Written answers

Wednesday, 25 February 2009

Department of Enterprise, Trade and Employment

Redundancy Payments

11:00 pm

Photo of Billy TimminsBilly Timmins (Wicklow, Fine Gael)
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Question 120: To ask the Tánaiste and Minister for Enterprise, Trade and Employment the position in relation to staff at a company (details supplied) who have requested that she meet with them over their situation; and if she will make a statement on the matter. [7952/09]

Photo of Billy KelleherBilly Kelleher (Cork North Central, Fianna Fail)
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Further to my reply in response to a question put down on 5 February regarding the situation of staff at the company to which the Deputy refers, the Tánaiste has received a number of representations from staff at the company to which she has just very recently responded.

In the context of Redundancy entitlements, my Department is not in a position to pay out the statutory redundancy entitlements to staff until a determination of the Employment Appeals Tribunal (EAT) is available which should provide clarity as to whether a genuine redundancy situation at the company exists. The Tánaiste encouraged staff to pursue this issue through a determination before the Employment Appeals Tribunal and we both welcome the news that a number of staff have taken up this suggestion and would encourage all remaining eligible staff to do likewise. Upon receipt of the EAT decision, and on the assumption that this is positive, my Department will, subject to the eligibility criteria being met, be in a position to pay the employees their statutory redundancy entitlements. In that event, the Department will pursue the employer directly to recoup the monies paid.

As regards the pursuit of complaints to the Rights Commissioner Service under the Payment of Wages Act, 1991, to which I drew attention in my response of 5 February, I am pleased also to note that a number of employees have decided to request hearings before the Rights Commissioners and I understand that a number of cases have now progressed to the hearing stage.

Naturally, the Tánaiste and I are very concerned about the issues that have been raised in relation to this company. The National Employment Rights Authority, (NERA) were recently requested to undertake an inspection at the company's premises and although this did not yield a result in that there was no company presence in evidence, NERA is considering its further options in this regard. In line with the type of joint inspection activity and information sharing which NERA undertakes with both the Revenue Commissioners and the Department of Social and Family Affairs, NERA has taken the opportunity to share information on the company with these bodies.

The Deputy may also wish to be aware that separately, and in light of the powers vested on the Office of the Director of Corporate Enforcement (ODCE) under company law, the Tánaiste has also forwarded the matter to the ODCE for further consideration. I am satisfied that all relevant advice has been provided to staff in terms of the pursuit of all relevant avenues of redress to secure their employment rights entitlements. Equally, the Tánaiste has undertaken follow-up action in relation to the company as outlined.

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