Council to cut 25% off annual E4m compo payouts

DUBLIN City Council expects to slash 25% off its E4 million annual compensation payouts with the introduction of a new public liability claims mediation scheme.

Last year, when the council paid out E7.5m in compensation claims, E1m went on professional fees to lawyers, doctors and engineers.

On average, 500 proceedings a year are issued against the council, of which it estimates 25% could be settled through mediation.

Under the new scheme, claimants can settle cases without taking the often lengthy legal route. The council says its confidential scheme offers a speedier settlement of claims for people who have genuinely suffered an injury or loss.

From June 1, the Personal Injuries Assessment Board will handle all personal injury compensation claims arising from workplace accidents before legal proceedings are issued.

Potentially, the council scheme will divert many cases from the PIAB, as well as from the legal system. Traditionally, many claims against the council have begun with legal action. Last year, the council settled 860 claims at an average E9,000 each. Of the 860 claims, 360 were settled without legal proceedings.

Once liability is not disputed, the scheme works on a phased basis with settlement being sought first with the city council. If this is not successful, an independent mediator is chosen to negotiate a settlement. This will be a person acceptable to both parties chosen from a panel of accredited mediators, with the council paying for the service.

“This scheme is designed to deal fairly and speedily with people who may have suffered an injury or loss,” said council claims manager Tony O’Shaughnessy at yesterday’s launch.

“Many claims do not need to resort to the legal system and could be dealt with faster and more efficiently through mediation,” he added.

“Our trials have proven successful with some cases being resolved within three months.”