Pat Casey (Fianna Fail)
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I welcome the Minister of State, Deputy Thomas Byrne, to the House.

Joe O'Reilly (Fine Gael)
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I thank the Minister of State for coming in to represent the Minister, Deputy Burke, and I thank the Cathaoirleach for selecting this important matter. The Minister of State, Deputy Healy-Rae, said earlier that the last matter raised was timely and he was correct. I hope this matter is similarly timely and appropriate.

The Government is in the process of preparing an action plan on collective bargaining. This is mandated under the European directive on adequate minimum wages but the Minister has been very forthcoming and said that he will publish it at the end of October, which is to be welcomed. This action plan provides a pivotal opportunity to bring Ireland closer to European norms. As the Minister of State will be aware, Ireland is an outlier in this area in that the rest of Europe has collective bargaining as a legal right. We need that too and we need to introduce it in a balanced and constructive way. The action plan is about that and is not something threatening.

Right now fewer than one in three Irish workers is covered by a collective agreement. This is one of the lowest rates in Europe. Under the EU directive, as I said, Ireland is obliged to take active steps to expand collective bargaining. This is not just about compliance. It is about fairness in the workplace, stability in industrial relations, which is important to employers as well as to everyone else, and building a more resilient economy. It is good for everyone. This is not something that is threatening or specific. We know from international evidence that collective bargaining helps to deliver better pay equality, stronger productivity and more stable workplaces. It also gives workers advice on the major changes ahead, from digitalisation to the transition to a low-carbon economy. It is very good for compliant and good employers. It means that other employers cannot engage in practices outside the law that would put the good, compliant employers in an adverse or uncompetitive position in the context of tendering and so on. It is important for proper employers that collective bargaining exists.

From a moderate trade union point of view, the action plan needs to do a few things. First, it must build on genuine social dialogue with unions, employers and independent experts around the table as part of the normal bargaining process. Second, it must contain a real bargaining roadmap, not just aspirational language. Legislation to support collective bargaining must be in line with European Union requirements. That is the first thing I would like to see in the action plan. Does the Minister envisage the action plan referring to legislation to put collective bargaining on a statutory footing? The action plan must also contain stronger protection for workplace representatives. It is very important that those who stick their heads above the parapet, who are usually very good people on a number of fronts in terms of being creative and interesting and being leaders, are not put in an exposed or damaged position.There should be protections for these people, similar to other sets of rights. They should have the right to do this and not be sacked, sidelined or denied promotion because of it. There should be no exceptional treatment for them but they should not be disadvantaged. There should also be a clear right of access for workers to engage with their trade unions in the workplace without obstruction. They should have the opportunity to do that. It would be in their own time but they should have the ability to do it.

It must recognise that collective bargaining is not a threat, it is a tool. It reduces inequality, boosts consumer demand and provides certainty for both workers and employers. When collective bargaining takes place, the machinery of Government, the Labour Court is there. In other words, if there is not agreement - and there will not always be - it will go to proper due process and this has worked very well in the past.

I am very grateful that the Minister of State is here. I would like to hear how he sees the action plan developing and that he sees it as protecting workers who seek to have unionisation and represent their colleagues, and that he sees it as allowing the right of access and the right to collective bargaining, and that it will all be done within the machinery that exists.

Thomas Byrne (Meath East, Fianna Fail)
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I thank Senator Joe O’Reilly for submitting this Commencement matter which I am taking on behalf of the Minister for Enterprise, Tourism and Employment, Deputy Peter Burke.

Ireland’s long-standing voluntarist system has served us well over the decades, helping to contribute to industrial peace and stability. It has also enhanced Ireland’s attractiveness as a major investment location and led to a co-operative environment for resolving disputes.

The programme for Government sets out a commitment to publish an action plan on the promotion of collective bargaining by the end of 2025. This will be in line with the EU directive on adequate minimum wages. Although the directive is currently before the European Court of Justice, Ireland has reaffirmed its strong commitment to workers’ rights by proceeding with the development of the action plan, regardless of the outcome of the case. As outlined in the directive, the action plan will establish a clear timeline and concrete measures to progressively increase the rate of collective bargaining coverage. The process will have full respect for the autonomy of the social partners and ensure ongoing engagement with all relevant stakeholders.

As part of the Government’s consultative approach, a public consultation was held from April to May of this year to gather broader input on its content. A working party has been established with Department officials and the social partners to examine what will be considered for inclusion in the action plan. This group has met regularly this year and its work is essential in developing the content of the action plan. In the view of the Minister, it is too early to comment on the content of the action plan but it is his intention that a balanced and evidence-based approach be undertaken in considering any legislative or policy changes arising from the action plan. Both legislative and non-legislative options may be considered as part of the broader development of the action plan, depending on the outcomes of the consultation and ongoing policy formulation with the social partners.

The European Commission expert group's report on transposition of the directive is clear that the design of the framework of enabling conditions and the content of the action plan is entirely up to member states in consultation with the social partners.

Joe O'Reilly (Fine Gael)
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I appreciate the line that the Government has progressively increased the rate of collective bargaining. To truly do that properly, we just need that three things that I set out: the legislation to support it; stronger protection for workers' representatives - it is very important that people are not disadvantaged in this sphere for seeking to represent their colleagues; and a clear right of access for workers to the bargaining process and their trade unions. Those are the objectives. I ask the Minister of State to convey to the Minister, Deputy Burke, the importance of incorporating those basic, simple principles.

Thomas Byrne (Meath East, Fianna Fail)
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I will certainly say that to the Minister, Deputy Burke. It has been the clear and consistent policy of successive Governments to promote collective bargaining through both legislation and the development of an institutional framework that supports a voluntary system of industrial relations. It is therefore hugely important that we continue to protect the measures that were put in place to support collective bargaining within a voluntary industrial relations framework that has served us well to date.

The Minister believes that a strong and well-functioning collective bargaining system supports productivity and fair wages, especially in the low-paid sectors.Furthermore, the capacity to engage effectively in collective bargaining is a key element of the adequate minimum wage directive. The Government hopes to further support the social partners in this area.