Dáil Éireann Debate, Wednesday - 29 January 2014
74. Deputy Andrew Doyle asked the Minister for Jobs, Enterprise and Innovation if there is any relevant national collective agreement in place which is a legally binding collective agreement between the Technical Engineering and Electrical Union, TEEU, and any other party including local authorities and the health service for public works contracts; and if he will make a statement on the matter. [4421/14]
View answerIn the judgement delivered on 9 May 2013 in McGowan and others v The Labour Court, Ireland and the Attorney General, the Supreme Court held that Part III of the Industrial Relations Act 1946 was invalid having regard to Article 15.2.1 of the Constitution. That Article provides, in effect, that the exclusive power to make laws is vested in the Oireachtas. The Supreme Court took the view that Registered Employment Agreements (REAs) are instruments having the status of laws made by private individuals. While the Constitution allows for the limited delegation of law making functions, the provisions of the 1946 Act went beyond what is permissible under the Constitution.
The effect of this decision is to invalidate the registration of employment agreements previously registered under Part III of the 1946 Act, including the REA for the Electrical Contracting Sector, to which the TEEU was a party. In consequence the Labour Court no longer has jurisdiction to enforce, interpret or otherwise apply these agreements. As a result, all such agreements no longer have any application beyond the subscribing parties and are not enforceable in law. However, existing contractual rights of workers in sectors previously covered by REAs are unaffected by the ruling. Contractual rights can be altered only by agreement between the parties involved.
The Supreme Court judgment is clearly an important issue for many employers and their employees, particularly in relation to rates of pay and tendering for contracts. Having considered legal advice from the Attorney General on the implications of the ruling, I intend to bring forward legislation to address the ruling as soon as possible. Such legislation will be fully informed by the Court’s judgment and will provide for a revised framework to deal with those matters.
