Dáil Éireann - Volume 433 - 07 July, 1993

Written Answers. - Employee Protection Legislation.

78. Mr. Broughan asked the Minister for Enterprise and Employment if he will review the operation of the Protection of Employees (Employers' Insolvency) [1505] Act, 1984; and if he will introduce legislation to protect the rights of employees where an employer just ceases trading and is not declared insolvent or does not put his company into liquidation.

Minister for Enterprise and Employment (Mr. Quinn): Since the passing of the 1984 Act, there has been a number of detailed examinations undertaken of the possibility of extending the scope of the Act to so-called “informal” insolvencies i.e. where the employer just ceases trading. However, successive Ministers have not found it possible to devise an amendment which would be suitable in the circumstances — bearing in mind that the 1984 Act was not designed primarily to define insolvency situations.

Because of the inherent complications involved, including legal, financial and administrative constraints, I am not in a position to introduce amending legislation.