In January 2016, the then Minister requested the Company Law Review Group (CLRG) to review company law with a view to recommending ways company law could be potentially amended to ensure better safeguards for employees and unsecured creditors. An ad-hoc committee of the CLRG was formed in January 2016 to explore relevant issues. It has met eleven times to date and is progressing its examination of company law under its terms of reference. It is due to meet again on 26 October 2016. It is intended that the ad-hoc committee will bring a report to the CLRG for adoption and that this will be submitted to the Minister for consideration. There was no explicit timeframe given to the CLRG as the issues to be examined are extensive and to allow a full and comprehensive examination of the legislation in relation to unsecured creditors including employees.
Earlier this year Nessa Cahill B.L., a company law specialist, and Kevin Duffy, the then Chairman of the Labour Court, were asked to conduct an expert examination of legal protections for workers. The examination looked specifically at situations where assets of significant value are separated from the operating entity, being the employer, and how the position of employees can be better protected in such situations.
The Duffy/Cahill report was brought to Government and published on 26 April. It provides a comprehensive analysis of the relevant provisions of employment law and company law. It makes a number of proposals for reform of the law, which are primarily concerned with amendments to employment law.
The Department conducted a Public Consultation on the report following its publication. The submissions received in response to the consultation are important in terms of assessing how the suggested reforms could operate in practice and in identifying any unintended consequences. They will inform the response to the report which will be brought forward for consideration by Government.
In terms of timing, my Department is working simultaneously on bringing forward policy responses to the Duffy Cahill report and the University of Limerick (UL) report on zero hour contracts and low hour contracts. Work on the response to the UL report is more advanced than that on Duffy Cahill. However, I want to assure the Deputy that all of this work is being progressed as expeditiously as possible.
