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Dáil

Written answer

Job Losses

697. Deputy Paul Nicholas Gogarty asked the Minister for Enterprise, Tourism and Employment the supports his Department, the Workplace Relations Commission, and other State agencies can provide to workers facing redundancy in a case; and if he will make a statement on the matter. [42701/26]

Comment on this
Alan Dillon Minister of State at the Department of Enterprise, Tourism and Employment Fine Gael

Ireland has a robust suite of employment rights legislation in place to protect workers who may be impacted by redundancy.

Under the Redundancy Payments Act 1967, as amended, an eligible employee with more than 2 years’ service who is made redundant may be entitled to a redundancy payment. The statutory redundancy payment is 2 weeks' pay for every year of service plus 1 additional week's pay. This payment is capped at €600 per week.

The Protection of Employment Act 1977, as amended, places obligations on employers proposing collective redundancies, which arise when certain thresholds are met. Employers must carry out a 30-day information and consultation process with employees’ representatives and notify the Minister for Enterprise, Tourism and Employment at least 30 days before the first redundancies take effect.

Collective redundancies arise where, during any period of 30 consecutive days, the employees being made redundant are: 5 employees where 21-49 are employed; 10 employees where 50-99 are employed; 10% of the employees where 100-299 are employed; and 30 employees where 300 or more are employed.

The Minimum Notice and Terms of Employment Act 1973, as amended, obliges employers to give a certain level of notice to employees prior to dismissal, with the length of such notice depending on the employee’s length of service.

The Unfair Dismissals Act 1977, as amended, protects employees with more than one year’s service from Unfair Dismissals.

Where redundancies occur which are outside the parameters of collective redundancies, employers are still legally obliged to conduct the redundancy process fairly and to use reasonable selection criteria in choosing to make people redundant. In accordance with the principles of fair procedures and natural justice, any such process should normally include a consultation with potentially affected employees.

The Workplace Relations Commission (WRC) is the organisation which is mandated to secure compliance with employment rights legislation. Employees have the right to refer complaints to the WRC on a wide range of employment law breaches for an adjudication and compensation where appropriate. This includes the right to make a complaint where they believe their employer has failed to fulfil its obligations under the Protection of Employment Act 1977.

Employees with more than a year’s service can also seek an adjudication from the WRC under the Unfair Dismissals Acts 1977-2015, which lays down criteria by which dismissals are to be judged unfair. In general, dismissal of an employee due to redundancy is not deemed to be an unfair dismissal for the purposes of the Unfair Dismissals Act.  In such cases, an employer must be able to demonstrate that the redundancy is genuine and the selection criteria and the redundancy process is substantively and procedurally fair.

In most cases, complaints to the WRC must be made within 6 months of the alleged breach. The WRC may extend this time period to 12 months if the employee can demonstrate reasonable cause. The WRC’s Customer Service and Information Unit can provide further information in relation to employment rights and obligations and can be contacted at www.workplacerelations.ie or by phone on 059-9178990 or Lo Call 0818 80 80 90.

Additionally, the Intreo service of the Department of Social Protection provides supports to all workers who face job losses. This service can assist in relation to income and employment supports where needed, including helping with appropriate training and development opportunities.

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