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Dáil
‹ Leaders’ Questions.

Irish Ferries and labour enforcement

Summary

Rabbitte cited allegations that Irish Ferries drove out Irish workers and asked about protections and labour inspectors. The Taoiseach pointed to forthcoming legislation and promised 90 inspectors, compared with 31 currently, while the two disputed the timetable and recruitment obstacles.

Did the Taoiseach watch the "Prime Time" programme last night which assessed the performance of Irish Ferries since it displaced its Irish workforce and took on cheaper labour? For example, it showed that the 48 Irish staff retained by agreement at the time had been driven out as a matter of policy by the company's management and only four workers were left. The programme detailed the tactics deployed by management to drive them out and also produced a number of e-mails. For example, in the recruitment of additional staff, managers were instructed not to employ Irish workers. A number of e-mails highlighted the concern among passengers because nobody could speak English on vessels and they were concerned about this from a safety point of view and so on. In addition, the Taoiseach gave the company €4.3 million in taxpayer's money to displace the Irish workers and recruit cheaper labour.

The programme went on to detail the various practices being followed and the exploitation taking place in other sectors and how workers who had come to Ireland, especially from third countries, were left high and dry because of the influx of workers from EU member states and the failure to renew their work permits. It is 15 months since I raised these issues and the Labour Party published a document entitled, A Fairer Place to Work and Live. Many of its recommendations were imported into the new national agreement, Towards 2016, last summer. However, the problem is one can go through the commitments made and tick them off but none is being implemented. For example, Jack O'Connor this week said:

The Government has made virtually no progress in implementing the labour protection measures in Towards 2016. There is no evidence of Revenue activity to stop bogus self-employment, no evidence of any commitment to effectively regulate employment agencies and no evidence of using public procurement of goods and services to uphold employment standards.

There are still only 31 labour inspectors to cover a workforce of 2 million. All the commitments regarding the new enforcement agency which was to be established to ensure work standards were being complied with have not been implemented. On the bottom rung of the ladder workers are being displaced blatantly and for no other reason than some employers find it possible to exploit non-national workers who are afraid to join trade unions or put their heads up and are willing to work additional hours and for the national minimum wage or less than it. The commitments entered into in Towards 2016 have not been implemented.

Comment on this

The Towards 2016 programme was only launched formally a few weeks ago but the Minister for Enterprise, Trade and Employment and his Department had set up a separate unit to engage with the social partners and move on legislation to address issues in a number of areas. The collective redundancy Bill will deal with the issue relating to Irish Ferries.

The Employment Permits Act which we passed last year and the arrangements announced by the Minister for Enterprise, Trade and Employment on 24 January include a number of important protections for employees. An application for an employment permit may be made by either the employer or the employee but, in all cases, the green card or work permit will be granted and issued to the employee. Until the enactment of the legislation, the work permit had been granted to the employer. This provision will strengthen the position of the employee in the employer-employee partnership. The permit will contain a statement of the entitlements of migrant workers, a significant issue in recent years, including their remuneration, entitlement to the national minimum wage, right to change employer, accommodation allowances and deductions for board, an issue which arose during the Irish Ferries dispute. The permit or green card will be accompanied by a summary of their principal employment rights. The new Act expressly prohibits employers from deducting recruitment expenses from the remuneration of employees, as well as prohibiting them from retaining personal documents of the employee, including passport, driving licence and identity card. In addition, an employer who contravenes the provisions of the Act is guilty of an offence and liable to a fine of between €5,000 and €50,000 or imprisonment for 12 months. These are all new powers.

According to Revenue and the Department of Enterprise, Trade and Employment, self-employment in the construction industry has reduced significantly. I have had this confirmed in the past week. The position of Romanian and Bulgarian workers is a separate issue, as they cannot enter the country to become self-employed.

Powers are in place to deal with illegal immigration and illegal work practices. The number of labour inspectors will increase to 90. Trade unions have been involved in consultation in this regard. On breaches of the Employment Permits Act, the Garda carries out inspections and takes prosecutions relating to employment permit and immigration offences generally. These inspections and prosecutions are prompted by the work permits section in the Department of Enterprise, Trade and Employment. Whenever the section sees something dubious, it puts the Garda on to the company.

We must still bring forward legislation to deal with a number of areas covered by Towards 2016 but I do not know the dates for those Bills. An entire section is working solely on bringing them forward and it would be unfair to criticise the Department in this regard. Three Bills are required. The trade unions would state the collective redundancy Bill is the most important. It will be published and introduced in the House shortly.

Comment on this

There will clearly be no legislation in the lifetime of this Dáil. Furthermore, the Government does not need legislation to honour the commitment entered into on labour inspectors. The Minister for Enterprise, Trade and Employment, in reply to a parliamentary question tabled by my colleague, Deputy Lynch, on 31 January, stated the number of inspectors at the present time was 31. In reply to another question from Deputy Kehoe, he stated the number of labour inspectors "will be progressively increased from 31 at present to 90". That is interesting because last week the Taoiseach stated in respect of the request by the Director of Corporate Enforcement for additional staff that, "The reason he is not getting them is that we made a priority in that Department to put the staff into new inspection sectors dealing with compliance by workers. The number of inspectors has risen from 30 to 90. It rose to 60 last year and 90 this year." The Minister told Deputies Kehoe and Lynch the number was 31. Therefore, the reason Mr. Paul Appleby is not getting his staff is that the Taoiseach has created 90 inspector posts, although the Minister said the number is 31.

I do not know what the Taoiseach is talking about in regard to legislation because if one looks at the disconnect between personal public service, PPS, numbers and work permits, it is plain that the bogus self-employment phenomenon is rampant.

I repeat that for the first time in the history of this State, the Taoiseach allowed a company, with which he has close connections through his office, politically and so on, to engineer its business in such a way that it let go its Irish workforce and, as a result, was able to access the redundancy fund to the extent of €4.3 million — €4.3 million of our money to let the workforce go. The 48 workers who were kept on, by agreement, have now been driven out so only four Irish workers remain. That is the state of play.

The Taoiseach spoke about promised legislation and said it would be brought forward. It will not be brought forward in the lifetime of this Dáil. Nothing is being done about it and this phenomenon continues.

Comment on this

Deputy Rabbitte is wrong as usual. The legislation has already been passed by Government, will be published shortly and will deal with these issues. The Minister has just told me Jack O'Connor, who briefed Deputy Rabbitte on these issues, is in direct consultation with him. Mr. O'Connor sought that consultation before we published the Bill.

Comment on this

We both talked to Jack O'Connor.

Comment on this

When he telephoned Deputy Rabbitte he forgot to say he sought consultation and that is the reason the Bill has not been published. I am sure he will say that to the Deputy in the next telephone call. What I said last week is the case. We are employing 90 inspectors.

Comment on this

That is not the case. There are not 90 inspectors.

Comment on this

I did not interrupt the Deputy.

This year the Department of Enterprise, Trade and Employment has given priority to putting all its additional staff into the inspectorate. As I understand, the only reason there is a delay——

Comment on this

There are 31 inspectors.

Comment on this
Rory O'Hanlon An Ceann Comhairle Fianna Fáil

I ask Deputy Rabbitte to allow the Taoiseach to speak without interruption.

Comment on this

The Deputy does not want to hear the truth.

Comment on this

Does the Deputy want 90 inspectors or not? He is more interested in the number there was.

Comment on this
Jim O'Keeffe Mr. J. O’Keeffe Fine Gael

The sums do not add up.

Comment on this
Rory O'Hanlon An Ceann Comhairle Fianna Fáil

I ask Deputy Rabbitte to allow the Taoiseach to speak without interruption. Seven minutes have been allotted for this question. The Deputy took seven minutes to ask his question and I ask him to allow the Taoiseach to answer it.

Comment on this

If Deputy Rabbitte really wants to be helpful, he could put a word in with a few of his party members who are actively involved in the public service unions and who could help us to deal with some of the difficulties in the filling of the 90 posts because there are some restrictions. We will have 90 inspectors, as promised in Towards 2016.

The labour inspectorate is doing a very good job and is involving the Garda. Last year the labour inspectorate identified more than 2,250 breaches. The primary objectives of labour inspectors in the case of breaches is to seek compliance and rectification of breaches identified, including redress for the individuals concerned. Last year the inspectorate recovered arrears for employees from approximately 350 employers. It is not true that the system is not working and that what was promised in Towards 2016 is not actively being pursued under the legislation. More inspections will be carried out when we have 90 inspectors.

If the public service unions removed some of the unnecessary obstacles, the Minister would be able to employ the 90 inspectors straightaway. I might as well say it straight.

Comment on this

That is an excuse.

Comment on this
Rory O'Hanlon An Ceann Comhairle Fianna Fáil

Allow the Taoiseach to speak without interruption.

Comment on this

If the public removed the Minister, Deputy Martin, we might.

Comment on this

I welcome the support of the leader of the Labour Party in trying to force decisions on this from the public service unions. We are prepared to do so in negotiations. The money is there to enable us to do this. If we can remove some of the issues in regard to recruitment, we will able to move very quickly.

Comment on this