Redundancy Payments

Dáil Éireann Debate, Wednesday - 19 October 2011

Wednesday, 19 October 2011

Questions (58)

Clare Daly

Question:

57 Deputy Clare Daly asked the Minister for Social Protection if there is a requirement for employees to obtain a liquidator’s stamp on their EIP 1 forms when claiming redundancy payments from her in scenarios in which the erstwhile company is utterly insolvent and unable to pay redundancy; if this is the case, how employees in these scenarios have their redundancies processed by her under the Protection of Employees (Employers’ Insolvency) Acts 1984-2004 when no liquidator has been appointed. [30215/11]

Written answers

Minister for Social Protection (Deputy Joan Burton)

Claims under the Insolvency Payments Scheme may be processed if the company is insolvent within the definition of the Protection of Employees (Employers' Insolvency) Act 1984 and a "relevant officer" — normally, a receiver or liquidator — has been appointed and certifies the claims. It is usually the case that the liquidator collates all employee claims and submits them on behalf of the employees. From October, all such claims are being submitted online to my Department.

In the case referred to, it appears unlikely that a liquidator will be appointed based on the information provided to date. The Department is currently examining this situation and has been in direct contact with the individual concerned, to assess the available options.