Written answers

Tuesday, 10 October 2006

Department of Enterprise, Trade and Employment

Industrial Disputes

9:00 pm

Photo of Pat RabbittePat Rabbitte (Dublin South West, Labour)
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Question 393: To ask the Minister for Enterprise, Trade and Employment further to Parliamentary Questions No. 257 and 258 of 28 March 2006 in relation to the need for statutory regulation and protection of self-employed commercial agents, if he has subsequently received detailed complaints from former commercial agents of a company (details supplied) along the lines outlined to him in those questions; if he or the various enforcement agencies operating under his Department were in a position to offer advice or other assistance in the case; if he or any of the agencies has a role in policing compliance with the relevant statutory requirements referred to in his reply; his views on whether such agents are in a vulnerable position due to inequality of bargaining power vis-À-vis their principals and that a protection similar to that afforded to employees is therefore appropriate; the proposals he has to amend the regulations in order to improve the protection given to self-employed commercial agents and to provide a clear policing and enforcement mechanism; and if he will make a statement on the matter. [31694/06]

Photo of Michael AhernMichael Ahern (Cork East, Fianna Fail)
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Further to my reply to the Deputy's previous questions on this matter on 28 March 2006, representations were made to my Office enquiring about the Commercial Agents Directive — EC Council Directive 86/653 EEC of 18/12/86 as transposed into national law by Statutory Instruments No. 33 of 1994 and No. 31 of 1997.

I understand from these representations that a number of this company's Area Managers are in dispute with the company over a number of matters including the amount of commission paid, changes to sales territories and the issue of whether or not these Area Managers are self-employed commercial agents and entitled to protection under the aforementioned Commercial Agents Directive. I understand further that these matters are the subject of legal proceedings before the High Court.

With regard to whether my Department or any of its agencies has a role in policing compliance with the relevant statutory requirements of the Commercial Agents Directive, the matters raised by the Deputy are essentially private civil matters between disputing parties and the Courts are the appropriate adjudicators of such matters.

I remind the Deputy that self-employed commercial agents are not employees and, as such, are not covered by employment rights legislation.

I am satisfied that the Commercial Agents Directive, as transposed into Irish law, provides a framework for the regulation of the relationship between self-employed commercial agents and their principals. I have no evidence to suggest that there are widespread difficulties with its operation and I have no proposals at present to amend the legislation.

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