Written answers

Tuesday, 26 April 2022

Department of Employment Affairs and Social Protection

Redundancy Payments

Photo of Michael LowryMichael Lowry (Tipperary, Independent)
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1075. To ask the Minister for Employment Affairs and Social Protection if her attention has been drawn to concerns in relation to a statutory redundancy payment for a person (details supplied); and if she will make a statement on the matter. [20796/22]

Photo of Heather HumphreysHeather Humphreys (Cavan-Monaghan, Fine Gael)
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The Redundancy Payments Act 1967, as amended, provides for the making of payments by employers to employees in respect of redundancy.  It is the employer’s responsibility to pay statutory redundancy payments to all eligible employees.  In the event that an employer is unable to pay due to financial difficulties, an application for payment from the Social Insurance Fund may be submitted to my Department. 

When such a redundancy payment is made from the Social Insurance Fund, a debt is immediately raised against the employer.  The Department is obliged to make every effort to recover the debt owed to the Social Insurance Fund, in accordance with Section 32 and 43 of the Act.  

On 12 March 2015 my department received a completed application for a redundancy payment to be made for the person concerned from the Social Insurance Fund as they were being made redundant and the company was not in a financial position to fund the payment.  My Department processed and authorised the payment on the 20th March 2015 based on the information provided on the application.  As provided for under the legislation a debt was immediately raised against the employer.

In December 2019 a phone call from the employer was received and the employer was requested to submit their concerns in writing.  The employer furnished correspondence in August 2020  highlighting their concerns regarding the 2015 redundancy application.  In response all relevant paperwork was reviewed by my department who determined that the application was submitted by an authorised agent of the employer at that time and that it had included all the required information.  As such it was determined that the application had been properly processed in accordance with the relevant procedures. 

The employer was advised that if they had concerns that their firm had been misrepresented, it was a matter for the employer to take that up with the relevant authorities.  

As no further information has been received from the organisation regarding this matter my officials are obliged to continue to seek recovery in accordance with the Act. 

I hope this clarifies the matter for the Deputy.

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