Dáil Éireann debate -
Tuesday, 5 Nov 2002

Vol. 556 No. 3

Written Answers. - Redundancy Payments.

Thomas P. Broughan

Question:

106 Mr. Broughan asked the Tánaiste and Minister for Enterprise, Trade and Employment the steps she intends to take to update and reform the redundancy payments legislation in view of the failure of the Redundancy Review Group to reach agreement on most of the key points; if her attention has been drawn to the comments made by the outgoing general secretary of SIPTU that it may not be possible to negotiate another national agreement in the absence of action in this area; and if she will make a statement on the matter. [20349/02]

Minister of State at the Department of Enterprise, Trade and Employment (Mr. Fahey)

The report of the redundancy review group was published by me on 22 October. I am pleased that the review group, which included representatives of employers, workers and Government Departments, reached agreement on a wide range of policy and administrative issues. In particular, the group reached agreement on the treatment of older workers, insurability requirements, ceilings on wages, qualification periods, determination of weekly pay, non-reckonable service, employees working abroad, fines and penalties and the link between redundancy and training. Administrative issues that were agreed include the rounding of years of service, forms used in the administration of the scheme and the need for a new computer system. The Government has agreed to proceed with the implementation of these changes and my Department will prepare the necessary legislation to give effect to the policy changes. We will also plan for the introduction of a new IT system, which will include an e-government capability. This will, I believe, greatly improve the efficiency and level of service offered by the scheme.

Certain items were not agreed by the redundancy review group. These include the level of the redundancy ceiling, differentiation between those under and over 41 years, multiple of weekly pay, size of rebate to the employer and the provision of an enhanced statutory amount where employers fail or are unable to make statutory payments. However, the work of the group has clarified the costs involved in these items. The post-PPF negotiations which have commenced recently will benefit from the group's work in this regard and will be well informed regarding these costs. I am aware of SIPTU's position on the outstanding issues relating to statutory redundancy, but I am sure that all parties to the post-PPF negotiations will make every effort to reach agreement in this and other areas.

Question No. 107 answered with Question No. 71.

Question No. 108 answered with Question No. 94.