Insights

Ireland has recently implemented several significant changes to its employment laws, reflecting a growing emphasis on worker rights, transparency, and adapting to modern work practices. These changes aim to balance the interests of both employees and employers, ensuring fair treatment, improved working conditions, and fostering a more supportive work environment. Here is an in-depth look at the key changes and their implications for your business.

1. Sick Leave Act 2022

One of the most notable legislative changes is the Sick Leave Act 2022, which introduces statutory sick pay (SSP) for the first time in Ireland. Key aspects of this act include:

• Employees are entitled to paid sick leave for up to three days per year in 2022, increasing to five days in 2024, seven days in 2025, and ten days in 2026.
• Sick pay is calculated at 70% of the employee’s regular wage, capped at €110 per day.
• To qualify, employees must have completed a minimum of 13 weeks of continuous service and provide a medical certificate.

This legislation is a significant step in ensuring that employees are not financially penalised for falling ill, promoting a healthier and more secure workforce.

2. Gender Pay Gap Information Act 2021

The Gender Pay Gap Information Act 2021 mandates that employers report on gender pay disparities, aiming to address and reduce the gender pay gap. The key points of this act are:

• Employers with 250 or more employees are required to publish annual gender pay gap reports. This threshold will lower to 150 employees in 2024 and to 50 employees in 2025.
• Reports must include details such as the mean and median hourly pay for male and female employees, bonus payments, and the distribution of men and women across pay quartiles.

This act promotes transparency and encourages employers to take proactive measures towards achieving gender pay equality.

3. Parent’s Leave and Benefit Act 2019

Amendments to the Parent’s Leave and Benefit Act 2019 have enhanced parental benefits, supporting family life and work-life balance. The amendments include:

• An increase in parent’s leave entitlement from five weeks to seven weeks.
• This leave can be taken within the first two years of a child’s life or within two years of adoption.

This change provides parents with more time to bond with their children and adjust to new family dynamics, without the stress of work obligations.

4. Remote Working Legislation

The shift towards remote work, accelerated by the COVID-19 pandemic, has been recognised in new legislation:

• Employees now have the right to request remote working arrangements.
• Employers must have clear policies to handle such requests and provide responses within a specified timeframe.
• Reasons for refusing remote work requests must be reasonable and communicated clearly to the employee.

These regulations aim to formalise remote working practices, ensuring fair consideration and consistency in handling such requests.

5. Tips and Gratuities (Protection) Act 2022

The Tips and Gratuities (Protection) Act 2022 ensures fair distribution of tips to employees, particularly in the hospitality sector. Key provisions include:

• Employers must distribute electronic tips and gratuities fairly and transparently.
• A clear policy on the distribution of tips must be communicated to employees.
• Employers cannot use tips to meet minimum wage requirements.

This law ensures that employees receive the full benefit of tips given by customers, promoting fairness in service industries.

6. Work Life Balance and Miscellaneous Provisions Act 2023

The Work Life Balance and Miscellaneous Provisions Act 2023 introduces several measures to improve work-life balance:

• Employees are entitled to five days of unpaid leave per year for medical care or to provide care to family members.
• The right to request flexible working arrangements for caring purposes is now recognised.
• Employers must consider these requests seriously and provide justifiable reasons for any refusal.

This act acknowledges the importance of flexibility in modern work environments and supports employees in balancing their professional and personal responsibilities.

Implications for Employers

These legislative changes represent a shift towards a more balanced and equitable work environment in Ireland. As an Employer you must stay informed and compliant with these new regulations to foster a supportive workplace and avoid legal repercussions.

 

In conclusion, these reforms are crucial for creating a fairer, more transparent, and supportive working environment, benefiting both employees and employers alike. As these laws come into effect, it is imperative for all parties to stay informed and proactive in embracing these positive changes.

As always, engage your HR consultant for advice.

The Importance of Good Board Governance

Good governance is the bedrock of organisational success, particularly in the realm of corporate boards. Whether in small and medium businesses or large multi-national companies, the principles and practices of effective board governance shape the trajectory, integrity, and sustainability of these entities. The significance of good board governance cannot be overstated, as it impacts transparency, accountability, strategic direction, and ethical standards—elements crucial for long-term success.

Understanding Board Governance

Board governance encompasses the framework of rules, practices, and processes by which a board of directors ensures accountability, fairness, and transparency in an organisation’s relationship with its stakeholders. These stakeholders include shareholders, employees, customers, and the community. Good governance involves a delicate balance of oversight and strategic guidance, aimed at safeguarding the interests of all stakeholders while steering the organisation toward its goals.

Core Principles of Good Governance

1. Transparency: Ensuring that information regarding the organisation’s operations, financial status, and decision-making processes is accessible and clear to all stakeholders. Transparency builds trust and enhances the organisation’s credibility.
2. Accountability: Holding both the board and management responsible for their actions. This includes adhering to laws, regulations, and ethical standards. Accountability ensures that the organisation remains committed to its mission and values.
3. Strategic Oversight: Providing clear strategic direction and oversight to align corporate objectives with long-term sustainability and stakeholder value creation. The board plays a critical role in shaping and monitoring the implementation of strategy.
4. Risk Management: Identifying and mitigating risks is essential to protect the organisation’s assets, reputation, and operational continuity. Effective governance includes a proactive approach to risk management.
5. Board Composition and Diversity: A diverse board, comprising members with varied expertise, backgrounds, and perspectives, enhances the quality of decision-making and reflects the diversity of the organisation’s stakeholders.
6. Ethical Leadership: Upholding high ethical standards in all aspects of governance sets the tone for the entire organisation. Ethical leadership promotes a culture of integrity and responsibility.

The Impact of Good Governance

Organisations that adhere to strong governance principles often experience numerous benefits:

• Enhanced Performance: Clear governance structures reduce inefficiencies, clarify roles, and empower management to execute strategies effectively. This leads to improved operational performance and financial outcomes.
• Investor Confidence: Transparent and accountable governance practices attract investors by providing assurance of ethical conduct and sustainable growth. Investors are more likely to trust and invest in well-governed organisations.
• Risk Mitigation: Effective risk management practices underpinned by good governance ensure that the organisation can navigate challenges and crises more effectively. This resilience is crucial for long-term sustainability.
• Stakeholder Trust: From employees to customers and the wider community, stakeholders trust organisations that demonstrate accountability and integrity. Trust fosters loyalty and strengthens relationships.

Challenges and the Need for Continuous Improvement

Despite its benefits, achieving and maintaining good governance is not without challenges. Board dynamics, conflicts of interest, and evolving regulatory landscapes demand constant vigilance and adaptation. Regular assessments, board evaluations, and ongoing education are essential to address these challenges and ensure governance practices remain effective and relevant.

Board members must be committed to continuous improvement, seeking out best practices, and staying informed about new developments in governance. This commitment ensures that governance practices evolve in line with changing expectations and emerging trends.

The Future of Board Governance

As businesses and society evolve, governance practices must also adapt. The future of good governance lies in embracing technological advancements, integrating sustainability into decision-making, and fostering inclusive leadership. Technological tools can enhance transparency and streamline governance processes, while a focus on sustainability ensures that organisations consider environmental and social impacts alongside financial performance.

Inclusive leadership and diversity within boards are increasingly recognised as vital components of good governance. Diverse boards are better equipped to understand and address the needs of a diverse stakeholder base, leading to more effective and equitable decision-making.

In conclusion, good board governance is not merely a regulatory requirement or a tick-box exercise; it is a fundamental driver of organisational excellence and ethical leadership. Effective governance ensures that organisations operate with integrity, prudence, and foresight, navigating complexities while maximising opportunities for growth and positive impact. In an interconnected world where trust and accountability are paramount, investing in and upholding good governance practices is essential for sustained success and societal contribution.

 

In any workplace, the health and safety of employees is paramount. For Irish businesses, this involves adhering to specific first aid requirements set forth by the Health and Safety Authority (HSA). Understanding these regulations is crucial for employers to ensure they provide a safe working environment and comply with legal obligations. This article outlines the key first aid requirements for businesses in Ireland, emphasising the importance of preparedness, appropriate training, and the provision of necessary resources.

The Safety, Health, and Welfare at Work (General Application) Regulations 2007 outline the legal requirements for first aid in the workplace in Ireland. These regulations mandate that employers must assess the risks present in their workplace and provide appropriate first aid measures. The extent and nature of these provisions depend on several factors, including the size of the workforce, the nature of the work, and the level of risk associated with the work activities.

Risk Assessment

A thorough risk assessment is the first step in determining the first aid needs of a workplace. This assessment should consider the following:

• The number of employees and visitors to the workplace.
• The nature and scope of work activities, including any specific hazards or risks (e.g., chemicals, machinery).
• The layout and size of the premises, including multiple floors or buildings.
• The location of the workplace in relation to emergency medical services.

Based on this assessment, employers can determine the necessary first aid facilities, the number of trained first aiders required, and the specific first aid equipment needed.

First Aid Personnel

The regulations stipulate that employers must have an adequate number of trained first aiders available at all times. The exact number of first aiders depends on the risk assessment. For example, in low-risk environments such as offices, a single trained first aider may suffice for up to 50 employees. In higher-risk workplaces, such as factories or construction sites, more first aiders will be necessary.

First aiders must undergo certified training to ensure they are capable of providing effective assistance in the event of an injury or illness. Training courses typically cover a range of topics, including:

• Basic life support (BLS) and cardiopulmonary resuscitation (CPR).
• Use of automated external defibrillators (AEDs).
• Treatment of wounds and bleeding.
• Management of burns, fractures, and other injuries.
• Handling of medical emergencies such as heart attacks or strokes.

Certified courses are available from recognised training providers, and first aiders must undertake regular refresher courses to maintain their certification and stay updated with the latest first aid practices.

First Aid Equipment and Facilities

Employers must provide appropriate first aid equipment and facilities based on their risk assessment. At a minimum, this includes:

• A well-stocked first aid kit containing essential items such as bandages, antiseptics, gloves, and dressings.
• Additional supplies relevant to specific workplace hazards (e.g., eye wash stations for workplaces with chemical risks).

First aid kits should be easily accessible and clearly marked, and their contents should be regularly checked and replenished. In larger workplaces or those with multiple floors, additional first aid kits may be necessary.

Additionally, workplaces must have a designated first aid room if the risk assessment deems it necessary. This room should be easily accessible, well-lit, and equipped with a bed, a sink with hot and cold running water, and other necessary medical supplies.

Communication and Record Keeping

Employers must ensure that all employees are aware of the first aid arrangements in place. This includes providing information about:

• The location of first aid kits and rooms.
• The names and contact details of trained first aiders.
• Procedures to follow in the event of an emergency.

Clear signage should be displayed throughout the workplace to guide employees to first aid resources quickly. Moreover, employers should establish a system for recording all first aid incidents. This documentation is crucial for identifying trends and potential hazards, thereby improving workplace safety over time.

Continuous Improvement and Compliance

Regular reviews of first aid arrangements are essential to ensure they remain adequate and effective. Employers should periodically re-evaluate their risk assessments, especially when there are changes in the workplace, such as new equipment, processes, or an increase in staff numbers.

The Health and Safety Authority conducts inspections and enforces compliance with first aid regulations. Non-compliance can result in penalties, including fines and legal action. Therefore, it is in the best interest of employers to stay informed about their obligations and continuously strive to enhance their first aid provisions.

First aid requirements for Irish businesses are designed to protect employees and create a safe working environment. By conducting thorough risk assessments, providing adequate training, and ensuring the availability of appropriate first aid equipment and facilities, employers can fulfil their legal obligations and promote the well-being of their workforce. Continuous improvement and compliance with the HSA regulations are key to maintaining a safe and healthy workplace.

Join our members, DC EC, at their The Electric Circle – Dublin event to explore the future of driving through e-mobility. Get expert insights to dispel EV myths, engage with industry leaders, and connect with fellow enthusiasts. This event offers valuable information on electric vehicles, charging, and green energy for everyone interested in electric mobility. Register to attend here.

The Sustainable Energy Authority of Ireland (SEAI) offers a range of financial supports to help small and medium businesses (SMEs) invest in energy-saving technologies. These supports include grants for energy-efficient products, renewable heat systems, and electric commercial vehicles. There are also schemes for energy audits, energy efficiency projects, and community-based energy initiatives. These aids are designed to help businesses reduce energy costs and carbon emissions while improving overall energy efficiency.

 

For more information on specific grants and eligibility, visit the SEAI financial supports page here.

Minister for Enterprise, Trade, and Employment, Peter Burke, has enacted new regulations under the European Union (Adjustments of Size Criteria for Certain Companies and Groups) Regulations 2024, which raise the balance sheet and turnover thresholds for categorizing companies by 25%.

 

This change means more companies will fall into the micro and small categories, allowing them to take advantage of simplified reporting requirements and audit exemptions. The new thresholds will be effective from 1 July 2024 and applicable to financial years starting from 1 January 2024, with an option for companies to apply them retrospectively from 1 January 2023.

 

Minister Burke highlighted the prompt implementation of these rules to reduce reporting obligations and costs for businesses, particularly benefiting small companies in crucial sectors across the country. Minister of State for Trade Promotion, Digital and Company Regulation, Dara Calleary, emphasized that the regulations align with the Government’s goal to lessen administrative and regulatory burdens on Irish enterprises, significantly aiding small companies that are vital to local economies. Read the full announcement here.