Subcontractor payment protections
Deputy Healy-Rae described principal contractors going bust while leaving subcontractors unpaid and called for regulation to protect them. The Taoiseach agreed it was a major problem but said it was difficult for Government to resolve and invited suggestions.
First, I declare that I have an interest in a family plant hire firm. The programme for Government states that, as far as possible, we are to create and protect jobs. However, principal contractors are going bust and leaving many subcontractors without payments which were due. That means they go out of business in turn. It seems continuously to happen that after a few months the principal contractor is back in business again while the small fellow is buried forever. This Government and its predecessor promised they would do something about that and introduce regulations to ensure that fair play was meted out to subcontractors. It is not happening, however, and principal contractors are continuing to abuse the system. What is the Government going to do about it?
Comment on this
It is a huge problem. I have come across many cases in the course of my constituency work where subcontractors have been left unpaid. It is always a problem if a bill goes unpaid for any reason. That has an impact on the person or business whose bill is unpaid. The norm is for people to seek recompense through the courts, but that cannot be achieved if the company no longer exists or the person who owes the debt cannot pay it or has left the country. We are open to any suggestions from Deputies as to what we could do to change that, but it is a very difficult matter for a Government to resolve. If a company does not pay its debts and closes down or if an individual does not pay his or her debts, it is difficult to know what the Government could do to resolve it other than to give people what they already have, which is the right to seek recompense and recourse through the courts. We cannot, certainly, have a situation in which Government steps in and pays such debts. That would not be fair to the taxpayer.