Minister for Research and Innovation, Mr. Sean Sherlock TD, today (Tuesday) re-stated the Government’s commitment to encouraging and developing sustainable business enterprises which includes those in the co-operative sector.
Speaking at the opening of the Co-operative Alliance Conference Minister Sherlock stressed the importance of Co-operative societies to the economic life in Ireland for over a century. “The co-operative sector in Ireland accounts for about 12 billion euro in annual turnover, and employs approximately 38,000 globally, including around 12,000 people in Ireland.
“Such figures are indicative of co-operatives achievements and the positive impact they have had on the Irish economy and I have no doubt this will continue for many years to come.
“However the Government has now identified in both the Programme for Government and in the recently launched Action Plan for Jobs the need for changes to the current legislation which would facilitate the continuing growth and the development of the co-operative sector in Ireland.
The proposed changes to the current legislation, ‘The Industrial and Provident Societies Acts (1893-1978), will make a number of amendments, including:
· Easing the financial reporting restrictions by extending the period for the preparation and submission of the annual return and accounts to the Registrar of Friendly Societies
· Abolishing the statutory limit on individual shareholdings in societies and the related triennial return of shareholders to the Registrar of Friendly Societies
· Making available to societies the examinership process of the Companies Acts
· Making it easier for cancelled societies to be restored to the register, and
· Easing fund-raising restrictions for non-agricultural societies.
Minister Sherlock said: “By introducing these legislative changes for co-operatives, the Government is recognising the value of the co-operative business model to our economy. These changes will make it easier to start up and run a co-operative as an alternative form of enterprise organisation”.
“The Government hopes to publish this Draft Bill during 2012 and I expect that the planned amendments will make the co-operative model more attractive for those wishing to use it”, Minister Sherlock concluded.