Redundancy legislation due before Cabinet - Harney

Proposals for new legislation covering increased statutory redundancy payments will be brought to the Cabinet within two weeks…

Proposals for new legislation covering increased statutory redundancy payments will be brought to the Cabinet within two weeks, the Tánaiste, Ms Harney told the Dáil this morning.

In response to a call from Opposition deputies to suspend the scheduled business in the Dáil to allow debate on job losses, following the closure of a DVD factory in Youghal with the loss of 234 staff.

Labour Party TD, Mr Joe Sherlock said the Dáil urgently needed to discuss the situation, coming just six weeks after a the loss of 160 jobs in the east Cork region.

His party leader, Mr Pat Rabbitte also asked the Tánaiste when the redundancy payments Bill would come before the Dáil and asked whether Ms Harney was aware of reports that some employers are bringing forward redundancies to evade the terms of the legislation.

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Green Party TD, Mr Dan Boyle described the issue as a "matter of national importance".

Replying, the Tánaiste urged the Opposition to keep things in perspective, saying Irish unemployment was almost half that in the EU.

Speaking yesterday on the same issue, Ms Harney told the Dáil: "it is my firm intention to bring these proposed statutory redundancy lump sum and rebate payments into effect at the earliest possible date".

She added that the "proposed higher levels of statutory redundancy payments are subject to ratification by the social partners".

The Department of Enterprise, Trade and Employment published the Report of the Redundancy Review Group in October last year.

The body, appointed by Government as part of Social Partnership, spent four months examining a range of redundancy issues, including treatment of older workers, wage ceilings, determination of weekly pay and insurability.

Although the review group clarified the costs involved in increasing statutory redundancy payments, it did not agree at what level they should be set.

David Labanyi

David Labanyi

David Labanyi is the Head of Audience with The Irish Times