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Thursday, 3 Oct 2013

Written Answers Nos. 122-132

Heritage Sites Issues

Questions (122)

Patrick O'Donovan

Question:

122. Deputy Patrick O'Donovan asked the Minister for Public Expenditure and Reform the visitor numbers to Office of Public Works sites in Askeaton, Adare, Kilmallock during the years 2011, 2012, and to date in 2013; and if he will make a statement on the matter. [41705/13]

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Written answers

The Office of Public Works is responsible for the conservation, maintenance and management of approximately 780 heritage sites and provides a guide service at 70 of these sites. Askeaton and Killmallock are among those OPW sites that do not have a guided presence and, consequently, visitor numbers are not recorded at these sites. Access to Adare Castle is managed on behalf of the OPW by the Adare Heritage Centre located at Main Street, Adare. Visitor Numbers to Adare Castle were 3,360 in 2011, 2,485 in 2012 and 3,353 in 2013.

Redundancy Payments

Questions (123, 125)

Willie O'Dea

Question:

123. Deputy Willie O'Dea asked the Minister for Jobs, Enterprise and Innovation if his attention has been drawn to the current industrial dispute at a company (details suplied) in Limerick city; if he is concerned at the company's possible reneging on an agreement to pay its staff a redundancy package of five weeks per year of service and is now proposing to pay 2.75 weeks per year of service; and if he will make a statement on the matter. [41570/13]

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Willie O'Dea

Question:

125. Deputy Willie O'Dea asked the Minister for Jobs, Enterprise and Innovation if his attention has been drawn to the current industrial dispute at a company (details supplied) in County Limerick; if he is concerned at the company's possible reneging on an agreement to pay its staff a redundancy package of five weeks per year of service and now proposing to pay 2.75 weeks per year of service; if he is willing to investigate directly in this dispute; and if he will make a statement on the matter. [41608/13]

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Written answers

I propose to take Questions Nos. 123 and 125 together.

I understand that the dispute revolves around redundancy terms offered to 10 staff that were based in the Cruises St branch which closed down recently and that similar terms are being offered to staff based in the Childers Rd branch which is to undergo restructuring. It is also my understanding that talks aimed at resolving the dispute have been scheduled since the start of this week and I welcome this development. Ireland’s system of industrial relations is voluntary in nature and responsibility for the resolution of industrial relations issues lies ultimately with employers and workers and their respective representatives as appropriate.

The State provides industrial relations mechanisms to assist parties in their efforts to resolve any differences they may have. I would urge the parties involved in this dispute to have regard to the availability of the industrial relations dispute resolution bodies to assist them in seeking a settlement and in addressing the underlying challenge of a major restructuring of the company. Experience constantly shows us that what often appears to be the most intractable of matters is capable of resolution where both sides engage constructively and in good faith in this voluntary process. The principle of good faith implies that both sides make every effort to reach an agreement and endeavour, through genuine and constructive negotiations, to resolve their differences.

Economic Competitiveness

Questions (124)

Bernard Durkan

Question:

124. Deputy Bernard J. Durkan asked the Minister for Jobs, Enterprise and Innovation the extent to which the costs affecting business here continue to threaten any aspect of economic recovery; and if he will make a statement on the matter. [41773/13]

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Written answers

Minimising business costs, improving competitiveness and increasing productivity are all key ingredients which will support economic recovery. The Forfas report “Costs of Doing Business in Ireland 2012” published earlier this year, examined costs of doing business here and identified the relative importance of different areas of cost for different business sectors. The report indicates that business costs in Ireland have reduced significantly in recent years, with overall price levels in the economy falling back to levels last experienced in 2002. The improvement in business cost competitiveness has been driven by significant reductions in property related costs (in terms of purchase and rent levels) and falling prices across a range of professional and business services. There have also been relative improvements in labour costs in Ireland which fell on average by 0.9% per annum in the period 2008-2011, while labour costs increased in the euro area by 4.6% per annum on average in the same period. However, while these improvements are very welcome and indicate that the economy is moving in the right direction, we must continue to focus on actions to promote further cost reductions across the economy. The Forfas report makes a number of recommendations aimed at further improving our cost competitiveness position in relation to labour, property, transport, utility and professional services costs.

Part of the objective of the Action Plan for Jobs has been the development of proposals each year that can improve our competitiveness. The 2013 Action Plan includes a number of specific actions in this regard which address some of the areas highlighted in the Forfas report. The implementation of these Action Plan measures, combined with the Government’s broader agenda to enhance productivity, will play a key role in improving our competitiveness and realising our ambition of making Ireland the best small country in which to do business.

Question No. 125 answered with Question No. 123.

Pension Provisions

Questions (126)

Joe Carey

Question:

126. Deputy Joe Carey asked the Minister for Jobs, Enterprise and Innovation his plans for both employers and employees to deal with the ending of the transition pension from January 2014; the way they pertain to those leaving employment during 2014; and if he will make a statement on the matter. [41651/13]

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Written answers

The Department of Social Protection, which has lead responsibility for the State pension and pension age policy, is chairing an inter-Departmental Group on Working and Retirement issues, on which my Department is represented. That Department organised and chaired a Working and Retirement Forum in Croke Park last December, at which a range of stakeholder groups, including employer and employee representative organisations, discussed issues around the ending of the State Pension (Transition) from January 2014. The Group is currently considering the issues highlighted at the Croke Park Forum and is preparing preliminary proposals in this regard.

Statutory law permits private sector workers to work past the age of 65, as there is no statutory retirement age for such employees in Ireland. However, a contract of employment may contain a retirement age. The existence of a clause in the employment contract setting out a maximum retirement age is a matter of contract between the employer and employee. As matters currently stand for those employees who are obliged by their contract of employment to retire at 65 years but will not receive the State pension until 66 years, the Department of Social Protection has indicated that, in terms of financial supports, social welfare benefits will continue to be available to the age of 66 for those who are contractually obliged to leave employment. Also, existing legislation provides that jobseekers whose benefit expires in their 65th year will continue to be paid benefit up until the age of 66, subject to the person having paid 156 or more qualifying contributions and satisfying the general scheme conditions.

The Employment Equality Acts 1998 to 2011, which aim to protect against discrimination in relation to access to employment on a number of grounds including age and give effect in national law to the EU Directive 2000/78/EC, come within the remit of my colleague the Minister for Justice, Mr Alan Shatter T.D. The Court of Justice of the European Union (CJEU) has made rulings in a series of age-discrimination cases concerning Directive 2000/78/EC which prohibit discrimination in employment and occupation on various grounds, including age. The CJEU has clarified that, under Directive 2000/78/EC, mandatory retirement ages may be set down if, within the context of national law, they are objectively and reasonably justified by a legitimate social policy aim.

Tax Code

Questions (127)

David Stanton

Question:

127. Deputy David Stanton asked the Minister for Jobs, Enterprise and Innovation if he has considered correspondence relating to tax compliance, small contractors and multinationals (details supplied); and if he will make a statement on the matter. [41683/13]

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Written answers

The Revenue Commissioners are conducting a project with a focus on the level of expenses claimed by contractors providing services to third parties. Where expenses have been over-claimed by contractors, this may trigger additional Income Tax, Universal Social Charge and PRSI liabilities. The issue of whether contractors have been over-claiming expenses is under the care and management of the Revenue Commissioners. The issue of whether a contractor is insured under the PRSI system as an employee or as a self-employed individual is a matter for the Department of Social Protection.

Redundancy Payments

Questions (128)

Jack Wall

Question:

128. Deputy Jack Wall asked the Minister for Jobs, Enterprise and Innovation if a person who has worked two days per week part time, for the past ten years has an entitlement to redundancy in any form including statutory; and if he will make a statement on the matter. [41698/13]

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Written answers

There is no minimum weekly working hours requirement in order to qualify for many statutory employment rights including the right to redundancy. The processing and payment of claims in respect of redundancy are within the remit of the Department of Social Protection and such claims should be made to: Redundancy Payments section, Department of Social Protection, Block C, Earlsfort Centre, Lower Hatch St., Dublin 2.

Foreign Direct Investment

Questions (129)

Michael Healy-Rae

Question:

129. Deputy Michael Healy-Rae asked the Minister for Jobs, Enterprise and Innovation the reason the Industrial Development Agency continues to ignore County Kerry when it comes to encouraging foreign investors to set up business here; and if he will make a statement on the matter. [41704/13]

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Written answers

In relation to the attraction of foreign direct investment (FDI) to County Kerry, IDA Ireland has indicated that the challenge it faces is to continue to win top quality investment for Ireland in a very challenging global environment. Leading global corporations require a significant population pool, access to qualified talent, world class physical and digital infrastructure as well as the availability of sophisticated professional and business support services. IDA Ireland, however tries to influence these choices by prioritising the marketing of Gateway locations within each Region as the locations of critical mass with sufficient scale of population, skills, infrastructure, companies, business services, etc. and highlights the opportunities provided by Hub locations which are within commuting distances of these Gateways. With continuing enhancement and improvements in physical and digital infrastructure, an FDI project secured for one Gateway can have a positive impact on other Gateways and their surrounding areas. It must be acknowledged, that the decision on where a client company will locate a new FDI investment is ultimately made by senior managers of the companies involved.

A number of locations outside of Dublin and the main urban centres already facilitate the presence of a large number of multinational companies who have invested over the years, span multiple sectors and employ significant amounts of people. The primary opportunity for attracting FDI to such regional locations lies with existing clients and the potential further investment opportunities from this base as approximately 70% of all FDI investments won by IDA is from the existing client base. At the end of 2012 there were 12 IDA Ireland supported companies in Kerry employing 1,600 people.

I am determined to ensure that Ireland can continue to compete globally for foreign direct investment. In winning such investments, I am, however, mindful of the need to address the concerns that have been expressed to me by Deputies on all sides of the House about the relatively low level of site visits to certain regional locations. I have, accordingly, requested IDA Ireland and Enterprise Ireland to work with my Department so that we can explore what further initiatives we can take to ensure we have a better approach to enterprise development in regional locations. This exercise will complement the in-depth analysis of our FDI strategy which is currently being undertaken. This analysis, will take account of factors such as key trends emerging in FDI best practice internationally, Ireland’s strengths in attracting FDI, the changes to the EU’s State Aid rules that will be introduced in 2014 and our approach to regional development will inform the formulation of an appropriate FDI strategy for the period post 2014.

Retirement Issues

Questions (130, 131, 132)

Willie O'Dea

Question:

130. Deputy Willie O'Dea asked the Minister for Social Protection if she will provide in tabular form, the number of persons affected by statutory retirement in the private sector, in each of the past five years; and if she will make a statement on the matter. [41567/13]

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Willie O'Dea

Question:

131. Deputy Willie O'Dea asked the Minister for Social Protection if she will provide in tabular form the number of persons who have received retirement planning services in each of the past five years; her views on whether retirement planning is beneficial; if she would like to see the number of persons planning retirement improving; her plans to achieve same; and if she will make a statement on the matter. [41568/13]

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Willie O'Dea

Question:

132. Deputy Willie O'Dea asked the Minister for Social Protection the support and or assistance her Department provides to both employers and employees, in both the public and private sector, who are approaching retirement; and if she will make a statement on the matter. [41569/13]

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Written answers

I propose to take Questions Nos. 130 to 132, inclusive, together.

It should be noted that there is no statutory compulsory retirement age for employees in Ireland. Responsibility for setting retirement age is a matter for the employer/employee relationship and the contract of employment. It should also be noted that individuals who are awarded a State pension contributory at age 66 can continue to work, whereas one of the qualifying conditions of State pension transition requires the person to be retired from work. The numbers in receipt of State pensions has been increasing significantly in line with demographic projections. This can be seen in the number of people qualifying for State pensions over the last five years as set out in the following table:

No of recipients

2008

2009

2010

2011

2012

State Pension Transition

7,242

8,378

10,206

12,110

14,372

State Pensions Contributory

250,117

265,102

280,419

296,995

312,332

In relation to supports for employers and employees in the private and public sector, my Department’s website www.welfare.ie, provides comprehensive information on all the Department’s schemes and services as well as a range of online services which include online claiming for State pension contributory, household benefits, child benefit, jobseeker’s payments, widow(er)’s and surviving civil partner’s contributory pension and redundancy payments and insolvency payments.

The objective is to enable people to access services at a time and place that best suits their needs. The use of online application forms reduces the administrative burden for the customer and facilitates efficient processing of claims by the Department. Furthermore, my Department operates a network of some 125 social welfare local and branch offices throughout the country. Each local office has dedicated information officers providing information on all the Department’s schemes and services and who are available to assist with the completion of application forms where required.

The nationwide network of over 200 Citizens Information Centres also offers a drop-in service where callers can meet information providers face-to-face. Staff in these centres offer information, advice and advocacy to individuals on a wide range of public and social services, including the Social Welfare Appeals process. I am satisfied that assistance and support is available to customers in advance of retirement, and indeed at all times, through my Department’s offices and through the Citizens Information Centres. This enables them to access my Departments schemes and services in a timely and effective manner that best meets their needs.

The number of those retired from the public sector is a matter for the Minister for Public Service and Reform and I understand the Minister is responding directly to the Deputy in this regard. In relation to my own Department, the number of staff who have retired and the number who availed of pre-retirement courses over the past five years is shown in the following table.

Year

No. retired

No of attendees at retirement course

2009

252

91

2010

95

34

2011

111

163

2012

292

66

2013

73

26 (to date)

In terms of support for staff retiring from my own Department, all staff within the Department who are nearing retirement are offered a three day pre-retirement training course for themselves and their spouses/partners, currently provided by the Department of Public Expenditure and Reform. In addition, estimates of retirement benefits are made available to staff on request. The training course deals with areas such as finance, pensions, legal matters, lifestyle, health, diet and other related topics which are presented by subject matter experts. The aim of the course is to provide assistance and specialised information to the retiree during this time of great change in their lives and help assist them to prepare for an active and enjoyable retirement.

Although not all staff avail of the option, the feedback received from those who do is very positive as it enables them to obtain important information, share ideas with other attendees and gives them a positive step in preparation for retirement. I am satisfied that any staff planning for retirement are offered the opportunity to avail of this service and that will continue to be the case.

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