NERA Roadshow

2010

“To achieve a national culture of employment rights compliance”

NERA’s Mission Statement

• Towards 2016 Partnership Agreement

• Established on an interim basis in 2007

• Three former sections of DET&E• Labour Inspectorate• Information Unit• Prosecution and enforcement section

NERA’s Evolution

A resource for employers & employees to

achieve compliance through:

-Information and Education

-Inspection

-Prosecution

-Enforcement

How Does NERA Work for you?

Heading

Northern Region=North West and Mid-East sub-regions

Southern Region=South West, Midlands/South East and Mid-West sub-regions

NERA’s Research• Lo-Call 1890 80 80 90

• Recorded Information

• Eform

• Quarterly Update

• Publications

• Awareness Campaigns

• Presentations

• Exhibitions

• Redundancy Payments Call handling

• www.employmentrights.ie

NERA’s Information Services

WWW.EMPLOYMENTRIGHTS.IE

NERA Quarterly Update

NERA Annual Review

WWW.EMPLOYMENTRIGHTS.IE

Key employment rights information is available in the

following languages:

• Lithuanian• Polish• Portugese• Romanian• Russian • Spanish

• Arabic• Chinese• Czech• French• Irish• Latvian • Slovakian

NERA’s Research

• Helpline

150,000 calls answered (up 32% on 2008)

• Email

12,000 + answered

• Publications

30,000 + distributed

• Website www.employmentrights.ie

1.5 million+ web impressions

Information Provided 2009

NERA’s Research

• Service delivered 9:30am to 5pm – including lunch

• 12 Information Officers

• Clear concise accurate information on the spot

• As full a list of options as law allows

• Clarification for more complex queries

• Automated Information available

Call Centre

NERA’s ResearchCall Volumes

Monthly Activity

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Calls Received Calls Answered Calls Abandoned Emails

NERA’s Research

• Redundancy (55%)

• Organisation of Working Time (Holidays)

• Terms and Conditions

• Payment of Wages

Key Call Issues

NERA’s Research

• Employees

• Particpate in SIPTU, ICTU conferences/exhibitions

• Presentations to groups

• Employers

• Roadshows with RAI and SFA

• Presentations to Chambers, CEB’s

• Social Partners

• Training/presentations to CIC’s

• Work with MRCI, Immigrant groups, etc

Working with Stakeholders

Key Employment Law Requirements

• Written Statement of Terms and Conditions

• Written statement of Pay (Payslip)

• Minimum Wage

• Annual Leave/Holidays

• Average 48 hr working week

• Sunday Premium

• Breaks/Rest periods

• Minimum Notice before dismissal

An employer must provide his/her employee with a written statementof terms and conditions of employment within two months of the dateof commencement of employment

Terms of Employment (Information) Act, 1994 - 2001

Information to be included in the written statement:-• Name of employer and employee• Address of employer• Place of work• Job title/nature of work• Date of commencement of employment• Duration/expiration of contract (if

temporary, fixed term or fixed purpose)• Rate of pay and pay intervals• Hours of work (overtime/shift

patterns/Sunday Work

• Rest breaks • Annual Leave – Other paid leave• Sick Leave• Pension Schemes• Notice employee is entitled to receive and

obliged to give• Collective agreements affecting employment• Info re employees right to request and

obtain written statement of average hourly rate of pay as per Minimum Wage Act, 2000

Payment of Wages Act, 1991

Employer must give an employee a written statement of gross wagesand details of all deductions with every wage payment

The Act provides protection against unlawful deductions or nonpayment of Wages

Employers may not make deductions from wages unless:

• Deduction is required by law (Tax and Social Insurance)• Deduction is made with the written consent of the employee (Trade

Union subscription / Health Insurance)• Deduction is provided for in the contract of employment

)

Minimum Wage Act, 2000

RATES OF PAY

Minimum Wage Act, 2000

Trainee rates

These may be applied in structured training or study over age 18,Provided they are undertaken in normal working hours and satisfythe following criteria:• Related to improving work performance• At least 10% away from day to day operational duties• Assessment and recognised certification procedure on completion

• 1st one third period €6.49• 2nd one third period €6.92• 3rd one third period €7.79

NOTEEach one third period must be at least 1 month and no longer than 12 months

Minimum Wage Act, 2000

An Experienced Adult employee is an employee who has anyemployment in any two years since age 18 (including employmentoutside Ireland)

Minimum Wage Rates

• Experienced Adult Employee €8.65 per hour• Job Entrants (i.e. employment in first and second year since age 18)

First year €6.92 Second year €7.79

• Under 18s €6.06

Maximum Working Hours

The maximum average working week is 48 hours and can be averaged as follows:

• Employees generally 4 months• Seasonality 6 months• Collective agreement 12 months

The Organisation of Working Time Act, 1997

Sunday Premium• If not already included in the rate of pay, employees are entitled to a

premium payment or paid time off in lieu for Sunday Work• Premium payment should be equivalent to closest applicable collective

agreement• Employees recruited to work on Sunday only are entitled to a premium

rate

Rest Breaks• 11 consecutive hours daily rest per 24 hour period• One period of 24 hours consecutive rest per week – preceded by a daily

rest period• 15 minutes break in a 4 ½ hours period; 30 minutes in a period of 6

hours worked, which may include the first break

The Organisation of Working Time Act, 1997

Protection of Young Persons (Employment) Act, 1996

Employer must see a copy of birth Certificate or other evidence of age before employing young person (16 &17) or child (under 16)

Get written permission of parent or guardian before employing person under 16

Provide a summary of the Act to under 18 within one month of the commencement date commencement

Minimum Notice and Terms of Employment Act, 1973 to 2001

This Act provides that employees who have 13 weeks continuous

service are entitled to notice as follows (Notice may also be paid in

lieu):

8 weeks15 years or more

6 weeks10 to 15 years

4 weeks5 to 10 years

2 weeks2 to 5 years

1 week13 weeks to 2 years

Minimum NoticeLength of service

• NERA Inspection Activity

– Complaints

– Campaigns

– Routines

• Announced and Unannounced Inspections

• Joint investigations

– Revenue Commissioners

– Social and Family Affairs

NERA’s Inspection Services

NERA’s Inspection Services

Overall in 2009

• Over 8,800 employers inspected

• Over €2.5M for over 6,000 workers unpaid wages identified

• Overall compliance level of 66%

• 27 Prosecutions

NERA’s Inspection Services

Summary of Inspections and Compliance Level by Employment Legislation (2009)

Sector No of

Inspections Compliance

Rate (%) Unpaid Wages Recovered (€)

National Minimum Wage 2,981 93 197,767

Payment of Wages 4,210 87 0

Organisation of Working Time 4,229 53 198,752

Protection of Young Persons 8,232 99 0

Employment Permits 1,115 60 0

Other 12 83 0

NERA’s Inspection Services

Summary of Inspections and Breaches Detected by Industry Sector – 2009

Sector No of

Inspections Compliance

Rate (%) Unpaid Wages Recovered (€)

Agriculture 72 56 89,713

Catering 442 21 736,469

Retail Grocery & Allied Trade 284 28 356,742

Hotels 131 27 164,918

Contract Cleaning 178 50 125,432

Security 48 46 285,112

Construction 395 45 252,357

Electrical REA 15 27 28,004

Other 101 88 60,242

Carrying out an Inspection - types of Records Sought• Gross weekly wages

• Hours of work (rosters, time sheets, clock cards)• Sunday work Records• Overtime & Breaks• Work after midnight• Job classification• Date of commencement (and termination)• Dates of birth if under 18 & under 20 • Evidence that employee receives payslip• Whether board and lodgings are provided• Annual leave and Public holidays• Apprenticeship Registration cards

Warrant of Appointment

• Passport-sized

• Blue Cover with Harp

• Name, Photo and signature of Inspector

• Certificate and Warrant of Appointment - list of

relevant Acts

Summary of Inspectors Powers

• Enter premises at any reasonable time

• Request sight of records

• Take copies of records

• Interview and require information from any relevant

persons

Dealing with Non-Compliance

1. Ask employer to rectify any breaches

2. Provide reasonable time-frame to become compliant

3. Close file if compliance achieved

4. Carry out follow-up inspection (6-12 months) to ensure compliance is maintained

5. Escalate to Prosecution Services if employer does not rectify breaches*

* In 2008 only 44 cases out of 27,900 inspections, calls and visits were referred for procesution (0.16%)

Employment Regulation Orders/Registered Employment Agreements

Agreements on pay and conditions made by Joint Labour Committees (JLCs) are known as Employment Regulation Orders(EROs).

Collective Agreements which have been registered with the LabourCourt are known as a Registered Employment Agreements (REAs). There are 67 REAs in force, the most common ones are:

•Aerated Waters & Wholesale Bottling

•Hairdressing

•Agricultural Workers

•Hotels

•Catering•Contract Cleaning

•Retail Grocery and Allied Trades

•Security

•Construction

•Drapery, Footwear and Allied Trades

•Electrical Contracting•Printing

Employment Regulation Orders/Registered Employment Agreements

Main issues arising from EROs/REAs

• Statutory Minimum Rates

• Sunday Payments

• Overtime Payments

• Industrial Relations (Amendment) Bill 2009 (proposed inability to pay clause – Exists for Nat Min Wage: S 41)

Employment Law Compliance Bill (No 18 of 2008)

• Employment Law Compliance Bill made provision for:

• Establishment of NERA on statutory footing• Standardisation of powers of NERA Inspectors across the range of

‘employment legislation’• Maintenance of statutory employment records (payroll; time records)• Increased/standardised fines for non-compliance with statutory

employment rights• Statutory Protection for complainants & whistleblowers

• Large number of amendments submitted• Awaiting Committee Stage

Achieving a national culture of employment rights compliance