My Department administers the Social Insurance Fund (SIF) in relation to redundancy matters on behalf of the Department of Social and Family Affairs. There are two types of redundancy payment made from the SIF — rebates to those employers who have paid statutory redundancy to eligible employees, and statutory lump sums to employees whose employers are insolvent and/or in receivership/liquidation.
I can confirm that my Department has received four statutory lump sum claims in respect of former employees of the company concerned over the period July 2009 to February, 2010 claiming inability to pay on behalf of the employer.
I understand that all outstanding queries raised with the employer in relation to the claims have now been resolved and that payment is expected to issue in relation to three of the four claims over the next one to two weeks. Payment of the claim in respect of one individual not due to terminate employment until towards the end of March cannot be processed at this point but will be paid out after the date of termination of employment.
In relation to the Insolvency Payments Scheme which is operated under the Protection of Employees (Employers' Insolvency) Act, 1984 and administered by my Department, this provides for the payment of certain wage-related entitlements where an employee's employment is terminated as a result of the employer's insolvency. These entitlements include arrears of wages, sick pay, holiday pay, minimum notice, etc. However, claims under the Scheme can only be processed if a company is formally insolvent within the definition of the Act and a "relevant officer" — normally a receiver or liquidator — has been appointed and certifies the claims. To date, my Department has not received any claims under the Scheme from the company in question but, as the Deputy has pointed out, given that the company is neither in liquidation or receivership, claims under the Scheme could not be processed.
Where a company has made employees redundant and has not paid them their outstanding Holiday Pay and Minimum Notice, the employee may refer a complaint against that company to a Rights Commissioner under the Payment of Wages Act 1991, the Organisation of Working Time Act 1997 and the Minimum Notice and Terms of Employment Act 1973.
A complaint to the Rights Commissioner Service may be made by giving them notice of it in writing on the appropriate form. The form is available from the Rights Commissioner Service or from Information Services in the National Employment Rights Authority (NERA). Such a complaint must be made within a period of 6 months beginning on the date of the contravention to which the complaint relates. If the Rights Commissioner is satisfied that there are exceptional circumstances s/he may decide to extend the period for up to a further 6 months.
The employees also have a right of appeal to the Employment Appeals Tribunal.