asked the Minister for Labour the present position regarding payment of the award made by the Employment Appeals Tribunal to a person (details supplied) in County Dublin under the Redundancy Payments Acts, 1967-79 and the Minimum Notice and Terms of Employment Act, 1973, and if payment can be expedited in view of the urgent financial need of the resident concerned.
Written Answers. - Minimum Notice Award.
231.
I understand that the person concerned was paid his full statutory lump sum entitlement under the Redundancy Payments Acts in December 1985 but that a problem has arisen in regard to payment of a minimum notice award because of doubts about the identity of the company by which he was employed.
According to the information available to my Department, the Employment Appeals Tribunal made an award in favour of the person concerned against a company which is in liquidation but the liquidator of that company claims that the person was not employed by it at the date of termination of his employment but by another subsidiary company. I understand that the subsidiary company is not in liquidation or receivership.
It is a matter for the employer in the first instance to pay a minimum notice award determined by the Employment Appeals Tribunal in favour of an employee but if the employer fails to pay because of insolvency, application can be made to my Department for payment from the redundancy and employers' insolvency fund under the terms of the Protection of Employees (Employers' Insolvency) Act, 1984. Such applications must in the case of employees of an insolvent company be submitted to my Department through the liquidator or receiver as appropriate of that company.
My Department has not received a formal application under the 1984 Act for payment of the minimum notice award in this case but it has nonetheless been endeavouring to assist the parties concerned in resolving the difficulty which has arisen. If it transpires that the employer of the person concerned was the subsidiary company and the company is insolvent, it would be open to the employee concerned to seek to have the employer's name in the tribunal award amended and to submit a formal application for payment under the 1984 Act through the liquidator or receiver of the company. If, however, the subsidiary company is not insolvent, it would not be possible to pay the award from the redundancy and employers' insolvency fund and the matter would have to be pursued through the courts.