Rose Conway-Walsh: Fastways collapse leaves franchisees owed

Minister, I want to talk further about Fastways, because I think there's just so much to be talked about in that space. But you know that Fastways is built on a network of local franchisees and subcontractors, many of whom have been the backbone of parcel delivery in rural and regional Ireland. Now, these are small family-run operations who have invested heavily, some of them up to £70,000, I know, in recent months on vehicles, on equipment and on staff. And it's based on trust in the system. And they worked hard during the pandemic as well to deliver items to homes in lockdown. Now, many of them are owed significant sums of money with no clarity on whether they will ever see it. They are left in limbo too. Minister. Thank you very much, Cahir. I can thank Deputy Rose Carmel-Walsh again for this very important question, and one which is very close to my heart, as I said, because there's a depot in Mullingar as well, so very much understand the business model and the pressures that employees and leader families do face as a result of this event. Receivership, as I've said, is a long-standing legal mechanism for the enforcement of a security. Usually in Ireland, a receiver is an individual appointed by a lender, such as a bank, to take control of the company's assets or use the security for a loan. In general, a receiver's primary function is to secure the assets of the company which have been mortgaged or charged in favour of the security holder who appointed him or her to realise those assets that are secured as a creditor's debt is repaid as quickly and as efficiently as possible. Creditors, including other businesses and self-employed contractors impacted by the receivership, should contact the receivers and submit proof of debt and to file a claim regarding unpaid monies and invoices. Revenue has confirmed that it will work with individual couriers and businesses, and will be pragmatic in its approach where businesses experience cash flow difficulties as a result of the loss of business payments. Businesses experiencing cash flow issues as a result of these developments may wish to contact also the National Enterprise Hub in our department, which also provides a wide range of supports and is a central all-of-government service to help business and assist them. The Department of Social Protection, who provides a number of welfare supports, is also on hand to assist. If a person is self-employed as a franchise holder or contractor, they may qualify for a jobseeker's benefit, self-employed, if they satisfy the PRSI contributions. They can also apply for a basic supplementary welfare allowance as an interim payment while their application is being processed, subject to normal eligibility criteria. An employee of a franchise holder or a self-employed contractor who is impacted by the receivership, for example, by being put on temporary layoff, may also apply for jobseeker's pay-related benefit or jobseeker's allowance, depending on PRSI record and means. Neither I nor my department have any responsibility in the treatment of packages held by Nirvayan Group. Such transactions are a matter of contract law between the parties. I would reiterate that any affected businesses should engage now with the receivers. Minister, Deputy? Minister, some of that information is indeed useful. I thank you for that. I do also want to commend my own colleague, Senator Marie McCormick, and our Councillor Clare Murray, who are working in the Leash area and pulled together all the agencies last week to try and get information, as much information as possible for people. But it's not just a commercial issue. It's about jobs and livelihoods issues. And every unpaid franchisee, every subcontractor struggling to keep afloat represents a potential job loss and another business at risk. I do want to ask you about the packages. And I know you said that that's no responsibility, but that's not within your responsibility. But many small retailers and online sellers have valuable stock tied up, unable to reach their customers. And for some, this could represent a critical portion of their Christmas trading period. And we need to do something to protect those jobs. Also, I know that they went to on post, some of these businesses and on post are saying that they cannot manage the deliveries that they need. So we're coming into a critical time when people, when small businesses make a lot of their money. Minister? Thank you. First of all, absolutely, I'm fully aware of the gravity of the situation, particularly for franchisees and small self-employed contractors. Firstly, I would point out that obviously in relation to delivery of parcels is a matter for contract law and is very stated out in terms of delivery timelines and orders and obviously refunds as well as part of consumer legislation from the consumer and also in relation to contract law from the businesses in question. I will speak and have mentioned to my colleague Minister O'Brien in connection with this as well from a transport point of view. I know on post has taken a significant amount of, absorbed some of the capacity, but also there are other providers in the marketplace as well. And I do note this is a challenge, but critically this is governed by contract law. Just to also state that there is a number of other opportunities with existing providers for self-employed people and those who are involved in the franchise part of the business. I know a number of companies have taken some workers on board, which is very important as well, because that's key for workers and self-employed people to know that it will not affect, once they don't resign, it will not affect their entitlement to redundancy, to accrued wages, to accrued holiday pay, which is important under the consultation period as well. Minister, this incident highlights once again the vulnerability of small operators when large logistic firms collapse. I really do think that we need to examine the environment in which some companies are allowed to operate in, and employees and those who are dependent subcontractors need to be notified at a very early stage around what's happening. But we also, and I know you referred to it earlier on, we do need better corporate law and ability to investigate where, particularly where we have companies that are owned by investment funds and foreign investment funds, and that we need to have some way of ensuring that businesses who operate in this state operate in a responsible manner, both to their employees, to the environment, and indeed to the state. So I urge you to treat this not just as a single case of corporate insolvency, but as a wider economic risk, and one that could hit hundreds of workers, drivers and small enterprises across the country. Thank you, and again thank you for the question. First of all I would say is that there are huge challenges in our economy with turnover of jobs that I can see as Minister, a huge opportunity, but also that there is a turnover of jobs every single week, and one which the Government is very acutely aware of, and supporting employees through that. In terms of company law, it's very clear that the Corporate Enforcement Authority is the policeman for it, and obviously if there's any issues that should be reported, because we have a very strong statutory context that underpins the operation of companies in this state, and obviously in Gardaí O'Connor for other matters that have been raised, it should be reported, some reports that have been in the media as well. But critically, we are here to support the workers, we are here to support the contractors, any franchisees, and we will do everything we can in terms of ensuring that they get payments. Critically, for families, which I know at this particular point of time, it can be very challenging, and we will be there to support them with urgent payments, because I know as the challenges that many families have, as meeting my clinics every single week, the challenges that families have, and we will not be found wanting as a Government to support them at this difficult time, and I can assure them of training as well, and also that, you know, you are living in an economy of opportunity, there are other opportunities there, so not to lose hope either. Thanks very much, Minister. Question number six.