Written answers

Wednesday, 20 September 2017

Department of Employment Affairs and Social Protection

Employment Rights

Photo of Paul KehoePaul Kehoe (Wexford, Fine Gael)
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680. To ask the Minister for Employment Affairs and Social Protection if it is legal for an employer and employee to agree that the employee will take payment in lieu of part of their holidays; if a company or its director are breaking labour law in cases (details supplied); and if she will make a statement on the matter. [39711/17]

Photo of Regina DohertyRegina Doherty (Meath East, Fine Gael)
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Following the coming into effect of the Labour Affairs and Labour Law (Transfer of Departmental Administration and Ministerial Functions) Order 2017(S. I. No. 361 of 2017)on the 1st of September, responsibility for employment rights policy and legislation transferred from the Minister of Jobs, Enterprise and Innovation to myself as Minister for Employment Affairs and Social Protection. 11 pieces of primary legislation governing employment rights in Ireland are now within my remit including the Organisation of Working Time Act 1997(OWT Act).

Under the annual leave provisions of the OWT Act, the minimum statutory annual leave entitlement of four weeks' annual leave must be given on a paid leave basis. In addition, payment in lieu cannot be substituted for the taking of the minimum leave entitlement unless the employee is leaving the employment. This has been confirmed by the Court of Justice of the European Union (CJEU) in several cases taken under the EU Working Time Directive. However, provisions in relation to any annual leave entitlement over and above the statutory minimum entitlement can be negotiated between an employer and an employee.

It appears that the Deputy’s question may relate to the taking of annual leave by a director of a company. In this case, the applicability of the annual leave provisions of the OWT Act to a company director will depend on whether or not the director would be regarded as an employee of the company as defined in Section 2 of the OWT Act. If, in the particular circumstances of the case, the director is deemed to be an employee within the meaning of the Act, then the provisions of the OWT Act would apply.

The Workplace Relations Commission (WRC) is mandated to secure compliance with employment rights legislation. Where an individual believes they are being deprived of employment rights applicable to employees, they may refer a complaint to the WRC where the matter can be dealt with by way of mediation or adjudication leading to a decision that is enforceable through the District Court.

The WRC's Customer Service Section provides information to both employers and employees in relation to employment rights and obligations. The WRC’s Customer Service Section can be contacted at Lo-call: 1890 80 80 90 or 059 9178990. The website www.workplacerelations.iealso provides information on employment rights.

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