Dáil Éireann Debate, Tuesday - 21 July 2020
442. Deputy Louise O'Reilly asked the Minister for Employment Affairs and Social Protection if she has engaged with an airline (details supplied), workers and their trade unions on the possibility of job losses at the airline. [17143/20]
View answerFirstly, I would like to say that my thoughts are with all of the workers concerned who are faced with job losses at this difficult time. I wish to assure the affected workers that my Department is available through its Intreo service to assist them in whatever way we can in terms of income supports and job-seeking over the coming weeks and months.
The Protection of Employment Act 1977 imposes a number of obligations on employers who are proposing collective redundancies, including an obligation under sections 9 and 10 to engage in an information and consultation process with employees’ representatives and to provide certain information relating to the proposed redundancies. Section 11A of the Act provides that, where an employee believes the employer to be in breach of sections 9 or 10, they may pursue a complaint to the Workplace Relations Commission (WRC). It is also an offence under section 11 of the Act where an employer fails to comply with sections 9 or 10.
There is also an obligation under section 12 which makes it mandatory on employers proposing a collective redundancy to notify the Minister for Employment Affairs and Social Protection of the proposed collective redundancy. My predecessor received official notification of the proposed collective redundancies in the company concerned in a letter dated 21st of May 2020, which complied with the requirements under section 12 of the Protection of Employment Act 1977.
In relation to redundancy payments, it is the employer’s responsibility to pay statutory redundancy entitlements to eligible employees. An employer is only legally obliged to pay the statutory redundancy entitlement as provided for in the Redundancy Payments Act 1967. Any arrangement outside statutory redundancy is a matter for negotiation and agreement between the employees (and their union representatives) and employers through an industrial relations process, which can be assisted by the WRC.
Company law matters are a responsibility of my colleague, the Tánaiste and Minister for Enterprise, Trade and Employment, Mr. Leo Varadkar, T.D.
The High Court has confirmed the appointment of an examiner to the company concerned. It is for the examiner to consult creditors, potential investors and other relevant parties to devise the most appropriate course of action in the interests of the survival of the company and put that course of action to the court for approval.
In all cases, under the Companies Act, proposals arising from an examinership are brought before the Court, which decides whether to confirm them, with or without modifications, or reject them. Under the Act, the Court cannot confirm proposals unless it is satisfied that a number of criteria are met, including that the proposals are not unfairly prejudicial to the interests of any interested party.
At a hearing, any member or creditor whose interests would be impaired by implementation of the proposals is entitled to object to their confirmation on a number of specified grounds under Section 543 of the Act. The Court will have the final say and, until then, the company is under its protection.
The statutory framework for examinership, including the requirement for Court oversight under the Companies Act 2014, is structured to provide that account is taken of the interests of all stakeholders, including employees, in a company.
If the workers affected have concerns or complaints regarding their employment rights, the mechanism for them to use is the Workplace Relations Commission. The WRC is the organisation which is mandated to secure compliance with employment rights legislation. The Customer Service section of the WRC operates a telephone helpline at 1890 808090. They can provide further information in relation to employment, equality and industrial relations rights and obligations, and how to obtain redress where appropriate.
I trust this clarifies the position for the Deputy.
