Sectoral employment order compliance
Deputy O'Reilly welcomed the ruling upholding sectoral employment orders but complained that some local authority contractors were paying far below the legal rates. The Tánaiste said SEOs were constitutional and should be complied with, and he invited the evidence to be sent to him.
The Supreme Court has overturned the High Court decision to strike down the sectoral employment order, SEO, for the building sector. I very much welcome that. I am glad that the State took that challenge.
I am aware, however, of local authorities using contractors who are paying significantly below the rate set out in the SEO. I have seen payslips from workers who are being paid €10.50 per hour for doing work the SEO states should be paid at a rate of €19.37 per hour. That means that after deductions, workers are coming out with €372.36 for 39 hours' work.
What is the point of the SEO if local authorities are paying contractors who are going to undermine the rate? The SEO sets the minimum. Not only are these workers not getting the rate but they are not getting the contributions into their pension either. I ask that the Tánaiste examine the evidence, which I will share it with him, but also that he sends a directive to the people who are spending State money to the effect that they need to use it to support the SEOs, not undermine them.
Comment on this
I join the Deputy in welcoming the fact that the State's appeal was successful and now gives us assurance that SEOs are constitutional. We plan to have some more of them. The Minister of State at the Department of Enterprise, Trade and Employment, Deputy English, has launched the process to have one quite soon in the area of childcare.
I will be happy to receive that evidence and information from the Deputy. Of course, local authorities and public bodies should be compliant and should not pay below the legal minimum rates. They are not just agreed rates or union rates. They are the legal minimum rates in those sectors and they must be applied.