IRELAND – New Requirements for Employers of Posted Workers
On 27 July 2016, the Irish government signed into law with immediate effect the European Union (Posting of Workers) Regulations 2016, transposing into Irish law European Union (EU) Directive 2014/67/EU (The Enforcement Directive).
The Regulations impose a new requirement on EU-based service providers when posting workers to Ireland, to provide a declaration to the Workplace Relations Commission (“the WRC”), maintain certain documents at a place specified to the WRC and designate a person to liaise with the WRC.
Who is affected?
Due to the broad definition of a “posted worker”, it appears the declaration to the WRC is an additional notification obligation in respect of EU or non-EU national employees seconded or “posted” to Ireland from an EU-based service provider pursuant to a Contract for Services Employment Permit, an Intra-Company Transfer Employment Permit, an Atypical Working Scheme Visa or the Van der Elst exception.
The regulations are clear that the EU-based service provider (the sending entity), rather than the Irish entity, is required to make the declaration to the Workplace Relations Commission. However the WRC has commented that:
“Whereas the regulations require the service provider established in the other Member State to make the Declaration, a declaration by the Irish entity will be acceptable, subject to confirmation of the information contained therein by the Workplace Relations Commission with the service provider”.
What exactly is required?
- The employer must make a declaration (in English and using the form provided) to the WRC no later than the date on which the service commences containing the identity of the service provider, the anticipated number of clearly identifiable posted workers, the anticipated duration and envisaged beginning and end dates of the posting of each worker, the address of the workplace to which each worker is to be posted, and the nature of the services justifying the posting.
- The employer must keep at a place notified to the WRC, in paper or electronic form, for the duration of the period of the posting, in respect of each posted worker, his or her contract of employment, payslips, records of daily working time and proof of payment of wages. The employer must be prepared to deliver these documents at request to the WRC even after the period of the posting.
- The employer must designate a person to liaise with the WRC and to send and receive documents and notices as necessary.
- Failure to comply with this requirement is an offence and may result in financial penalties against both the service provider and its responsible individuals of up to €50,000.
The requirement to notify the labour authorities of seconded workers fulfills EU Directive 2014/67, which enforces the 1996 Posted Workers Directive (96/71/EC) and was due to be implemented by EU Member States by 18 June 2016.
- EU-based Service providers posting employees to Ireland should ensure that they comply with the above notification and document retention requirements.