A security company accused of the “systematic exploitation” of vulnerable migrant workers before its collapse last year has been likened to a “modern slavery” operation by trade union Siptu.
The former management of BGS Security Ltd, which is now in liquidation, was challenged on Friday to “turn up and rebut” a complaint of racial discrimination in breach of the Employment Equality Act 1998 by a former security guard, James Ajibola.
A group of ex-BGSS staff represented by Siptu has now brought new workplace rights complaints against the firm, which had its security operator licence revoked last June.
Around two dozen former staff have won employment rights cases over the non-payment of wages by the company, whose clients included Centra, Spar and Supervalu stores in Dublin. A representative of the company’s liquidator has said it is aware of 53 former staff who were subject to a “very similar” pattern of treatment.
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Ajibola, however, is the first to advance a complaint alleging the company’s actions were discriminatory on the grounds of race.
At a tribunal hearing on Friday, Nicola Coleman of the Siptu Workers’ Rights Centre said the company was engaged in “systematic exploitation of mainly migrant workers from Africa and Asia” it had used to fill shifts as retail security guards at shops all over Dublin without pay.
“This sort of systematic and deliberate wage exploitation could not, would not and did not happen to an Irish person,” Ms Coleman. “In this case, this wasn’t covert, this was blatant, and it can’t have been in anyone’s subconscious, not when a company has solely employed vulnerable migrant workers and failed to pay any of them,” she said.
She pointed to “white Irish or European” employees of BGSS in supervisory or administrative roles as comparators, and said it was “probable” they were paid.
“Somebody was paid,” she said.
“This company continued, even after they had complaints upheld against them. They continued to recruit people into their company; they continued to not pay them, and all of those people were black or Asian. It is blatant discrimination. It is racial discrimination,” Ms Coleman said.
“Mr Ajibola is asking either the respondents turn up to rebut that, or that his case is upheld and he is compensated for the breach of the Act,” Coleman added.
Mr Ajibola was awarded a little over €3,300 in February 2025 for non-payment of wages by BGS Security Ltd after appearing alone before the WRC in late 2024, but met no success in having the tribunal’s decision enforced.
Coleman said that a further difficulty had arisen for the workers, as there was “ambiguity” about whether their unpaid wages could be paid out from the Employers’ Insolvency Fund now the firm was in liquidation.
This was because some of the affected workers had no social welfare contributions, it was submitted.
The tribunal was told there had been active talks to the civil servants administering the insolvency fund since December.
“What they have experienced is a loophole, or a template, for how someone like the respondent can systematically exploit someone in this manner that chimes with the definition of modern slavery, and seemingly get away with it scot-free,” Coleman said.
Applying for an extension of time limits, Coleman said her client was limited in his previous claim, as he was not represented at that stage.
As well as the discrimination claim, it was further alleged Mr Ajibola was entitled to compensation for the failure to pay him according to the employment order for the security sector in breach of the Industrial Relations Act 1949, and that he was due pay and compensation for leave entitlements under the Organisation of Working Time Act 1997.
Steven Gyurko, a representative of Thomas Musiol, the liquidator appointed to BGS Security Ltd on 10th November last year by the High Court, said at the hearing on Friday: “We are aware of over 50 similar cases. It’s probably a systematic targeting of immigrant workers; this is what we see based on our initial investigation.”
“Some of them received payment for a month, or for several weeks, but then they were not paid at all. Some people did get several months of pay, others did not get paid for several weeks, but there is a pattern, what we see here,” Gyurko said.
“We have full sympathy to these employees. They were targeted, and as far as we are concerned, we will try to do everything to process their claim under the relevant payment scheme and arrange payment,” he said.
However, Gyurko said the liquidation had faced “several difficulties”.
“The officers of the company completely disappeared. The company’s director, Hugh Downes, sold his home in Castleknock in August last year, and hasn’t purchased any property here in Ireland since then. We’re not even sure he is here in the country,” Gyurko said.
Gyurko said while it was clear that the wages were not paid, he was not a legal professional and felt he could not comment on whether racial discrimination had occurred. He said the liquidator was “happy to align with the WRC’s decision in this regard”.
Adjudication officer Michael McEntee closed the hearing and is to write to the parties with his decision in due course.
