Written answers

Wednesday, 12 May 2010

Department of Enterprise, Trade and Innovation

Redundancy Payments

9:00 pm

Photo of Martin FerrisMartin Ferris (Kerry North, Sinn Fein)
Link to this: Individually | In context

Question 113: To ask the Minister for Enterprise, Trade and Innovation when a person (details supplied) in County Tipperary may expect to receive their statutory redundancy payment. [19681/10]

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

My Department administers the Social Insurance Fund (SIF) in relation to redundancy matters 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 wish to advise the Deputy that while a lump sum claim was submitted to the Department in this instance, the claim is being returned as the required supporting documentation has not been lodged. It is my Department's practice not to enter incomplete claims on the system as these claims cannot be processed until the necessary documentation is submitted. The documentation required in support of lump sum claims, such as in this instance, is set out on my Department's website at www.entemp.ie. Submission of correctly completed Redundancy claim forms (RP50's) with all of the required documentation greatly facilitates the processing of claims.

The documentation required in support of lump sum claims is evidence of the employer's inability to pay the redundancy entitlements to the employees. This involves requesting a statement from the company's Accountant or Solicitor attesting to the inadequacy of assets to make the redundancy payments and, the latest set of financial accounts for the company. The employer is also asked to admit liability for the 40% liability attaching to the company arising from the redundancy payments. If this information is provided to the Department, the employees are paid their redundancy entitlement from the Social Insurance Fund. Upon payment, the Department pursues the company for the 40% share that the company would ordinarily have been expected to pay to the employees.

If the necessary supporting documentation required from the employer is not provided to my Department, the employee will be advised by my 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. Once such a determination is available, the Department is then in a position to make the payment to the employee concerned. Should the outstanding documentation be provided by the employer during the period while the case is pending a hearing before the EAT, this would allow the claim to be processed by my Department in the usual way.

Comments

No comments

Log in or join to post a public comment.