asked the Minister for Industry and Commerce the steps, if any, that will be taken to expedite progress on the various draft directives on company law.
16.
Ceisteanna—Questions. Oral Answers. - Company Law.
15.
asked the Minister for Industry and Commerce if any progress has been made regarding the draft EEC fifth directive on the harmonisation of company law; and if it is likely that a system similar to the German one or two-tier boards of management will be introduced.
With the permission of the Ceann Comhairle, I propose to take Questions Nos. 15 and 16 together.
A number of directives dealing with harmonisation of company law are at various stages of progression with the EEC Commission or the Council. Progress in finalising them is a matter for the Commission or the Council as the case may be, but Ireland is playing its full part, as a member state and currently as holder of the Presidency, in promoting progress.
The system of two-tier boards modelled on the system in some continental countries has been proposed in the draft Fifth Directive and in the draft Statute for a European Company. It is not possible to say at this stage what the provisions of the draft directive and the statute will ultimately be, as the proposals are subject to change before adoption by the EEC Council of Ministers. The draft Fifth Directive will be applicable to national law. It would be premature to propose any change in the law regarding boards of companies until the provisions of the draft directive are finally settled.
Do I take it from the Parliamentary Secretary's reply that all we have heard about workers' democracy and so on is scrapped for an indefinite period?
No.
That is what it sounded like.
Is the Parliamentary Secretary aware that the Minister for Industry and Commerce has made a regulation entitled the European Community's Companies Regulations, 1973, the purpose of which is to give effect to the first Community directive on company law? Is he further aware that the Joint Committee on the Secondary Legislation of the European Community have reported to the Oireachtas on that particular regulation and have recommended that it be amended? Is he in a position to state if the amendment of that regulation is being proceeded with?
I am not in a position to state that.
Is the Parliamentary Secretary aware of the report made by the Joint Committee on the Secondary Legislation of the European Communities?
It has not been specifically drawn to my attention but I will have the matter looked at. In relation to what Deputy Lemass said I should explain that the fifth directive which deals with worker participation has certain proposals which are being considered in detail at the moment. These proposals have not yet reached the Council of Ministers so the Irish Government are not yet in a position to do anything within the Council to have the fifth directive or a directive along similar lines adopted more quickly. The second, third and fourth directives have reached the Council of Ministers but it would obviously be wise for this country not to introduce amendments in company law affecting worker participation in advance of the fifth directive because such changes in company law introduced in advance would have to be subsequently altered to take account of the terms of that directive.
Is the Parliamentary Secretary aware that in the 1930s as far as social thinking is concerned this country gave a lead to Europe? Are we now in a position where we have to take the lead from Brussels and there will be no initiative from the Government side whatever?
Question No. 17.
It should be appreciated that Ireland is participating in the discussions of the Council of Ministers and will contribute in no small way to the formulation of European thinking on worker participation in relation to company law.
Is the Parliamentary Secretary aware that fundamental to this whole matter of European Community directives on company law is one of the regulations made by the Minister for Industry and Commerce in compliance with the first directive by the Community on company law and that in the opinion of many people the regulation made by the Minister is defective and is in urgent need of amendment? Can he give me any assurance as to whether or not such an amendment is being proceeded with or is being examined?
I will give the Deputy the assurance that I will make it my business to find out and if he puts down another parliamentary question specifically dealing with that issue I will give him an answer.