Patrick Nulty (Dublin West, Independent)
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318. To ask the Minister for Social Protection the procedures through which companies in receivership may apply to pay outstanding wages and fees to workers who have been undertaken work but not been paid for it. [42073/13]

Joan Burton (Dublin West, Labour)
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The purpose of the insolvency payments scheme is to protect certain outstanding pay-related entitlements due to employees in the event of the insolvency of their employer. These entitlements include wages, holiday pay, sick pay, payment in lieu of minimum notice due under the Minimum Notice & Terms of Employment Acts, 1973-2001, and certain pension contributions. Various other statutory awards made by the Employment Appeals Tribunal, Rights Commissioners, etc., are also covered by the scheme.

The legislation governing the scheme provides that for the purposes of the scheme an employer shall be taken to be insolvent only in certain circumstances. These include situations where the employer is a company and a receiver has been appointed by or for the holder of a debenture secured by a floating charge, or possession taken by or for the debenture holder of company property comprised in or subject to the charge.

Where a receiver has been appointed all applications under the insolvency payments scheme must be submitted by him or her. The receiver should examine the claim(s) and certify the amount owed to the employee in accordance with the company records. Claims must be submitted on-line at . Once submitted on-line, the application form should be printed, signed by both paries and forwarded to the insolvency payments section of the Department. Applications should be accompanied by the Notice of Appointment of Receiver and a copy of the Statement of Affairs where available. Additional information is required with applications for payment of outstanding contributions to a pension or Personal Retirement Savings Account. More detail in this regard is available .

Payments under the insolvency payments scheme are made from the Social Insurance Fund. The Minister becomes a preferential creditor against the assets of an employer in respect of most amounts paid under the scheme.