Written answers

Thursday, 16 October 2008

Department of Enterprise, Trade and Employment

Employment Rights

7:00 pm

Photo of Leo VaradkarLeo Varadkar (Dublin West, Fine Gael)
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Question 8: To ask the Tánaiste and Minister for Enterprise, Trade and Employment the legal protection that exists for employees who agree to transfer from one employer to another under the transfer of undertakings; and if she will make a statement on the matter. [35304/08]

Photo of Billy KelleherBilly Kelleher (Cork North Central, Fianna Fail)
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The current Irish law in the area of "transfer of undertakings" is the European Communities (Protection of Employees on Transfer of Undertakings) Regulations 2003 — Statutory Instrument (S.I.) No. 131 of 2003. The Regulations implement the mandatory (i.e. mandatory to transpose) provisions of EU Council Directive 2001/23/EC of 12 March 2001 which is aimed at safeguarding the rights of employees in the event of a transfer of an undertaking, business or part of a business to another employer as a result of a legal transfer (including the assignment or forfeiture of a lease) or merger. Also, a further provision of the European Directive (a provision relating to the information to be provided by the original employer to the new employer) was transposed into Irish law by Section 21 of the Employees (Provision of Information and Consultation) Act 2006.

The Regulations provide that all the rights and obligations of an employer arising from a contract of employment (including terms inserted by collective agreements) other than pension rights, existing on the date of a transfer, are transferred to the new employer on the transfer of the business or part thereof.

Another provision of the Regulations is that both the outgoing and incoming employers are obliged to inform their respective employees' representatives of, inter alia, the date or proposed date of the transfer, the reasons for the transfer and the legal, social and economic implications of the transfer for the employees. Where there are no representatives, employers must arrange for the employees to choose representatives for this purpose.

Under the Regulations, an employee may take a case to a Rights Commissioner or (on appeal) to the Employment Appeals Tribunal if the employee considers that an infringement of rights has occurred.

It is a matter for a Rights Commissioner or (on appeal) the Employment Appeals Tribunal to interpret the provisions of the Regulations and a legal interpretation would only be given if an employee took a case to a Rights Commissioner under the Regulations.

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