What are the consequences of non-compliance under the the Employment (Miscellaneous Provisions) Act 2018?

What are the consequences of non-compliance with the new laws?

The Employment (Miscellaneous Provisions) Act, 2018 (the Act) introduces a range of new offences which include criminal sanctions for employers. A list of the sanctions for failing to comply with the Act are set out below.

Failure to comply with a notice to attend a WRC hearing

Any person (employer or employee) who fails to attend, or give evidence at a Workplace Relations Commission (WRC) hearing, having received a notice requiring them to attend the hearing by an Adjudication Officer will be guilty of an offence which is punishable by a fine not exceeding €500.

Failure to provide a written statement of core terms of employment

Employee awards

 

If you do not comply with the new obligation to provide a statement of core terms in writing, your employees enjoy a right to bring a claim to the WRC and/or the Labour Court and be awarded compensation of up to four weeks’ remuneration. Employees must have accrued 4 weeks’ continuous service before being permitted to assert this right.

 

Criminal liability

 

The worst case scenario for employers is the prospect of criminal liability. If you fail to comply with the requirement to provide a statement of core terms in writing within one month of employment commencing, you will be guilty of an offence.

 

If you deliberately or recklessly provide false information to an employee, you will also be guilty of an offence.

 

Offences are tried summarily and if convicted of this offence, employers will be liable to a fine of up to €5,000 or imprisonment for up to 12 months or both.

With such draconian sanctions, your first priority should be to put a system in place to ensure your employees receive the required written statement of core terms within 5 days of taking up their position. 

 

Personal liability of directors

 

If a company employer commits offences under the Act, the directors, secretaries, senior managers and other officers may be made individually liable for such offences (as well as the company) and punished as if the officer of the company was guilty of the offence. Owner/directors of corporate employers should note the financial and personal consequences of being found personally liable for awards.

 

Anti-penalisation

 

The Act increases the awards of compensation which employees are entitled to if they are found to have been penalised for asserting their rights under the updated employment legislation.

 

Penalisation includes suspending, dismissing, putting an employee on lay-off or short-time, demoting, transferring duties, disciplining or otherwise intimidating employees.

 

If an employee lodges a claim in the Workplace Relations Commission stating that s/he has been penalised for asserting his/her rights under working time or terms of employment laws, adjudication officers are authorised to make awards of:

 

• up to 2 years' remuneration (under the amended Organisation of Working Time Act); or

 

• up to 4 weeks' remuneration (under the amended Terms of Employment (Information) Act).

 

WRC orders

The WRC will be authorised to compel employers to comply with valid employee requests to be placed in a band of hours. There is no fine prescribed for failing to place an employee in a relevant band of hours.