John Browne (Wexford, Fianna Fail)
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Question 87: To ask the Minister for Enterprise, Trade and Innovation when a redundancy payment will be awarded in respect of a person (details supplied) in County Wexford due to them as a refund on the closure of a company. [25723/10]

Dara Calleary (Mayo, Fianna Fail)
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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 can confirm my Department received a statutory redundancy lump sum application on the 15 February, 2010 in respect of the above individual. This claim awaits processing. In respect of redundancy lump sum payments paid directly to employees, such as in this instance, the Section is, in general, processing claims dating from October 2009.

In relation to Redundancy claims, the scale of the challenge is evident from the statistics that show incoming redundancy claims in 2009 amounted to 77,001 which represents a threefold increase over the level of claims lodged in 2007 and earlier years. In 2007, claims received were of the order of 25,000. Efforts continue to be made by my Department to deliver more acceptable turnaround processing times for Redundancy payments given the difficulties that this gives rise to for both individual employees and the business community. Measures already taken in the Department in 2009 to alleviate the pressures on the Payments area include: · Almost doubling the number of staff through reassignment to a current level of 52 full time equivalents; · Prioritisation of the Department's overtime budget towards staff in the Section to tackle the backlog outside normal hours; · Establishment of a special call handling facility in NERA to deal with the huge volume of telephone calls from people and businesses concerned about their payments. · Better quality information relating to current processing times on the Department's website; · Engagement with the Revenue Commissioners to facilitate the offset of redundancy rebate payments by employers against existing outstanding tax liabilities which those employers owe to the Revenue Commissioners.

The backlog and waiting times remain at unacceptable levels. However, improvements are evident. I should point out that my Department has, in 2009, processed 50,664 claims, up 70% on 2008. In the period 1 January 2010 to 31 May 2010 new claims amounted to 28,587 - a fall off of almost 20% on the corresponding 5 month period in 2009 when 35,559 new claims were lodged. The reduction in incoming claims is most welcome. Inroads are being made in the backlog of claims reducing from 42,591 in December 2009 to a current level of 34,881 at end May 2010. In the first five months 34,036 claims were processed, up 130% on the same period last year.

Responsibility for the payment functions arising under the Redundancy and Insolvency payment schemes is due to be transferred to the Department of Social Protection with effect from 1 January 2011. In transferring the functions between Departments, it is the intention that this will operate seamlessly and without any adverse impact on the service levels being experienced by individuals or the business community awaiting payment of redundancy claims.

Seán Ó Fearghaíl (Kildare South, Fianna Fail)
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Question 88: To ask the Minister for Enterprise, Trade and Innovation when a redundancy payment will issue to a person (details supplied); and if he will make a statement on the matter. [25754/10]

Dara Calleary (Mayo, Fianna Fail)
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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 can confirm that my Department received a lump sum claim for the individual concerned on 26 May, 2010. This claim awaits processing. In respect of redundancy lump sum payments paid directly to employees, such as in this instance, the Section is, in general, processing claims dating from October 2009.

In relation to Redundancy claims, the scale of the challenge is evident from the statistics that show incoming redundancy claims in 2009 amounted to 77,001 which represents a threefold increase over the level of claims lodged in 2007 and earlier years. In 2007, claims received were of the order of 25,000. Efforts continue to be made by my Department to deliver more acceptable turnaround processing times for Redundancy payments given the difficulties that this gives rise to for both individual employees and the business community. Measures already taken in the Department in 2009 to alleviate the pressures on the Payments area include: · Almost doubling the number of staff through reassignment to a current level of 52 full time equivalents; · Prioritisation of the Department's overtime budget towards staff in the Section to tackle the backlog outside normal hours; · Establishment of a special call handling facility in NERA to deal with the huge volume of telephone calls from people and businesses concerned about their payments. · Better quality information relating to current processing times on the Department's website; · Engagement with the Revenue Commissioners to facilitate the offset of redundancy rebate payments by employers against existing outstanding tax liabilities which those employers owe to the Revenue Commissioners.

The backlog and waiting times remain at unacceptable levels. However, improvements are evident. I should point out that my Department has, in 2009, processed 50,664 claims, up 70% on 2008. In the period 1 January 2010 to 31 May 2010 new claims amounted to 28,587 - a fall off of almost 20% on the corresponding 5 month period in 2009 when 35,559 new claims were lodged. The reduction in incoming claims is most welcome. Inroads are being made in the backlog of claims reducing from 42,591 in December 2009 to a current level of 34,881 at end May 2010. In the first five months 34,036 claims were processed, up 130% on the same period last year.

Responsibility for the payment functions arising under the Redundancy and Insolvency payment schemes is due to be transferred to the Department of Social Protection with effect from 1 January 2011. In transferring the functions between Departments, it is the intention that this will operate seamlessly and without any adverse impact on the service levels being experienced by individuals or the business community awaiting payment of redundancy claims.

Seán Power (Kildare South, Fianna Fail)
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Question 89: To ask the Minister for Enterprise, Trade and Innovation when a person (details supplied) will receive their redundancy payment from the social insurance fund; and if he will make a statement on the matter. [25862/10]

Dara Calleary (Mayo, Fianna Fail)
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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 can confirm that my Department received a lump sum claim for the individual concerned on 30 March 2010, which included an Employment Appeals Tribunal decision in favour of his claim, and I am pleased to advise the Deputy that the claim has recently been processed and authorized for payment. Payment should issue to the claimant over the next two to three week period.

Enda Kenny (Mayo, Fine Gael)
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Question 90: To ask the Minister for Enterprise, Trade and Innovation if, further to Parliamentary Question No. 92 of 11 May 2010, any progress has taken place in respect of statutory redundancy payments; if his attention has been drawn to the fact that the employer or his legal representative have not received any request for further documentation from his Department; the documentation or action that is required in order to resolve this matter; and if he will make a statement on the matter. [25871/10]

Dara Calleary (Mayo, Fianna Fail)
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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.

As I informed the Deputy in my answer of 11 May, 2010 my Department received a lump sum claim for the individual concerned on 15 July 2009. In the course of processing the claim, a query was raised with the employer's legal representative, however, I understand that some documentation remains outstanding and the case cannot be finalized. 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. In this case admission of liability of the 40% was requested from the employer by letter in March 2010 and by phone from the employer's solicitor's office in May 2010 but remains outstanding.

If the required 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.