(Ireland’s Employment Permits Amendment Act is set to take effect Oct. 1. In a series of alerts, BAL will highlight the major changes to help prepare employers for this overhaul of Ireland’s employment permit regime.)

Remuneration rules change for ICTs and CFSs


What is the change? The Employment Permits (Amendment) Act revises the definition of remuneration for Intra-company Transfer (ICT) and Contract for Services (CFS) employment permits for new and renewal applications.

What does the change mean? To meet the annual remuneration threshold of €40,000 for ICTs and CFSs (€30,000 for ICT trainees), the basic annual salary must meet the national minimum wage and where this is not the norm, any top up amount paid to reach that level must be shown on the pay slips of the employee. In addition to the minimum wage, accommodation and health insurance can be taken into consideration in meeting the remuneration threshold.

  • Implementation timeframe: Oct. 1.
  • Visas/ permits affected: Intra-company transfer (ICT) and Contract for Services (CFS) employment permits.
  • Who is affected: Employers and foreign nationals applying and renewing in these two categories.
  • Impact on processing times: Delays should be expected as the new remuneration and documentary requirements transition into force.
  • Business impact: Companies may have to revise their payrolls to ensure that pay slips are in line with this new requirement.
  • Next steps: Companies should review the remuneration paid to ICT and CFS holders and work with their BAL attorney to make sure that they meet the new remuneration rules and that pay slips reflect required information.

Background: As of Oct. 1, pay slips for ICTs and CFSs must include the basic salary at the time of the application, top up payments to achieve the minimum wage and all deductions. Employers must be able to verify payments for board and accommodations (or their value) and payments for health insurance.

There will be a grace period for ICT and CFS renewals before the end of the year. For permits due for renewal between Oct. 1 and Dec. 31, the department will accept renewal applications that do not meet the new requirements upon confirmation that the basic salary will continue to meet the national minimum wage, that future pay slips will meet the new requirements and that payments for board and accommodations and health insurance will be verifiable with supporting documentation. The documentation must be supplied within three months of renewal.

BAL Analysis: Employers should prepare for new documentary requirements in the form of pay slips and evidence of accommodations, health insurance payments and all amounts included in basic salary. Additionally, employers are on notice that the National Employment Rights Authority (NERA) will be checking pay slips during employer audits.

This alert has been provided by the BAL Global Practice group in the United Kingdom. For additional information, please contact uk@bal.com.

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