Written Answers Nos. 98-105
98. Deputy Bernard J. Durkan asked the Minister for Public Expenditure and Reform the extent to which State assets have been disposed of to date in order to address the budgetary situation; if sufficient funds have been raised from such disposals and with a view to ensuring that decisions taken are in line with the best interests of the country as opposed to enforced sale; and if he will make a statement on the matter. [3171/14]
View answerNone of the receipts from the sale of State assets either completed or currently under way were required to meet our debt reduction targets to-date, including for 2014. Rather, the Government intends that the funds released from these asset disposals are to be used in the short term, in one form or another, to support job creating initiatives in the economy. Of course, some of these funds will be available, ultimately, to pay down debt.
I have factored a total of €110m into the Estimates for 2014 in respect of projects supported from the proceeds of State asset disposals and I am confident that sufficient funds are being generated from disposals to meet these costs: the ESB's sale in November of its 50% shareholding in Marchwood Power Limited in the UK achieved a price which was in excess of expectations and which should realise over €140 million in dividends for the Exchequer in 2014. In December, a preferred bidder was agreed for Bord Gáis Energy on the basis of an enterprise value of up to €1.12bn for the company. In addition, ESB is in the process of selling other assets. Additional elements of the Stimulus Plan will be rolled out as the various asset sale transactions are completed and the proceeds are realised.
In preparing the assets disposal programme, the Government has been careful to ensure that disposals are undertaken in the best interests of the country. In particular, the position of strategic infrastructure such as the electricity and gas networks has been safeguarded, and the House will note that such assets do not form part of the disposal programme.
99. Deputy Seán Ó Fearghaíl asked the Minister for Public Expenditure and Reform the number of semi-State companies under the remit of his Department that paid bonuses to employees in 2011, 2012 and 2013; if he will identify these semi-State companies; the number of employees and the level of bonuses paid; his views on the situation; and if he will make a statement on the matter. [3175/14]
View answerIn response to the Deputy's questions I can confirm that there are no Semi-State organisations under the aegis of my Department.
100. Deputy Patrick Nulty asked the Minister for Jobs, Enterprise and Innovation if the Consumers Association of Ireland has made an application for funding for 2013 or 2014; if his Department has evaluated this application; and if he will make a statement on the matter. [2994/14]
View answerThe Consumer Association of Ireland made an application to my Department for funding in 2013. Their application was evaluated, approved and paid in December 2013. No application for funding for 2014 has been received from the organisation to date.
101. Deputy John Paul Phelan asked the Minister for Jobs, Enterprise and Innovation if the new competition Bill will contain a provision requiring the large multiple retailers who operate in different jurisdictions to publish annually their profits from Ireland; and if he will make a statement on the matter. [3020/14]
View answerIt is important to note that the contents of the financial statements of companies are governed by relevant EU Company Law Directives and Regulations and by the applicable accounting standards. There are no plans to amend this disclosure regime in relation to specific sectors in the economy, as this would be open to accusations of discrimination and, were it to be required generally in the economy, it could have implications in terms of business costs and attracting foreign direct investment to Ireland.
102. Deputy Ciara Conway asked the Minister for Jobs, Enterprise and Innovation his views on zero hour contracts; if he will commit to ending same; and if he will make a statement on the matter. [3086/14]
View answerZero hour contracts are covered by contract law. A zero hour contract must be entered into freely between the employer and the employee – it cannot be forced upon an employee. Zero hour contracts are normally found in sectors such as retail, healthcare and hospitality. I am very conscious that in certain circumstances, they may be of great benefit to both employers and employees. They allow greater flexibility for both, reducing the employer’s pay costs, while workers can decide when and if they want to work. Such contracts may be preferred by employees who require flexibility to facilitate educational or other personal requirements and banning such contracts could do a disservice to these workers. However this is an area I will keep under review.
It is important to note that Section 18 of the Organisation of Working Time Act 1997 contains a protection for employees who are employed on zero hour contracts. The zero hour protection applies to all employees whose contract operates to require them to be available whether they work on a casual basis or not. This feature of the Organisation of Working Time Act covers situations where, for example, an employee is sent home if things are quiet or is requested to be available for work and is not, on the day, asked to work. Where an employee suffers a loss by not working hours he/she was requested to work or be available to work, the zero hours provisions of the Act ensure that he/she is compensated for 25% of the time which he/she is required to be available or 15 hours whichever is the lesser. The level of compensation may be impacted if the employee got some work. Claims of breaches of section 18 may be referred to a rights commissioner.
An expectation of work does not, however, entitle an employee to compensation. The zero hours provision does not apply to lay-offs, short-time, emergency or exceptional circumstances, employee illness, employee on-call or where the employee is paid wages for making him/herself available for work.
Sections 17 and 19 of the Organisation of Working Time Act may also be of particular interest to employees on zero hour contracts. Section 17 sets out the requirements regarding notification to the employee of the times at which he/she will be required to work during the week. Generally, an employee is entitled to 24 hours’ notice of his/her roster for the week, although section 17(4) allows for changes as a result of unforeseen circumstances.
Section 19 sets out an employee’s entitlement to paid annual leave equal to 4 working weeks in a leave year in which he or she works at least 1,365 hours (unless it is a leave year in which he or she changes employment) or one-third of a working week for each month in the leave year in which he or she works at least 117 hours or 8 per cent of the hours he or she works in a leave year (but subject to a maximum of 4 working weeks).
103. Deputy Dara Calleary asked the Minister for Jobs, Enterprise and Innovation if he will provide in tabular form the number of prosecutions for failure to comply with minimum wage legislation in each year from 2008 to 2013; and if he will make a statement on the matter. [3152/14]
View answerThe National Employment Rights Authority (NERA) carries out inspections of employer records with a view to determining compliance with employment rights legislations. These inspections arise
- In response to complaints received of alleged non-compliance with relevant employment rights legislation;
- As part of NERA inspections focusing on compliance in sectors where there is an identifiable risk of non-compliance and,
- As routine inspections, which act as a control measure.
Ireland’s body of employment rights legislation protects all persons legally employed in Ireland on an employer-employee basis. These protections relate to the statutory minimum rates of pay and conditions. A person who is working under a contract of employment on a full-time or part-time basis has the same protection under law as all other workers.
NERA aims to achieve voluntary compliance with employment law through the provision of education and awareness, inspection of employers’ employment records and enforcement where necessary. While every effort is made to secure compliance, some employers either refuse or fail to rectify the breaches identified and/or pay money due to their employees. These employers are referred for prosecution.
The table below contains details of the number of NERA inspections concluded on an annual basis between 2008 and 2013. Details are also provided of the number of convictions obtained each year in respect of failure to comply with minimum wage legislation.
The reduction in the number of prosecutions concluded in 2012 and 2013 is also influenced by the respective decisions of the High Court regarding certain provision of the Industrial Relations Acts of 1946 and 1990 governing the making of EROs, and the Supreme Court relating to REAs where Part III of the Industrial Relations Act 1946 was held to be invalid having regard to Article 15.2.1 of the Constitution.
|
Year |
2008 |
2009 |
2010 |
2011 |
2012 |
2013 |
|
No. of Inspections concluded |
* |
8859 |
7164 |
5591 |
4689 |
5546 |
|
**No. of convictions |
4 |
13 |
28 |
20 |
11 |
9 |
*Comparable figures are not readily available
**Convictions are achieved in almost all cases that go to hearing.
104. Deputy Sean Fleming asked the Minister for Jobs, Enterprise and Innovation his views on whether all senior appointments to taxpayer funded positions in the public service under the remit of his Department, including appointments to State boards, should be publicly advertised; and if he will make a statement on the matter. [3199/14]
View answerIn so far as my Department is concerned, all appointments to permanent and pensionable positions should be publicly advertised and subject to open and transparent recruitment mechanisms and that these principles apply to all such permanent and pensionable positions in my Department and its Agencies.
In the case of appointment to positions on State Boards in particular, my priority is to ensure that the boards of agencies within my Department’s remit are composed of individuals with an appropriate level of expertise that allows them make a positive and effective contribution to the work of the agency they serve. To this end, I recently conducted a process in conjunction with the Public Appointments Service in which I invited expressions of interest from members of the public who wish to serve in a position on the boards of agencies within my Department’s remit. I am currently in the process of considering these expressions of interest in terms of their suitability for current and future board vacancies.
105. Deputy Lucinda Creighton asked the Minister for Jobs, Enterprise and Innovation the total amount of outsourcing that has been achieved, in his Department, since a letter was sent by the Secretary General of the Department of Public Expenditure and Reform in March 2012; the names of the outsourcing companies that have been involved; the total savings achieved; and if he will make a statement on the matter. [3303/14]
View answerNo additional outsourcing has been undertaken by my Department since March 2012. The following tables detail the total amount of existing contracts that have been in operation on behalf of my Department and its Offices since 5th March 2012:
Table 1: Outsourced Services for Department of Jobs Enterprise and Innovation
|
Service outsourced |
Name of outsourcing company |
Estimated Savings achieved from Outsourcing Function |
|
Data Tagging some 24,800 determinations/decisions of the Workplace Relations Bodies, for publication on the new Workplace Relations Website. |
Sentry Consulting Ltd. and T/A Datascan |
It was decided to outsource the project to ensure the timely completion of the work in order to facilitate the launch of the new website and, a saving of €3,324.67 was made, in comparison to the estimated cost of the project being completed in-house. |
|
ICT System Supports |
Blue Wave Technology, Core Internarional, Core International, Ergo Services, Fujitsu, Microsoft Ireland, Sabeo Technologies, System Dynamics, Version 1, Zinopy Security Limited, Sword SA, Advance Systems ((RL), Capita 1B Solution, Client Solutions, Integrity Solutions, IP Options' Maule Systems, Maxima Ireland, MJ Flood, Plannet21 Communications, Qualcom Systems Ltd., Quest Computing, Sureskills, (other companies providing minor services) |
Savings not quantifiable. Because of the complexity and diversity of systems supported, in-house skills are not available. These services have been outsourced for a considerable period. |
|
Hosting Services |
Local Government Management Agency |
Savings not quantifiable; service has been outsourced for some time. |
|
ICT Helpdesk Services |
BT Communications Ireland, Hibernia Services |
Savings not quantifiable; service has been outsourced for some time. |
|
ICT Security Support Services |
Rits, Ward Solutions |
Savings not quantifiable. In-house skills and resources not available. These services have been outsourced for a considerable period. |
|
Media monitoring services |
Media World Ltd. |
Savings not quantifiable. These services have been outsourced for a considerable period. |
|
Outsourced payroll services |
Enterprise Ireland |
Savings not quantifiable; service has been outsourced for some time. |
|
Specialised ICT Training |
New Horizons Olas Software |
Savings not quantifiable. In-house skills not available. |
|
Website design & development supports |
Arekibo Communications, Stratathree Limited, pTOOLS Software |
Savings not quantifiable. In-house skills not available. |
|
Telephony Services |
Eircom Ltd |
This contract is primarily based on call volume and customer service considerations, and not on grounds of financial savings. |
In relation to ICT outsourcing, it is not possible to quantify the levels of savings over in house activity, as the complexity and diversity of systems supported would not permit an in house delivery of many of these services. Consequently, these services have been outsourced for a considerable period of time.
Table 2: Outsourced services for the Companies Registration Office (CRO)
|
Service outsourced |
Name of outsourcing company |
Estimated Savings achieved from Outsourcing Function |
|
Data Entry |
RR Donnelley Global Document Solutions Ltd |
CRO has estimated it would take several clerical officers working full-time to key up the paper annual returns it receives each year. Salaries and pension liabilities would exceed the contract price. |
|
Printing and Postage |
DC Kavanagh Ltd |
Again, several clerical officers would be required to print, fold, pack envelopes and frank the thousands of letters issued by CRO. Outsourcing is less expensive than direct staff overheads for this activity. |
|
File Storage |
Kefron/ Filestores |
The CRO occupies premium city centre office space in Dublin 1 as it serves as a public office for presenters. Usage of this premium space for large-scale file storage would not be economical and file storage specialists located in business parks on the fringes of the city can offer more favourable rates. |
|
Cleaning |
Derrycourt Ltd |
Direct staffing in salaries and pension liabilities would be more expensive in this case. |
|
System Development |
ERS Ireland Ltd |
The valuable expertise we procure through this contract could not be derived in-house. The system developers engaged are registry experts with contracts across Europe, Asia and North America. |
|
Courier service from Carlow to Dublin |
28 Transport |
Direct staffing in salaries and pension liabilities would be more expensive in this case. |
|
Cash in transit |
CP Omada/Senaca CMS |
Cash must be transported by secure licensed providers and therefore this function must be outsourced. |
Table 3: Outsourced services for Office of the Director of Corporate Enforcement (ODCE)
|
Service outsourced |
Name of outsourcing company |
Estimated Savings achieved from Outsourcing Function |
|
Static Security Services |
Senaca Group |
This service has always been outsourced as there is no Civil Service grade to provide for 24-hour security for the building. |
|
Cleaning within premises |
EcoGroup Services |
ODCE responsible for 44% as the Office occupies 44% of the building. (new contract February 2014 AFM Ireland Ltd.). Direct staffing in salaries insurance and pension liabilities would be more expensive than outsourcing. |
|
Waste Removal |
Greenstar |
ODCE responsible for 44% as the Office occupies 44% of the building. Savings not quantifiable. |
|
Confidential Shredding/Recycling within premises |
Pulp |
ODCE responsible for 44% as the Office occupies 44% of the building. Savings not quantifiable. |
|
Design for publications |
Artefact, Clever Cat, Tanika Design Ltd |
Savings not quantifiable as the skills are not available in-house. |
|
Legal Services various solicitors, various summons servers |
Various barristers, Rochford Brady Law Searchers |
Barristers have reduced fees by 8% as requested. Savings on Law Search service not quantifiable but outsourcing leaves in-house solicitors free to perform work of higher value for the Office. |
|
IT Support |
DJEI, CRO, Sureskills Ltd, Arekibo, Inventise, Espion |
Savings not quantifiable. No in-house skills available. |
|
File Storage |
Superior Storage t/a DFS |
Savings not quantifiable. Offsite storage is more economical than using city centre space for filing paper. |
|
Legal Costs Accounting |
Cyril O'Neill LCA, Peter Fitzpatrick LCA |
Direct savings not quantifiable. However use of this service has reduced the Office’s liability for costs in certain cases. No in-house skills available. |
|
Translations Services |
DCULS, Wordperfect Translation, Focal Factory, Eurotext Translations |
Outsourcing has enabled the Office to fulfil its obligations under the Official Languages Act without impacting other functions. Savings not quantifiable but these services are not outsourced for smaller texts which are done in-house. |
|
Staff Training |
ACCA, CAI, Central Law Training, Garda College Templemore, Innovative Learning Solutions, Public Affairs Ireland, Law Society Professional Training, OMT Consultancy Ltd., The Company Shop Ltd., Honourable Society of King's Inn, Blue Wave Technology, Dublin Solicitors Bar Association, Law Society of Ireland, Trinity College Dublin, Phoenix Safety Services Ltd. |
Savings not quantifiable. A minimum amount of Continuous Professional Development is required for professional staff. |
|
Accountancy Consultancy |
PriceWaterhouseCoopers |
While the Office had two Accountants on staff during this time it would not be feasible to engage them both on a long-term project such as the one in question as they had other defined roles in the Office. |
Table 4: Outsourced services for Patents Office
|
Service outsourced |
Name of outsourcing company |
Estimated Savings achieved from Outsourcing Function |
|
Internal contract cleaning |
Grosvenor Cleaning Services |
Direct staffing in salaries and pension liabilities would be more expensive in this case. |
|
Window cleaning |
Murphy Contract Cleaners |
Direct staffing in salaries and pension liabilities would be more expensive in this case. |
|
Office security |
Mountainglow Ltd. t/a Sentry Security |
Costs of directly recruiting and paying staff and insurance would be greater than outsourcing in this case. |
