Employment Rights

Dáil Éireann Debate, Thursday - 14 July 2011

Thursday, 14 July 2011

Questions (119)

Joanna Tuffy

Question:

117 Deputy Joanna Tuffy asked the Minister for Public Expenditure and Reform the position regarding plans by him to bring about an increase in inspections by the National Employment Rights Authority in respect of compliance by contractors employing workers to carry out publicly funded building projects, it being vital that if State money is paid to such contractors that the contractors should be fully compliant in respect of their obligations and that sufficient oversight is exercised in regard of their obligations and sufficient oversight is exercised in that regard on behalf of the State; and if he will make a statement on the matter. [20532/11]

Written answers

Minister for Public Expenditure and Reform (Deputy Brendan Howlin)

The National Employment Rights Authority which has responsibility for monitoring employment conditions through its inspection services and which can enforce employment rights compliance and seek redress — comes under the aegis of my colleague the Minister for Jobs, Enterprise and Innovation. If anyone is aware of specific instances where firms may not be complying with relevant statutory pay and conditions of employment, the matter can be referred to NERA for investigation.

Under the Public Works Contracts there are provisions which impose an obligation on Contractors and their sub-contractors to comply with the legal requirements in relation to the pay and conditions of all employees working on a public sector project. Main contractors are required to provide a certificate of compliance (titled ‘Rates of Pay and Conditions of Employment Certificate') with each interim statement submitted (normally on a monthly basis). Failure to provide this compliance certificate will result in payment not being made by the contracting authority. If a main contractor provides a certificate of compliance and it is subsequently found to be untrue or partly untrue the contracting authority has the right to deduct the money relating to the work or part of the work covered by the certificate from any sums due to the main contractor. This money can be withheld until the pay and conditions of employment issue is made right. The ultimate sanction if a main contractor continues to be non-compliant is for the main contract to be terminated.

Also under a Public Works Contract a contracting authority has the right, whenever it is deemed necessary, to access data and records on pay and conditions for work persons employed on the site. In the case of capital works projects in excess of €30 million and with a contract duration in excess of 18 months, contracting authorities provide in their contracts for random checks of the records of contractors and sub-contractors to assess compliance with the requirements of the Registered Employment Agreement, as appropriate.