Employment bill going through Oireachtas inherently anti-business: IHF

Under the bill, employers must give employees basic terms of employment within five days, and prohibits zero- hour contracts except in situations of genuine casual employment. It also gives a new minimum payment for employees called into work but sent home again without work, and gives more certainty to so-called banded hour workers relating to their working hours and income.

Cork IHF branch chair Neil Grant said that the bill would, instead, threaten employment in the tourism industry, adding to costs associated with the increase in Vat to 13.5% and minimum wage increase.

“Nobody objects to banning zero-hour contracts, which are almost non-existent in Ireland, but legislation which reduces labour market flexibility, under criminal sanction for employers, will drive up costs beyond inflation.

“Combined with other recent measures such as the Vat rate increase, minimum wage increase and car-hire vehicle registration tax adjustment, these regulations will only serve to make Ireland more costly for the hospitality sector and, thus, less attractive for tourists,” he said.

He said combined with Brexit looming, “it is difficult to see how the tourism and hospitality sector will sustain, let alone thrive”.

Mr Grant said the IHF instead want to see original recommendations to amend the bill introduced as a way of protecting both employers and employees.

The Cork hoteliers said they were calling on the Government not to pass the amendments being currently proposed and instead want the Bill adjusted by inserting an amendment contained in a Chambers Ireland report of recommendations on the issue.

The wording in question says: “Where an employee’s contract of employment or statement of terms of employment does not reflect the number of hours worked per week by an employee over a reference period, the employee shall be entitled to be placed in a band of weekly working hours specified in the Table to this section.”

In addition, the Cork IHF branch said it was recommending that the legislation be revised to include an exemption or defence for employers who must reduce working hours in order to reflect business circumstances or hardships.

The branch said the hospitality industry was highly dependent on flexible labour due to the ebb and flow nature of the business, enhanced by factors like conferences, weddings and funerals that can mean workforce levels required must expand and contract.

In response to the Cork IHF branch, the Irish Congress of Trade Unions (Ictu) said the legislation was fair, and was not a threat to the industry.

Ictu industrial officer Liam Birney said: “We believe the legislation is balanced and fair and provides minimum conditions of employment and is not a threat to employers offering fair terms and conditions.”

Minister for Employment Affairs and Social Protection, Regina Doherty this month said the bill would “provide one of the most significant changes to working conditions in a generation”