Clare Daly (Dublin North, Socialist Party)
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Question 337: To ask the Minister for Social Protection the basis upon which she expects the reduction in the employer's rebate for statutory redundancy to produce €81 million in savings in 2012 and €104 million savings in 2013 as it follows from these estimated savings that she has estimated the number of redundancies this year and next year; and the number of redundancies that she anticipates for these years and the methodology for arriving at these estimates. [1332/12]

Joan Burton (Dublin West, Labour)
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The saving of €81 million is based on an average claim value of €6,600 and an estimate of 45,600 claims being processed in 2012, of which some rebates will be at the 60% rate and some at the new 15% rate.

The expected full year savings in 2013 are €121 million, based on an anticipated processing level of 35,000 claims per annum. €104 million is the expected rate of savings based on an anticipated claim processing level of 30,000 claims per annum, for 2014 and 2015.

These figures are based on expected processing levels in the years concerned, and also assume that the ratio of lump sums to rebates will remain constant.

Joanna Tuffy (Dublin Mid West, Labour)
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Question 338: To ask the Minister for Social Protection the steps that she is taking to ensure that employees of Vita Cortex Plant in Cork get their full redundancy entitlements; and if she will make a statement on the matter. [1336/12]

Jerry Buttimer (Cork South Central, Fine Gael)
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Question 407: To ask the Minister for Social Protection if she has or will examine any possible role she can play in resolving the dispute between the former employees of a company (details supplied) their employer and the National Assets Management Agency, if she would consider facilitating payment to the workers of their statutory redundancy payments from the social insurance fund as a matter of urgency in view of the fact that they are the innocent victims in this dispute; and if she will make a statement on the matter. [1060/12]

Gerry Adams (Louth, Sinn Fein)
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Question 419: To ask the Minister for Social Protection the contact she has had with a company (details supplied) in County Cork regarding the payment of redundancy to workers; if the company has applied to the State's social insurance fund to enable payment of statutory redundancy; and if she will make a statement on the matter. [1205/12]

Joan Burton (Dublin West, Labour)
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I propose to take Questions Nos. 338, 407 and 419 together.

Responsibility for the processing of claims under the Redundancy Payments Scheme transferred from the Department of Jobs, Enterprise and Innovation to the Department of Social Protection in January 2011.

The purpose of the Redundancy Payments Scheme is to compensate workers, under the Redundancy Payments Acts, 1967 to 2007, for the loss of their jobs by reason of redundancy.

Under the Redundancy Payments Acts an eligible employee is entitled to two weeks statutory redundancy payment for every year of service, plus a bonus week. Compensation is based on the worker's length of reckonable service and reckonable weekly remuneration, subject to a ceiling of €600 per week. Employees must have at least two years' service to be eligible for a redundancy payment. Rebates to employers and lump sums paid directly to employees are paid from the Social Insurance Fund (SIF).

It is the responsibility of the employer to pay statutory redundancy to all eligible employees. An employer who pays statutory redundancy payments to employees is then entitled to a rebate from the State of a percentage of the relevant amount.

Where an employer can prove to the satisfaction of the Department that he/she is unable to pay the statutory redundancy to his/her employees the Department will make lump sum payments directly to the employees and will seek to recover the debt from the employer. To prove inability to pay the employer must submit documentary evidence to confirm that this is the position.

Where the lump sum is paid to the employees the Department will seek to recover the relevant amount from the company. Where the employer has proven to my satisfaction that it was unable to pay the statutory redundancy the we will seek to recover the amount paid less the amount of the rebate that would have been payable to the employer if the employer had paid the statutory redundancy payment to the employees. Where it appears that the refusal or failure of the employer to pay the statutory redundancy was without reasonable excuse, we may either withhold any rebate to which the employer would otherwise have been entitled or reduce the amount of that rebate to such extent as is considered appropriate and in either such case the amount of the claim against the employer may be increased accordingly.

An official from my Department contacted the company concerned to establish the position in relation to redundancy claims and to ensure that the workers of the company are in a position to access any redundancy payments to which they may be entitled.

The company submitted 34 applications on-line on 22 December 2011 and hard copies/associated papers were received on 4 January 2012.

Straightforward redundancy claims submitted since October 2011 are generally processed for payment within six to eight weeks but this can vary considerably depending on the complexity of the claims.

In relation to NAMA, this body has been established as a fully commercial agency to operate under the direction of a Board of Directors. As long as NAMA operates in accordance with statute, it would be inappropriate for me or my officials to attempt to interfere with the commercial decisions taken by the Board.