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Debenhams workers feel “thrown to the wolves” by Government

Debenhams workers feel “thrown to the wolves” by Government

 

By Olivia Kelleher

Striking former Debenhams workers who confronted Taoiseach Micheál Martin in Cork last Friday as he went in to a radio station for an interview say that they feel as if they have been “thrown to the wolves” by the Government.

Debenhams workers nationwide have been picketing for 171 days. They are now maintaining a presence around stores day and night and are finding the early morning shifts bitterly cold.

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They say they are disgusted with the lack of a concrete Government response.

Debenhams Cork Shop Steward, Valerie Conlon, said she was angered by the feedback she received from Mr Martin after he finished an interview on Cork's 96FM.

"There was no commitment. He is going around in circles. Something was meant to happen after Clery’s after Vita Cortex. It doesn't happen. He keeps saying he would like to help us but he has to stay within the law. He is the Taoiseach."

Meanwhile, packers have been sent in to stores throughout the country in recent days.

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Ms Conlon has called on persons considering such a temporary job to consider the implications of their actions on others.

"I would urge them to show support for us. It is only two weeks work for them. There has even been a couple of cases around the country of ex workers doing this work."

On Friday Mr Martin acknowledged that the Debenhams situation was a "difficult one."

“They haven't been treated well by Debenhams. There was informal discussions. I know Mandate the trade union were involved in seeing how much could be released in the liquidation process.

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There was a sum a number of weeks ago. It was nowhere near what the workers would have been expecting in terms of redundancy.

The Government will obviously provide statutory redundancy that is provided for under legislation in this situation.

The Government is looking at legislation that could deal with giving better treatment for workers in a collective agreement situation in the event of a liquidation.

The issue there is can that be applied retrospectively.

Probably not but it would give greater protection for workers involved in collective agreements in the future who would be victims of a liquidation.

We are seeking to see if there is any other way we can help the workers financially through the utilisation of other funds.

It is very challenging.”

Last week Debenhams workers on the Cork picket received support from former Vita Cortex workers.

The workers staged a successful 161 day sit in 2011 at their factory in Ballyphehane in the city in a bid to secure a proper redundancy package.

Former Vita Cortex worker, Cal O'Leary, said that he was heartbroken to see history repeating itself with the Debenhams workers.

"We were lucky in that we had visitors coming in and out bringing us food. These women are standing out in the rain.

I was with Vita Cortex for 44 years and I know the staff here are also employed a long time. I never expected this to happen again. It is a disgrace. Some legislation has to be put in to protect workers.

These people worked twenty and thirty years for the shop and surely to be God something should have been put aside for them.

I hope this never happens to anyone again. We were promised legislation and never got it. I hope they make a difference this time."

Cork Sinn Féin TD Thomas Gould has also called on the government to listen to the requests of Debenhams workers.

“These are not outlandish requests. I support the establishment of a Levy Funds on Private Sector employers for such purposes (with contribution rates ranging from 0.66% to 0.35% of labour costs) such as that which exists in Germany and Austria because this will protect workers going forward.

“The members of the government who happily stood with Debenhams workers on the picket line and pledged their support but are silent now, need to come out in support of this call and ensure that proper redundancy is finally given to these workers.

“These workers are brave and they are determined. They are now involved in the longest running industrial action this state has ever seen and it is time for the government to intervene, put an end to this and give the Debenhams workers what they are entitled to.”

Workers are giving up dozens of hours every week standing outside stores nationwide to prevent stock from being removed onsite.

It is understood that stock across the Irish Debenhams stores nationwide is worth in the region of €20 million.

Workers believe the liquidated stock and cash in the stores should be going in to the Irish redundancy pot.

Instead 2,000 workers in 11 shops are facing in to only receiving statutory redundancy.

When Debenhams shut their Irish branches just before Easter the company said it was "desperately sorry" to have to liquidate its business in this country.

In a statement the company said that they regretted having to close their Irish stores.

“In these unprecedented times, Debenhams is having to make exceptionally difficult decisions.

“Unfortunately, our Irish business has had trading challenges which were exacerbated by the impact of Covid-19.

“In the UK, Debenhams has entered into administration in order to protect its business.

“Regrettably, due to the challenges facing Debenhams Retail (Ireland) Ltd, it is anticipated that an application will be made to appoint a liquidator to the Irish operations.

“As you know Debenhams has already suspended trading in the Republic of Ireland stores and we can confirm that these stores are not expected to reopen.”

Debenhams opened its first outlet in the Republic in the Jervis shopping centre in 1996. Its big expansion in the Republic came in 2006 when it bought the lease for nine Roches Stores outlets nationwide.

Mandate trade union negotiated a redundancy package for Debenhams staff four years ago which included four weeks pay per year of service. This agreement is not being honoured by the company.

The workers have described as "insulting" an offer a few weeks ago by liquidators KPMG that a €1 million fund would be allocated amonst 1,000 workers in addition to statutory pay. In reality they say it would involve some workers receiving just an additional several hundred euro.

The offer was withdrawn when the Cork workers staged a sit in in the Patrick Street store.

The liquidators have previously said that the costs incurred by keeping stock in stores and not progressing the realisation of assets was running in to hundreds of thousands of euro a month.

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