Tom Hayes (Tipperary South, Fine Gael)
Link to this: Individually | In context

Question 139: To ask the Tánaiste and Minister for Enterprise, Trade and Employment when an application for payment of redundancy of social insurance fund will be processed in respect of a person (details supplied) in County Tipperary; and if she will make a statement on the matter. [45804/09]

Dara Calleary (Mayo, Fianna Fail)
Link to this: Individually | In context

My Department administers the Social Insurance Fund (SIF) in relation to redundancy payments on behalf of the Department of Social and Family Affairs. There are two types of payment made from the SIF - rebates to those employers who have paid statutory redundancy to eligible employees and, statutory lump sums to employees whose employers are insolvent and/or in receivership/liquidation. I can confirm that my Department received a statutory lump sum application for the individual concerned on the 7th April, 2009 claiming inability to pay on behalf of the employer.

In this case, as in all cases where the employer claims inability to pay the employee(s) statutory redundancy, the Department requires the employer to provide sufficient proof to substantiate the claim. This includes providing the latest set of audited accounts for the company as well as certification from the company's Accountant or Solicitor attesting to the fact that the employer has insufficient assets to pay the redundancy entitlements. Providing this documentation is submitted and is in order, the Department pays the employee(s) directly from the Social Insurance Fund.

If the supporting information required from the employer is not provided to my Department, the employee is advised by the Department to take a case to the Employment Appeals Tribunal (EAT) against the employer to seek a determination establishing the employee's right and entitlement to redundancy. That is the advice given by my Department in this case which I understand was acted upon by the individual who currently awaits a hearing of the EAT. If a positive determination is given by the EAT, this allows the Department to make payment to the employee concerned very soon thereafter.

I understand however that in relation to the area concerned in the case of this individual, there is currently a 42 week waiting period for hearings. Given this backlog of cases pending, it is estimated that a hearing in this case should take place in April 2010.

The Employment Appeals Tribunal is an independent, quasi-judicial body under the aegis of my Department. Secretarial and administrative support is provided by Departmental staff. I understand that the number of claims to the Tribunal up to November 2009, compared with the same period last year, has doubled. Additional administrative resources have been allocated to the Tribunal, both last year and this year, to help it process claims. I will be keeping the matter under review and will take further action if possible within the constraints which exist in relation to resources.