Dáil Éireann Debate, Tuesday - 5 December 2023
216. Deputy Alan Dillon asked the Minister for Enterprise, Trade and Employment if he was informed that a business (details supplied) has withdrawn its services in Galway and Mayo, leaving employees without any statutory redundancy; and if he will make a statement on the matter. [53299/23]
View answerIreland has a robust suite of employment rights legislation to protect and support workers who are facing redundancy. Employers must comply with a number of legal obligations when proposing redundancies, particularly when it is a collective redundancy situation.
The Protection of Employment Act 1977 defines a collective redundancy as where, during any period of 30 consecutive days, the employees being made redundant are:
• 5 employees where 21-49 are employed,
• 10 employees where 50-99 are employed,
• 10% of the employees where 100-299 are employed,
• 30 employees where 300 or more are employed.
Employers must notify the Minister for Enterprise, Trade and Employment of the proposals at least 30 days before the first dismissal takes place. Employers must also comply with the requirement to consult and provide information to employees and their representatives for a 30-day period before any notice of redundancy can issue.
My Department has not received a collective redundancy notification in relation to potential redundancies at the company in question. However, it is important to note that redundancies which occur outside of the parameters set out above are not required to be notified to the Minister.
By law, it is the responsibility of the employer in the first instance to pay statutory redundancy to eligible employees. If an employer is genuinely unable to pay redundancy due to financial difficulties or insolvency, the State provides a safety net and may make the statutory redundancy payments on the employer’s behalf from the Social Insurance Fund through the Redundancy Payments Scheme. The scheme is administered by the Department of Social Protection.
The Workplace Relations Commission (WRC) is the organisation which is mandated to secure compliance with employment rights legislation. Employees have the right to refer complaints to the WRC on a wide range of employment law breaches for an adjudication and compensation where appropriate. This includes the right to make a complaint if an employer fails to consult with employees or their representatives in collective redundancy situations, and in situations where an employer refuses or fails to pay statutory redundancy.
