Higgins says 'bonded labour' used to build roads

A modern version of bonded labour is being used in the construction of Irish roads, the Dáil was told.

Socialist TD Mr Joe Higgins (Dublin West) claimed that a multinational company, employing some 2,000 workers in Ireland and the recipient of "massive" State and local authority construction contracts, was engaged in a "major scandal of immigrant worker exploitation of massive proportions".

Naming the company as Gama Construction Ireland Ltd, with some 10,000 workers in total, Mr Higgins said it had built the Ennis and Ballincollig by-passes, and came in six months ahead of schedule. "Now that's easy when you have a bonded labour force working 11 or 12 hours a day with two Sundays off in a month. And then can underbid because of these rates of pay.

"This company imports workers who do not speak English from their home base, controls their passports and work permits, accommodates them often in company barracks, demands 'grotesque' working hours and, incredibly, pay unskilled construction workers between €2 and €3 an hour, and skilled something over €3 an hour".

Speaking during Leaders' Questions, he said the national minimum wage was €7 an hour; the registered employment agreement rate for the lowest paid operative in construction was €12.96 an hour.

"This is not a fly-by-night operation from the boot of a car. This is a major company financed by major State public contracts."

The Taoiseach, Mr Ahern, who repeatedly stressed that every worker in the State was entitled to the protection of Irish law, said the Minister for Enterprise, Trade and Employment, Mr Martin, would take the issue up with the inspectorate of his Department. "The inspectors of the Department have full powers and rigours of the law to investigate records and any breaches."

Mr Ahern added that it would be helpful if the deputy and representatives in other cases provided information. Any such information would be followed up.

"The Minister will raise it with his people to examine this matter, and of course there is legislation in this area that is pending."

Describing the exploitation as a "national scandal financed by extensive public funding", Mr Higgins said such companies "undermine wages and conditions for all workers, and underbid, through crooked means, other companies who pay the full rate".

The TD also claimed that Gama had signed up some of its workers as members of SIPTU "more as a cover", and he called on the union to shelter and protect exploited workers.

Mr Ahern reiterated that "every worker is entitled to the protection of labour law once they're working in this country. We've enforced this in many cases. There was a case here about three years ago where the Department took very firm action for workers who were from one of the new EU countries."

A spokeswoman for Gama Construction Ireland said last night the company "utterly rejects" the "malicious allegations made by Deputy Joe Higgins under Dáil privilege".

She said the company employed about 1,000 workers, all of whom were members of the "appropriate trade unions in the Irish market".

These unions were SIPTU, the TEEU, UCATT, OPATSI and BATU. The company was fully compliant with the registered employment agreement for the construction industry and paid the current agreed rates of pay for skilled and unskilled workers.

The company, she said, would welcome an investigation by the relevant labour authorities.