NERA Inspection

succe55

Hello,
We have a NERA inspection coming up and I was wondering if any business out there could share their experiences of such an inspection?

We have a small business with employees coming and going as its hard to get experienced employees. Paperwork (contracts) would not be available for each of these employees. If we don't have paperwork for employees what can NERA do?

Thanks!

Peterdalkey

read all about it! http://www.employmentrights.ie/en/media/An%20Employers%20Guide%20to%20NERA%20Inspections.pdf

succe55

Yes i read that but was hoping to get hear some personal experiences from such an inspection.

Also can they check bank records?

Peterdalkey

I would not think they could inspect your records other than as pertain to their area of operation, employment rights etc. I do fear that you mat have something to hide, given that you pose such a question. If so, get proper legal advice from a lawyer.

succe55

Thanks for the replies.

The only thing I'm worried about is lack of proper records - line & learn. All employees have been paid by bank transfer or cash. It's the cash payments I can't prove as nothing was signed by the employee when they recieved it. All taxes have been paid for the cash payments so I'm not worried in that sense its just proving that payments were made. They received payslips along with the cash payments.
Not all employees would have been given a written contract either. Can they fine us for that even though everything else was done correctly?

beazee

Make sure Bank Holiday pay is calculated and paid right and so is Annual Leave. They seem to be focusing on that area back in 2009. Nice chat with the proprietor and all the available staff. You'll be given a list of areas to be sorted out in a given time.

sandin

Its not anything like a revenue audit. - That's the good news.


They are randomly selecting companies and have been doing so for a few years. Sometimes they take an area, other times an industry and otehr inspections are due to complaints by staff or if you are employing people from non-eu countries.

Its good becasue they don't go heavy on you, but do show you what you have to do and get you to have everything in shape.

They will look for example of your contracts and a list of employees names & addresses with pps numbers and pay rates - they will write to about 10% of these witha questionaire.

They will take a set period of approx 4 weeks that will inevitably include a bank holiday and ask for copies of payslips for all staff for that period.

They will ask for holiday records and how people are paid for holidays - remember part-time staff are also due holidays @ 8% of net hours worked and part-time staff are due a pro-rata bankholiday payment if they have worked 40 hours or more in the 40 days prior to the bank holiday. - e.g. if someone works 2 days a week, they should get pad 2/5ths of a days pay for the bank holiday.

All in all its reasonably pleasant and they are very much there to give you a hand and help rather than trying to find something wrong.


I've had 2 of them (2009 & last October - different registered companies in totally different areas) and what I learnt from the first inspection was implemented in company 2 and it was a breeze.

But nothing to worry about and they give you plenty of time to get paperwork to them - usually 4-6 weeks.

succe55

Thanks sandin for your response. I'm not as worried now and its good to hear they give time to get stuff together! We got through a revenue audit so anything after that should be a doddle... hopefully.

neris

If you paid them in cash and did it through the books deducting taxes etc and issued payslips your fine. We had nera years ago and they are a waste of a day but their not as hard nosed as they make themselves out to be. Any issues they just ask you to rectify if possible. (getting contracts issued, paying monies owed)

Voltex

Just make sure you are up to speed yourself on employment legislation.
With us they wanted every employee on a clockcard system...even the senior management team...which we did untill we researched the topic ourselves.

ironclaw

They are extremely through, I'll say that much. They may write to your employee's as well and advise them if they have had some rights violated (pay or otherwise). They may also may write to employee's to verify details. If your not squeaky clean I'd be straight up about it.

Also, I doubt its random. An employee probably companied and wrote to them.

sandin

ironclaw wrote: »

They are extremely through, I'll say that much. They may write to your employee's as well and advise them if they have had some rights violated (pay or otherwise). They may also may write to employee's to verify details. If your not squeaky clean I'd be straight up about it.

Also, I doubt its random. An employee probably companied and wrote to them.

They are thorough, but they are fair and unless they think you are purposely trying to avoid giving your employees a fair wage and their entitlements and a proper contract, they are very helpful.

Mostly they inspect part-time staff and those on hourly rates to ensure they are being paid holiday and bank holiday pay.

My good news is I received a letter today from them saying that I am in compliance and their inspection is complete

succe55

Congrats Sandin.

Thanks for all advice. I'll check all holiday pay, contracts, payslips before the inspection & hopefully nothing else pops up!
Inspection is beginning of June so I'll let you know how we get on.

Thanks