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Minister has power to determine amounts paid to successful litigants under insolvency payments scheme
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High Court, in judicial review proceedings, refuses an order quashing decision by Minister for Social Protection to reduce the overall amounts paid to the three applicants out of the insolvency payments scheme in order to give effect to prior awards of the Circuit Court granted to the applicants pursuant to successful claims for unfair dismissal against their former employer, and rules that: (a) the awards are capable of being calculated based upon the applicants' prior remuneration; (b) the Minister had a discretion to ascertain the amounts to be paid out from the scheme; and (c) the 'notional' formula applied by the Minister in placing a weekly 'cap' on the amounts recoverable by the applicants was neither arbitrary nor unfair.
Judicial review - insolvency payments scheme - application to fund by receiver of former hotel and employer of three applicants who were unfairly dismissed - Circuit Court monetary awards made to each applicant - reduction in amounts paid to applicants by Minister on basis of maximum weekly statutory limit in place at time - no appeal from decision of Minister - application for certiorari of Minister's decision - operation of statutory scheme - whether Minister misapplied the statutory provisions and misdirected herself in law in the characterisation of the awards of the Circuit Court - failure to give reasons for decision to reduce until after proceedings issued - claim for 'financial loss' under unfair dismissals legislation - notional formula undertaken by Minister regarding payment calculation - order of mandamus sought for payment of amounts reduced from initial award - definition of a 'relevant debt' for the purposes of unfair dismissals legislation - awards arguably not based on remuneration but no statutory requirement that such a debt be one which has been calculated by reference to remuneration - purpose of scheme is to provide limited redress based on non-payment from the employer - balance of monies may be pursued against liquidator - Minister has the power to calculate amount - whether a correct exercise of discretion - rational and coherent method - whether an incorrect baseline of €600 per week - Minister has agreed to review decision in light of further evidence, but amounts to applicants may be further reduced.
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