regard to employment conditions, the way in which companies are managed and the way in which company law interacts with employment law. We have seen this in the context of Clery's, in the context of a recent failure of a company in Dundalk that left almost 200 people out on the road without any rights or entitlements. While they have rights and entitlements they are finding it very difficult to get them vindicated. They are being supported by the union and by the Department in their bid to have their social welfare payments paid to them. In the case of these types of companies, we need the relevant provisions of company law to be enforced.

We also need other aspects of company law to be changed and to ensure that the directors of such companies are tackled when tactical insolvencies are arranged and people head off into the sunset, while leaving their staff and other creditors in desperate hock. It is not the first time this issue has been raised in the House, and unfortunately it will not be the last. We cannot allow this to happen. We have seen the problems with Grafton College and we will, inevitably, see it happening again. It is not just about employment law. It is also about enforcement of company law and addressing the issues around tactical insolvencies that are reflected in the proposals made, for example, in the Duffy Cahill report and the later report by the company law review group. It is not just about employment law; it is also about the enforcement of company law.