IMMIGRATION: NEW REGULATIONS SET TO IMPLEMENT SIGNIFICANT CHANGES TO EMPLOYMENT PERMIT REGIME FROM 17 JANUARY 2024

On 20 December 2023, the outcome of a Review of the Occupations List was published which made several important recommendations. On 22 December 2023, new Regulations were published that implemented significant changes to the Irish Employment Permit system, some of which were recommended in the Review.

The key feature of the legislative changes is that the minimum annual and hourly remuneration thresholds (i.e. the minimum pay for an employee to be eligible to receive a permit) for most new employment permits will increase with effect from 17 January 2024.

These are, in some cases, significant increases to the current thresholds. The Government has indicated its intention to further increase remuneration thresholds in 2025 and 2026, in line with the recommendations contained in the Review.

Other changes impacting employers include new or amended quotas for certain permits, a new definition of "fast food outlet" for the purpose of the employment permit regime, the addition of 11 new occupations to the Critical Skills Occupations List and the removal of 32 occupations from the Ineligible Occupations List, making them eligible for a General Employment Permit. More information is available on the Department of Enterprise, Trade and Employment website here.

CODE OF PRACTICE – REMOTE WORKING AND FLEXIBLE WORKING

The Minister for Enterprise, Trade and Employment recently confirmed that the Code of Practice on the right to request remote working and flexible working arrangements is expected by the end of January 2024.

The Code of Practice is being developed by the Workplace Relations Commission and will provide practical guidance to employers and employees on dealing with these requests under the statutory framework in the Work Life Balance and Miscellaneous Provisions Act 2023 (the "2023 Act").

The 2023 Act introduced, amongst several other employee entitlements, the right of all employees to request remote working and the right of parents and carers to request flexible working arrangements. The implementation of these rights is expected following publication of the Code of Practice.

Our previous briefings on the other rights introduced by the 2023 Act are also available:

CODE OF PRACTICE ON DETERMINING EMPLOYMENT STATUS TO BE UPDATED

In October 2023, the Supreme Court delivered a significant judgment in Revenue Commissioners v Karshan (Midlands) Ltd t/a Domino's Pizza [2023] IESC 24 in which it examined in detail the law in Ireland on the distinction between employees and self-employed persons and reformulated and restated the law.

For a detailed analysis of this significant case, see our briefing here.

Revenue announced on 3 January 2024 that the Code of Practice on Determining Employment Status is being reviewed and updated by Revenue, the Department of Social Protection and the Workplace Relations Commission to reflect the judgment (Revenue eBrief No. 003/24). In addition to updating the Code, Revenue is expected to issue guidelines on the judgment and its impact on the employment status of individuals for tax purposes in early 2024.

COLLECTIVE REDUNDANCIES IN INSOLVENCY SITUATIONS – CHANGES AHEAD

The Government has recently published the Employment (Collective Redundancies and Miscellaneous Provisions) and Companies (Amendment) Bill 2023 (here). The Bill will deliver on key aspects of the Programme for Government commitments as set out in the Plan of Action – Collective Redundancies following Insolvency.

The Bill proposes amendments to the existing collective redundancy process to strengthen employee protections in insolvency situations. It also provides for the establishment of a statutory expert Employment Law Review Group to assess employment and redundancy law on an ongoing basis to ensure it is fit for purpose. In addition, it will amend the Companies Act 2014 to improve the dissemination of information to employees as creditors in a corporate insolvency situation. For more information on what is proposed in the Bill, see our briefing here.

This article contains a general summary of developments and is not a complete or definitive statement of the law. Specific legal advice should be obtained where appropriate.