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Labour promises devalued by 5 years of inaction – Tóibín

18 January, 2016

Sinn Féin TD and Spokesperson for Jobs Peadar Tóibín has said that the promises Labour are making before the upcoming general election have been completely devalued by their performance in government.

The Meath West TD said:

“Last week the Minister for Tea and Sympathy, Ged Nash at the Department of Labour Force Inaction declared that another review would be held into the damaging Tactical Insolvency at Clerys. It’s over 6 months after the closure of Clerys and 5 months after the publication of the last review.

“The Taoiseach at the time told us the Company Law Review Group would consider if any changes needed to be made to existing legislation to deal with the type of tactical insolvency.

“In this case, Gordon Brothers have walked away from the Clerys sale with a profit reportedly worth €15 million yet we are told the very same business does not have enough cash to pay holiday money or redundancies to workers or the €2 million they owed to the concession holders.

“Gordon Brothers have clearly availed of using the existing Companies Act introduced under this governments watch. Yet nothing has happened.

“There is deep seated anger and cynicism amongst workers right around the state that the Labour Party’s response is another review. Clery’s workers have been treated disgracefully and the state suffered millions in losses. Tactical insolvencies are happening all too often with some immoral employers separate assets from responsibilities to the workers and the state. The shocking thing is that it’s all perfectly legal. That Minister Nash’s proposed review will be complete after the date of the general election will be lost on no one.

“I personally have put forward legislation in the Companies Amendment Bill 2015 and a number of other amendments to provide for a ‘piercing of the corporate veil’ to hold unscrupulous business owners to account and protect vulnerable workers. The Minister for Tea and Sympathy still refuses to take action.” 

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