Dáil Éireann Debate, Thursday - 18 December 2025
175. Deputy Richard Boyd Barrett asked the Tánaiste and Minister for Finance if he is satisfied that film producer companies in receipt of the section 481 film tax credit or meeting the test for quality employment and fully vindicating the employment and copyright rights of those working in the film industry; and if he will make a statement on the matter. [69915/25]
View answerThere is €125 million a year, I think, or probably higher, in section 481 film tax support for the film producers of this country. You can add in another €20 million or €30 million from Screen Ireland. It is a lot of money; billions over several decades. Is the Minister enforcing - I believe he is not - the quality employment and training condition? It is about guaranteeing decent quality employment and training for the people who work in the industry. In truth, actors are not being looked after in terms of their royalties and are being forced to sign buyout contracts, and crew are not having their rights vindicated. The Minister needs to monitor and police this properly.
I thank Deputy Boyd Barrett for raising this issue. I know it is an issue in which he has taken a keen interest since long before I was in this role. The Deputy and I, along with Deputy Ó Snodaigh, had some engagement on this matter during the Report Stage debate on the Finance Bill. Section 481 of the Taxes Consolidation Act 1997 provides a 32% payable credit for eligible expenditure on film production in Ireland. The scheme is intended to act as a stimulus to indigenous film industry in the State, to create quality employment opportunities and to support the expression of Irish culture.
The provision of quality employment forms part of the application process for the relief, as the Deputy said. Applicant companies are required to sign an undertaking of compliance with all relevant employment legislation. Adjudication of adherence to employment legislation is not within my direct remit as Minister for Finance. Monitoring of compliance with employment rights legislation is primarily a matter for the Department of enterprise through the Workplace Relations Commission. If there are any issues to be raised with regard to the application of employment law, they should be brought to that Department.
In relation to copyright, which is also within the remit of the Department of enterprise, my officials have directly engaged with relevant representative bodies to better understand issues relevant to the audiovisual sector. There are complex legal issues involved but processes are under way to address them. The Deputy will be aware that an independent facilitator was retained by Screen Ireland in 2023 to meet key stakeholders wherein copyright concerns were discussed and identified directly with industry. As a result of this process, stakeholders have agreed interim best practice industry guidelines while pursuing a path towards a collective bargaining agreement. This is a positive step. Several collective bargaining agreements have been reached in the industry in recent years including construction crew and shooting crew agreements. These agreements provide for improved rates of pay, for standardised work practices and for an industry pension scheme. This demonstrates the scope for positive engagement in the industry and the genuine willingness to reach compromises beneficial for both parties.
Regarding terms and conditions for film workers, it is not my place as Minister to dictate to creative professionals what their stance on pay and conditions should be. Rather, this is a decision for the workers themselves and for their unions to seek agreement in negotiations with employer representatives. It is not appropriate for legal rights to be linked only to one set of circumstances regarding tax credits. I want everybody's legal rights to be enforced regardless of the tax credit. It is important to recognise that the laws that underpin both copyright and employment rights apply regardless of whether a company applies for section 48.
The Minister's Department gives out section 481. The idea that he is not responsible for policing the quality employment and training condition is ridiculous. We need joined-up thinking. Everybody is playing pass the parcel - the Department of arts, the Department of finance and the Department of enterprise - and nobody is responsible. Therefore, workers are blacklisted, overworked, stressed and not treated properly. Their rights are not vindicated. Actors, screenwriters and so on are forced to sign buyout contracts which essentially force them to sign away their residuals. If anybody kicks up, they are kicked out of the industry. That is the actuality of the industry. Is the Minister or the Department aware that Screen Guilds of Ireland, which is funded by Screen Ireland, did a survey of people in the film industry in the summer but never published the outcome? Initially, very few people knew about it but when they found out, 800 film workers painted a very unflattering picture of conditions in the film industry. I have it in front of me. I will read excerpts if I get a chance. It was never published or given to the union. Stagehands recently won cases in the High Court. Equity will tell the Minister, despite what he is being told, that their fight against buyout contracts is ongoing because producers are not responding seriously.
I accept the Deputy's point that there are some examples in the sector but it is important to remember there are up to 16,000 people directly or indirectly employed in film, television and animation production in this country, including in the Tánaiste's constituency and in mine. For every €1 invested under section 481, the return to the State is estimated at nearly €4. It is a significant part of our economy. Deputy Boyd Barrett is correct that we need to be concerned about some of the residuals particularly with regard to the impact of artificial intelligence. The joint Oireachtas committee will look at the issue of the impact of AI on the creative industries and the long-term future for actors. This is a vibrant sector. While there are problems, I do not want it to be painted as a widespread phenomenon. There are a lot of really good employers creating incredible work that showcases Ireland nationally and internationally.
Deputy Byrne captured the point I would make. This tax credit has been extraordinarily successful. Deputy Boyd Barrett is not suggesting that it has not. It has created lots of employment and investment and an ecosystem. I happen to live in and represent a county, as does Deputy Byrne, which has benefited significantly from that, as have lots of parts of Ireland. We have seen progress in workers' rights and the enforcement of employment law in relation to this. I referenced a number of collective bargaining agreements. We want to see more. My job is to put in place a tax credit. People sign up and commit to adhering to certain things under the tax credit. I am making the point that those are policed or enforced by the Workplace Relations Commission primarily. There are a number of issues, of which I imagine Deputy Boyd Barrett is aware, before the High Court regarding substantive issues that arose from the Labour Court. I am often asked why we will not mandate PACT-Equity contracts, as used in the UK. They have been offered to Irish workers on a number of productions and they turned it down because the Irish contracts offered better terms.
The Minister is getting his information from producers.
It is from my Department.
On the work of crew, this survey was responded to by 800 workers. Has the Minister or Deputy Byrne seen it? No, because Screen Ireland has seen it but they have not published it because it paints a very unflattering picture. The words used by the film workers include, "Producers' reluctance to give the crew their full needs", "night shoots and rest days that aren't paid properly", "tight schedules", "long hours", "being hired as a trainee when there are no leads or assistants", "overly long work day", "budget constraints", "ageism", "professional development and progression not happening", "grade progression", "stress and hours", "continuity of employment", "pay", "stress" - it goes on. It was suppressed, effectively, because the people who did this survey do not want the Minister or anybody else to know about the outcome. Stagehands are in the High Court which found in their favour that their rights under the fixed-term workers Act are not being vindicated because of the DAC structure being abused by film producers in a way that means workers in the industry can never accumulate rights under fixed-term workers legislation. On buyout contracts, Equity made absolutely clear it wants PACT-Equity agreement. It is compliant with EU legislation. It has said this repeatedly. Whoever is telling the Minister they do not want it is not telling the truth.
I would welcome seeing that and I am sure the Deputy will give me what he has about the survey. I will also raise it through my Department with the Department of culture and Screen Ireland. If there is useful information that provides us with an insight into the industry, I would like to see that. It is important to see it and it should not be suppressed. I share that view. On whoever is giving me the information, the information is from my Department, to be clear. I am told there have been times when an Irish production has used PACT-Equity terms but there have also been cases where actors have been offered terms equivalent to UK PACT-Equity terms and have refused them on the basis of previous Irish contracts offering better terms, in particular on lower budget productions.
I am sharing that with the Deputy for the benefit of the discussion. Ultimately, as the Deputy knows, it is a matter for workers' and employers' representatives to reach agreement.
It is blacklisting.
Ultimately, that is what we should all be trying to foster here. However, I take the issue seriously. I know this sector through my own constituency and I know many people who work in it. I am aware that the ecosystem has benefited. It is a really positive part of the Irish economy and the Irish offering. Many countries would love to have what we have. If there are areas in need of improvement, I will be very happy to consider them and engage further on them.
