The Protection of Employment Act 1977 imposes certain legal obligations on employers proposing collective redundancies. These obligations include engaging in an information and consultation process of at least 30 days with employees’ representatives, and to notify the Minister for Enterprise, Trade & Employment of the proposals at least 30 days before the first dismissal takes place. My Department received a notification of proposed collective redundancies from the referenced company on 29 March 2023.
There is no requirement under the 1977 Act for employers to notify the Minister of offers of voluntary time off programmes to employees. Employees are under no obligation to agree to such offers of voluntary time off.
Following media reports on the redundancy process, I sought an update on the ongoing collective consultation process at the company from the IDA. I am assured that the company is committed to complying with its legal obligations in respect of the collective redundancy process in Ireland. The company started a 30-day consultation on 31st of March, which will continue until 5th of May and has held multiple collective consultation meetings with employee representatives to date. During those meetings selection criteria, proposed redundancy packages and additional support mechanisms were discussed.
I am informed that the company first implemented a number of cost saving measures in an attempt to avoid redundancies including closing or reducing office space, implementing a hiring freeze and reducing travel.
The company has also discussed ways to reduce the number of impacted roles, including an opportunity for those at risk of redundancy to avail of a voluntary severance program to receive the involuntary package offered. In addition, 21 roles have been opened up to those in the individual consultation phase for potential redeployment across other business areas within the company.