Irish employers subject to on-the-spot fines under new regulations

The Workplace Relations Act 2015 (Fixed Payment Notice) Regulations 2023 (the “Regulations”), were published on 12 January 2024 and introduce a series of on-the-spot fixed fines for breaches of employment law, enforceable by a Workplace Relations Commission ("WRC") inspector.

The Regulations revoke the current S.I. No. 419/2015 and S.I. No. 32/2017. It is important to note that these fines are issued per breach of the relevant employment provision which can significantly impact the cost on bigger companies.

Breakdown of fines

The process

The WRC have issued a statement advising that there is an enhanced focus on carrying out investigations across the country. In the event that a fine is issued to an employer, they will be provided with a form that states the offence committed by the employer and on which date it occurred, along with the relevant legislation and the inspector's reasons for why the offence has occurred.

Where the fine is not paid within 42 days, the employer will be referred to the WRC's internal legal affairs department who may proceed with prosecution of the offence. If an employer is convicted, they could be liable to a Class C fine which is currently €2,500.

Conclusion

The Regulations re-enforce the supportive stance that the Irish government has taken in protecting employees' rights, especially those in the hospitality industry who are in receipt of tips and gratuities. Employers should ensure compliance with all regulatory and statutory requirements, especially larger employers, as these fines have the potential to cause a significant economic impact.

For further information on the Regulations and/or general employment law advice, please contact Bláthnaid Evans or Marianne Norton via their details below.

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Disclaimer

This client briefing has been prepared for clients and professional associates of Ogier. The information and expressions of opinion which it contains are not intended to be a comprehensive study or to provide legal advice and should not be treated as a substitute for specific advice concerning individual situations.

Regulatory information can be found under Legal Notice