Dáil Éireann Debate, Thursday - 21 April 2016
14. Deputy Richard Boyd Barrett asked the Tánaiste and Minister for Social Protection the number of investigations carried out by her Department's Scope section between 1 January 2006 to date in 2016, providing figures for each year, into the misclassification of building workers as self-employed; the number of persons investigated; and the number found to be misclassified. [7958/16]
View answer15. Deputy Richard Boyd Barrett asked the Tánaiste and Minister for Social Protection where there are cases of the misclassification of workers as self-employed that is bogus self-employment, the penalties imposed on the contractors involved. [7959/16]
View answer16. Deputy Richard Boyd Barrett asked the Tánaiste and Minister for Social Protection the average length of time involved in investigations into the misclassification of workers as self-employed. [7960/16]
View answer17. Deputy Richard Boyd Barrett asked the Tánaiste and Minister for Social Protection the outcome of the visits of the joint investigations unit to sites (details supplied). [7962/16]
View answerI propose to take Questions Nos. 14 to 17, inclusive, together.
Details on the average length of time involved in investigations into the misclassification of workers as self-employed are not held and depend on the nature and circumstances of each case investigation. However, I can advise the Deputy that the great majority of Scope decisions are made on foot of a request from the employed person or an employer, rather than arising from an investigation by the Department. These decisions involve mainly company directors, partnership cases, public sector employees and family employments.
The following table shows the total number of decisions made in each of the years from 2006 to date.
|
Year |
Number of Decisions |
|
2006 |
1397 |
|
2007 |
1367 |
|
2008 |
1672 |
|
2009 |
1835 |
|
2010 |
1622 |
|
2011 |
1143 |
|
2012 |
823 |
|
2013 |
1517 |
|
2014 |
1275 |
|
2015 |
1071 |
|
2016 (to date) |
253 |
With regard to the issue of disguised employment, the Deputy should note that a working group comprising officials from the Department of Social Protection and the Revenue Commissioners has been examining the issue. In this context, a public consultation process on the use of intermediary type employment structures and self-employment arrangements, and their impact on tax and PRSI is underway. The closing date for receipt of submissions was 31 March 2016 and over 20 submissions were received which are now being examined.
Where incidences of misclassification of workers as self-employed are detected, then arrears of PRSI are calculated and collected. Where an employee has been misclassified as self-employed, their social insurance record will be updated to reflect the correct rate of social insurance. Under the provisions of the Social Welfare Consolidation Act, there are specific offences in relation to employment contributions, their remittance and the maintenance of prescribed wages and employment records. On conviction, fines and or imprisonment can ultimately be imposed.
Departmental inspectors carry out visits to a wide range of businesses, as part of their on-going compliance operations. In certain instances, inspections are undertaken jointly with other State agencies such as the Revenue Commissioners and the Workplace Relations Commission. Such inspections are fact-finding visits wherein evidence of compliance or non-compliance may be detected. Where evidence of non-compliance or misclassification of employment status is detected, this will be pursued. Where details of specific cases are supplied to the Department, they are investigated and the insurability of the person(s) concerned is determined. A person’s or company’s employment status or compliance is confidential to that individual or entity. In the circumstances, the Deputy will appreciate that the Department cannot give specific details on the outcome of operations as that would contravene confidentiality and data protection requirements.
