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Dáil Éireann debate -
Tuesday, 3 Feb 1981

Vol. 326 No. 4

Financial Resolutions, 1981. - Private Members' Business: Youth Employment: Motion.

I move:

That Dáil Éireann, seriously concerned about the increasing number of young persons who will be seeking work in mid-1981, calls on the Government to review urgently and introduce adequate job creation schemes for youth employment.

To this motion the Minister for Labour has put down an amendment:

To delete all words after "Dáil Éireann" and insert "approves of the policies of the Government for stimulating the creation of employment for young persons and is confident that the Government will keep the operation of these policies under continuous review."

I intend briefly to deal with the Government amendment because it does not deserve extended consideration. It is basically the minimum possible amendment the Government could have put down in order not to have to vote against the motion.

I would be amused, if it were not such a serious matter, at the latter part of the Government's amendment, "that the Government will keep the operation of these policies under continuous review". Unfortunately all of us are familiar with what the Government mean when they say they are keeping something under review. It means they will not do anything at all about it. Members of the House who are concerned particularly with social and other such matters have received letters from Ministers or Departments, notably from Posts and Telegraphs, and they know the results.

I hope to show to the satisfaction of the House first of all the extent of the problem we are now dealing with and, second, the inadequacy of the Government response to that problem. I hope to sketch some proposals not for a solution but for a more positive and practical way to meet the problem. The first thing we have to do is to try to estimate the size of the problem. In a labour survey in 1975 it was indicated that there was then an unemployment rate of 44 per cent or thereabouts among young people. Since then, it is true to say there has been some criticism of the findings of that survey but to say that the problem is not that great does not mean that it is not a great problem. It is a great problem, one which has persisted under this Government.

We have the advantage of a new quarterly age analysis of the live register now being published by the CSO. The latest one, dated 17 October 1980, refers to people on the live register on 18 January and 18 April 1980. On the latter date, the most recent we have, there were 20,439 young people up to the age of 24 looking for work. They represented virtually a quarter of all those looking for work at that time. Therefore, 22 per cent of all those looking for work then were aged between 15 or 16 and 24 years. What the figures do not tell us unfortunately is the percentage of the total labour force those 20,500 forms, and if the Minister for Labour has that information we would be grateful to him for it.

This represents a very serious situation because it indicates that there are not just 20,500 looking for work but that between 18 April last and 1 September 1981 that 20,500 figure will have been swollen by the numbers leaving school, with or without qualifications, who will be looking for work for the first time. When we look more closely at the figure, the regional aspect is worth investigating. For instance, the figures tend to show that of those under 20 years looking for employment on 18 April last, 37 per cent lived in the eastern planning region. I think we can accept that the problem of youth unemployment is particularly acute in the eastern region. The extent of youth unemployment in the eastern region is probably greater than the proportion of the work force which actually resides there.

We also have to take into account the fact that the live register for various reasons understates the numbers of those looking for work. Those of us who in our constituency work deal with unemployment benefit and assistance cases know very well that for the average teenager living at home there is a series of disincentives to sign on for unemployment assistance. A means test is applied to young people who live at home to such an extent that what they are offered when they sign on at employment exchanges a couple of times a week would not pay the bus fares to get them in and back. They simply do not show up, they have been squeezed off the live register.

I suggest it would be a conservative estimate to say that the underestimation of these age groups in the unemployment statistics is probably as high as 33? per cent. Therefore, we can talk with some confidence of a base level of youth employment of the order of 30,000. It is to this level that we must add the school leavers of 1980 and 1981. The sad fact is that this is not a transitory phenomenon but looks set fair to be one of the most intractable economic and social problems not just here but in other countries as well.

A publication by the Council of European National Youth Committees for 1977-78 noted that at that time — things have not got much better — 17 million people were registered as unemployed in the 24 OECD member states. That figure represented 5.3 per cent of the labour force. The important thing is that 41 per cent, or almost half, were under 25 years of age despite the fact that this age group comprised only 22 per cent of the active population. In other words, in the OECD countries, which represent a fairly broad spread of economic activity, young people are represented in the unemployment statistics twice as heavily as one would expect them to be, given the proportion they form of the total population and of the labour force. The Council commented:

There is an increasing amount of evidence that youth unemployment is no passing cyclical phenomenon. There is growing recognition that in many respects youth unemployment is basically a structural problem aggravated by cyclical factors. This implies the need for more effective long-term actions than have so far been undertaken if the problem is to be solved rather than alleviated.

That is the base line. Let us look at the situation as it has developed since then. We can take the recently published White Paper on Education as a guide and assume fairly accurately that approxiamately 50,000 17-year-olds would have been coming on the labour market last year and something similar this year.

This represents the best part of 100,000 young people who will be showing up in the live register statistics when they are published. My indications are that the figure last year was 54,000 and this summer 57,000 young people will be coming on to the labour market for the first time and looking for jobs. Equally we could argue that this rate of young people coming on to the labour market will continue for the foreseeable future. We have the fastest growing youth population in Europe and our sluggish approach to the problem of unemployment in general, and youth unemployment in particular, does not offer any great hope that this problem will be seriously tackled, much less resolved. The best we can hope for under this Government is that minor adjustments will be made so that the kettle can be taken off the boil in order that the total effects of unemployment on young people will not be politically damaging to the Government in power.

Up to 1990 there will be approximately 70,000 17-year-olds every year, not all of them can be catered for by the extension and expansion of higher education. Indeed it is questionable whether they ought to be because higher education is a particular form of education which should, in my view, be available to people throughout their adult life and not just at the age of 17 or 18. To attempt to solve the youth unemployment problem simply by expanding third level education would simply be to postpone a solution to that problem.

I spoke a moment ago of the social effects of youth unemployment and these cannot be emphasised enough. It has now become increasingly evident that unemployment, like many other unpleasant things in life, frequently affects those least well equipped to deal with it. The general breakdown of community life in large urban areas has often left young people with few social contacts outside school and school-related activities. Having left school and failing to find a new work environment in which to develop their social contacts, young people may often become isolated and insecure. Insecurity can often manifest itself in aggression. Finding themselves unable to prove themselves or establish any kind of independent identity through the norm of work, young unemployed may often turn to petty crime as a means of proving themselves outside the social norm. This rejection of social norms, coupled with aggression based on insecurity, can often lead to a dislike of authority, to put it as mildly as possible, and to a distrust of police and a cynical attitude towards anti-unemployment measures, social workers and youth organisations.

I do not think anybody in this House who watched the "Today Tonight" programme yesterday dealing with Fatima Mansions would have to travel any further for the evidence. Deputy Briscoe, who spoke a few minutes ago on the budget, represents the area in which that particular establishment is located. This programme gave the most graphic illustration possible of the kind of social damage that is inflicted on young people in our society who are condemned to unemployment. Unemployment is bad enough when it hits the young or the educationally disadvantaged but when it is inflicted on those who are not only young but educationally disadvantaged as well the cumulative effect can be horrifying. Those of us who work in the city will know of the social problems which are allied with the economic ones. They will know of the difficulty of getting a job if one's address is Fatima Mansions or even Ballyfermot or some other comparatively long-established suburb or inner city area which has come to have a bad name.

Not only do young people in these areas find it difficult to get jobs but when they do succeed in acquiring employment they are frequently exploited to the most merciless degree. The Irish Transport and General Workers Union, as part of their concern for young workers generally, have published quite scarifying details of the degree to which young workers are exploited and the degree to which laws which were passed by this House in an attempt to prevent the exploitation of young people are being flouted, morning, noon and night. That is the level of the problem — a base of 30,000 seemingly almost permanently unemployed young people and 55,000 or so coming on to the labour market in each year. It is a prospect to make even a strong Government quail and this is by no means a strong Government.

To indicate the inadequacy of the Government's response in this area, I should like to refer very briefly to some of the provisions in the recently published Book of Estimates. In Vote 30 — Office of the Minister for Education — there is a grant-in-aid for youth employment schemes. Last year it was £500,000; this year it is being increased by 10 per cent or the miserly figure of £50,000. We all know what the inflation rate has been in the past year and that it has not been 10 per cent, so we may take it as axiomatic that under G. 5, the Department of Education's main contribution to youth employment schemes, there has been, as in so many areas, a cut-back in real terms.

Let us now turn to the Department of Labour or the Department of the Environment, both of which are relevant in this area. I am glad to see the Minister for Labour in the House and perhaps he can enlighten us further. The employment incentive scheme, which was not entirely devoted to young people but partly so, has actually been halved. Last year the amount provided was £4.1 million and this year it has been reduced to £2 million, so the unemployed young people who are looking forward to some employment under the employment incentive scheme — and that scheme had its faults, although at least it was a scheme — will be half as likely to get assisted places in employment this year than they were last year. Under the heading for the Department of Labour the work experience programme has been pegged at £2.1 million. Taking into account the fall of 18 per cent in the value of money this represents a drop in real terms.

I would draw the attention of the House to subhead G in the Vote for the Department of the Environment where the amount being made available for grants in respect of environmental works, on which many young people were employed, has been cut by 30 per cent from £1.5 million to just over £1 million. In all the Departments through which were provided funds for youth employment of one kind or another the story is devastating. There are only cutbacks and retrenchment.

One aspect of the Department of Labour which deserves special consideration is that related to AnCO. It could be argued that the work of AnCO is not youth employment but training. To some extent that is true, but when young people go on AnCO training courses they come off the unemployment register so it is, after a fashion, a form of employment scheme. The evidence is that young people take up about 80 per cent of AnCO training places. I will look briefly at the AnCO Vote to see the degree to which AnCO have been enabled to meet the responsibilities being thrust on them by the Government's failure in other areas. The general grant for AnCO this year is up by about 11 per cent from £17.5 million to £21 million. One does not need a pocket calculator to work out how far below the rate of inflation that is. If AnCO were to continue to provide the same measure of services they provided last year, assuming last year's were adequate, which they were not, that grant would have had to be substantially increased. That grant, like many others has been a victim of the axeman who sat around the Cabinet table towards the end of last year and the beginning of this year.

The Minister may argue that the increase for AnCO in the capital expenditure grant is hefty. It is, as it has been increased by £6 million to £9½ million this year, an increase of more than 50 per cent. It is important that the capital grant should be increased as AnCO cannot provide anything for young people unless they have premises in which to provide it. However that increase must be looked at in the context of the overall need and is the context of AnCO plans. The AnCO organisation began a massive expansion programme in 1978 and in order to achieve the Government's targets they planned to double the number trained to around 20,000 by 1982. To continue the impetus of those plans it was estimated that £11 million would be needed in the capital programme for 1980. Barely half of that amount was provided in 1980. In effect, in the 1980 budget, certainly the original budget, all they got was an extra £1 million which was the absolute minimum required to meet 1980 commitments entered into in 1979. Last year in relation to AnCO capital development was virtually at a standstill. The situation now is that with much huffing and puffing the Government's 1981 figure is still £1½ million short of what AnCO needed last year if they were to provide the places for training opportunities coming up to 1982.

There are various AnCO schemes which we will be paying for this year. There is at least one that was organised in co-operation with the VECs for summer programmes of six weeks duration for young people which could not be held last year because of the cuts and will not be held this year for the same reason. We get the impression in relation to the AnCO Vote that the positive effects of spending this £9½ million in capital terms will not be seen in the youth employment statistics for this year and that we will be lucky if they are seen by next year if the many serious problems involved in planning the work of such a large organisation over such a long period are to be adequately tackled. Basically, the programme which was ruthlessly interrupted by the Government last year, in AnCO development has been restarted but it is over a year behind schedule.

I call on the Government to consider extending the funding to AnCO to allow them to reintroduce their career training programme, run with the VECs, in the VEC schools which are unused in the summer recess. These courses were immensely popular with the VEC authorities and with young people and resulted in a very high degree of jobs placement afterwards. If we are not prepared to spend money on this now we will be picking up the pieces and paying far more for doing so later on, not just in terms of social unrest but in terms of social inadequacy, unemployment and related problems.

I have made one suggestion and I hope in a more concrete from to suggest four major steps that can be taken to close the gap on youth unemployment and give our people more hope and more confidence in their future and in the future of the country. I would argue for the establishment of a special register for all school leavers and young unemployed people.

In conjunction with this, will the Minister seriously consider whether or not, first on a voluntary basis but perhaps later on a statutory basis, employers should be required to notify the manpower service of vacancies occuring in their plant. Several EEC countries insist on compulsory notification of vacant jobs by employers to the national manpower services. It is incredible that such a step takes so long to carry out not just for the effect that it has on the ability of people to find jobs and the likelihood that they will get jobs that are suited to them but because the absence of such information must make a Government manpower policy that much more difficult to plan. Jobs are notified to employment exchanged from time to time. Is is likely that no more than 30 per cent of all vacancies are so notified. There is a serious shortfall of information. I believe requiring employers to register will not only help young people but over a period of time it will also, taken in conjunction with the fair employment legislation, help to erode the kind of situation in which people get jobs not because of what they are but because of who they are.

It is impossible to eliminate patronage completely from the employment network but we should be taking steps which will give young people more confidence in the employment market, which will make sure that all the jobs that are there are actually notified to them and that they will have a reasonably fair chance of getting any job for which they are likely to apply. Would the Minister consider notifying job vacancies in countries other than this one to young people? This, for obvious reasons, is a subject which has to be approached very delicately.

Our first priority must be to provide jobs for all our young people at home. If there are jobs available abroad and if young people want to go abroad for a couple of years to broaden their experience and come back here better qualified more experienced and more useful to our society on a voluntary basis, why should we deny them that opportunity by not at least making the information available to them? When I was 21 I went away and worked outside the country for one-and-a-half years with every intention of coming back. In my experience young people who have done that are very often able to make a very positive contribution to the world of work, the world of politics and society generally here because of the slightly broader experience. If the jobs are there and if they can be notified, especially to young people, why are they not being notified? Will they be notified?

The second major area in which an improvement can be made is in the coordination and extension of existing temporary schemes and the development of an integrated and planned programme of employment and training opportunities for the young unemployed. At the moment we have schemes under the Departments of labour, the Department of the Environment and the Department of Education. Those schemes are not only working in some odd sense in competition with each other but very often the grant and payment levels applicable to broadly similar schemes are different in different Departments. It confuses young people and their parents. They are encouraged perhaps to believe that a scheme which pays most money is the higher status scheme and the most benificial one whereas it might not be the case.

There is an urgent need for a much more integrated approach than there has been in the past. Even at the most basic level, the absence of any formal link of any significance between the trainee authority, AnCO, and the placement authority, the National Manpower Service, must be seen as a cause for concern. The right hand must know what the left is doing. There is even a case perhaps to be made for a manpower authority, not another superstructure of bureaucracy but a small steering committee or organisation designed to make sure that as far as possible the needs of young people and the needs of the employment market will be matched to the closest possible extent.

The third possible solution is that we would think seriously, in view of the seriousness of the problem and in view of the fact that employment hits young people proportionately harder, of setting up a youth employment agency as an integral part of a manpower agency or a manpower authority which would have the authority and the staff resources to implement a programme and mobilise the efforts of local communities in devising schemes. The youth unemployment problem is not just a problem: it is rapidly approaching the dimension of a crisis. If we have not got measures like this we will do no more than scratch the surface of that problem of crisis.

The fourth concrete proposal I would like to make is that there should be a development and extension of school based work-experience schemes. A number of schools already have begun such schemes with great success. It is only now that many people involved in education are coming to realise that the majority of school leavers will not be going into higher education immediately and that the school curriculum and outlook has been determined to far too great an extent by the needs of the third level sector and to a far too small extent by the needs of the huge majority of young people, well over 80 per cent, who will be going directly into the world of work if they are lucky and to the world of no work if they are not.

The schools, and many educationalists will tell you this today, have been for far too long too much the Ivory Tower, too removed from the hurly burly of the work place, too removed from the realities of the very hard life many young people have to go into. I believe there is room for massive expansion of those work-experience programmes based on the school. I believe that as long as they are based on the school and do not pose any threat to employment in the normal sense those schemes will be developed and encouraged by the trade union movement. Now is the time for the Minister for Education and the Minister for Labour, acting together, to extend those programmes to encourage further experimentation so that young people will learn about the world of work not in a brutal and sudden way but as part of a transition that can start as early as the age of 14 or 15.

Four years ago the Government, then the Opposition, made considerable play of young people, their needs, particularly their needs for employment. I do not know the degree to which that produced any electoral results. I believe that it was the anxious parents of the young teenagers of that time rather than the teenagers who responded electorally to that plea on the part of the then Opposition. Many of the young people to whom that plea was directed four years ago are still unemployed. They will still be unemployed if they are unlucky another four years from now, if the weak and ineffectual policies of the Government in relation to youth employment in particular are allowed to go on unchallenged. The Labour Party challenge the adequacy, the direction and the relevance of these programmes and call on the Government now, even at this late hour, to do something about them.

I move amendment No. 1:

To delete all words after "Dáil Éireann" and insert "approves of the policies of the Government for stimulating the creation of employment for young persons and is confident that the Government will keep the operation of these policies under continuous review."

Before giving the Government's viewpoint on the way forward and the solutions to the problems, I should like to compliment Deputy Horgan on his contribution as he sees the problem, and on being honest enough to admit that the problems are not only Irish problems but European and, indeed, world problems. Like many Opposition speakers, Deputy Horgan has told us all about the problems and has made a few suggestions about solutions, which is normal and usual.

It is necessary to say at the outset that the subcommittee on Youth Employment of the Manpower Consultative Committee emphasised that young people should not be regarded as a separate element of the labour force and the provision of special schemes, such as those introduced in the current recession, should not indicate a separation of youth employment from the general labour market. In so far as there is a youth unemployment problem, its main cause is the lack of overall job opportunities in the economy and not something which is specific to youth. Therefore, a reduction in the level of youth unemployment will be achieved mainly through economic growth and the consequent rise in labour demand. In saying this, I am conscious that, because of our population structure, we have increasing numbers of young persons with a higher level of education than ever before and with expectations that reasonably look to a satisfying future in our country. I must repeat that these young persons should not be regarded as a separate element of the labour market.

The cause of the present youth unemployment problem are many. The major ones are, of course, the recent low rate of economic growth in most countries and, in some cases, the demographic effect of the post-war "baby boom", with many young people entering the labour force in the mid-seventies. Structural factors have also played a part and various job protection measures have placed young people in a weaker competitive position in the labour market compared with older workers. Trends in relative wage and non-wage costs may have made employers less willing to hire and train young people. Finally, some commentators have asserted that there are increasing mismatches between the qualifications and attitudes of young people and the jobs available.

As regards the future, our economies are experiencing a second major recession triggered by a sharp rise in oil prices. Nevertheless there are indications that the beginning of the end of the present world economic recession is in sight. Previous experience indicates that the increase in unemployment will be borne mostly by young people. For the seven larger member countries of the EEC indications are for a sharp rise in youth unemployment over the next year-and-a-half with youth unemployment rates increasing by more than one-third on average. At present about 64,000 young people leave annually from all levels of the education system here in Ireland.

The National Manpower Service have carried out an annual survey for several years in which second level schools are asked, in late spring, for details of the destinations — that is, employment, unemployment, further education, and so on — of the previous year's school leavers. The latest results available are those for the survey carried out in 1979 concerning young people who left school in 1978. The following are, for each year, the proportions of those who entered the labour market and who were in employment at the time of the survey:

Left in summer

In employment next spring

1975

88 per cent

1976

88 per cent

1977

89 per cent

1978

95 per cent

These figures indicate that the majority of school leavers obtain employment and this is also true in relation to those leaving third level education. It is, of course, the objective that every young person should have the opportunity of permanent employment as soon as possible after leaving the education system. A major survey involving direct interviews with a sample of those who left school in 1979 was carried out in May 1980. The results of this survey will be available in the near future.

I turn now to a closer examination of the youth employment situation. The 1977 Labour Force Survey showed that over 280,000 young people under 25 years of age were in employment at the time the survey was carried out, representing almost 30 per cent of our labour force as opposed to the European average of just 17 per cent. While concrete estimates are not yet available, the indications are that the number of young people in employment grew substantially between 1977 and 1979. The people entering the labour market are likely to increase still further in the next few years and to stabilise at a high level thereafter.

The live register figures produced by the Central Statistics Office have been criticised on the grounds of non-inclusive of many young unemployed. An age breakdown is now available, which shows that 30,000 registrants are aged under 25. It is considered that there are, at most, 15,000 first-time job seekers not shown in the figures of registered unemployed, resulting in an estimated level of youth unemployment of 45,000.

High levels of unemployment are being experienced in western countries both those in the OECD area and in the EEC. The increase in unemployment in three EEC countries in 1980 was significantly greater than in Ireland. In the United Kingdom, Denmark and the Netherlands unemployment increased by 66 per cent, 56 per cent and 49 per cent, respectively, compared with an overall increase of 38 per cent here in the same period.

In addition, our experience of the 1974-76 recession shows that an improvement in the unemployment situation occurred much earlier in Ireland than in most other EEC countries. There are indications, admittedly tentative, that unemployment is reaching its peak here. During November and December the increase in the seasonally adjusted live register, which indicates the underlying trend in unemployment, was significantly less than in previous months.

While the Government take the view that the best solution to youth unemployment lies in the creation of permanent jobs, nevertheless, special measures have been introduced aimed specifically at young persons. The four main special schemes are as follows: Community Youth Training Programme (AnCO); The Temporary Grants Scheme for Youth Employment (Department of Education); The Environmental Improvement Schemes Programme (Department of Environment); and The Work Experience Programme (Department of Labour).

AnCO's Community Youth Training Programme was set up to provide extra training opportunities for young people. It was designed to supplement AnCO's existing training programmes by offering opportunities for young unemployed people under 20 years of age, with no previous work experience, to acquire basic skills and learn about the world of work by undertaking community projects. The objectives of the programme are to impart basic industrial skills and to develop self-confidence in young people and a sense of responsibility and co-operation which would enable them to obtain suitable full-time employment. The number of young people who participated in the scheme in 1980 amounted to 2,071 representing a total of 735 man years' employment.

The temporary grants scheme for young employment operated by the Department of Education provides for the payment of grants to youth and sports organisations towards the cost of projects aimed at improving local amenities. The scheme provides jobs for unemployed young people aged 17-23 years and gives them an opportunity of learning some basic skills and to acquire work experience. During 1980, 1,850 young people participated in the programme making a total of 560 man years employment.

The environmental improvements schemes programme is implemented by local authorities and under it unemployed young people are engaged mainly in work of an environmental amenity or recreational value to the Community. It is a condition of the programme that 75 per cent of the jobs provided should be for persons under 25 years of age. Young people participating are paid full wage rates. Figures for 1980 are not yet available. In 1970 a total of 909 man years employment was created.

The work experience programme which is administered by the National Manpower Service of my Department was introduced in September 1978. The programme is designed to help unemployed young people under 25 years but particularly those in the 18 to 20 age group who are experiencing difficulty in securing suitable permanent employment to gain practical knowledge of working life which is a valuable asset when seeking full-time employment. Under the programme these young people are placed with employers both in the private and public sector for a maximum period of 26 weeks to get first-hand practical experience over a range of different activities. Since the programme commenced about 11,000 young people have participated in it. The success of the programme in alleviating youth unemployment may be judged by the fact that over 80 per cent of the participants succeeded in getting permanent employment — almost half with the employers offering the initial work experience. The throughput for 1980 amounted to 7,258 participants representing 2,122 man years employment.

These are the four principal schemes introduced by the Government to cope with the problem of unemployment among our young people especially school leavers and I should like to take this opportunity to ask employers, local authorities, sports and community organisations to participate more actively in these schemes in 1981.

At our request the OECD have agreed to carry out a major examination of our youth employment policies this year. This is part of a series of such examinations being carried out in member states of the organisation and will enable us to review all aspects of policies and programmes aimed at youth.

The special position of the disabled and disadvantaged in obtaining employment has not been overlooked. The Government are committed to increasing the employment opportunities for disabled persons in the public service. This will have a favourable effect on the employment prospects of young disabled job seekers. The Government confirmed this commitment in the Second National Understanding for Economic and Social Development and it is determined to achieve a quota target of 3 per cent of public service employment for disabled people as quickly as possible. Acting on this determination, my Department has arranged for suitable disabled people to be recruited to a wide range of grades in the civil service.

In recognition of the special social and economic problems of the Dublin inner city area the Government set up an inner city group which is now under the aegis of the Department of the Environment and provided it with a sum of £1 million for expenditure on projects in the Dublin inner city. The group has no executive functions; those are discharged by the appropriate Department or agencies.

In addition, my Department is actively involved in assisting and encouraging local authorities, health boards and other State bodies to increase their intake of disabled persons in line with the Governments commitment to a 3 per cent quota.

I will now briefly mention some of the projects being assisted by the group which it is hoped will assist in reducing youth unemployment in the inner city area.

The Dublin inner city employment programme was drawn up by my Department on the recommendation of the inner city group. It is a special employment incentive scheme for the relief of unemployment in the inner city. The scheme which came into operation on 1 January 1981 provides that any employer who employs a person from a special inner city register of unemployed will receive a weekly premium of £30 for each adult worker and £20 for each worker under 18 years of age in respect of eligible employees. Premiums will be payable for up to 26 weeks. A sum of £161,000 has been allocated for the scheme and it is hoped that up to 200 persons will be employed under the programme.

The second project worthy of mention is the Lourdes Youth Community Centre in Rutland Street. A sum of £12,000 is being given to this centre to renovate its premises at Rutland Street School for use as a community and youth service centre.

A further sum of £8,000 has been allocated towards the running of a craft centre in these premises. The purpose of the craft centre is to give young persons an introduction to basic skills such as woodwork or metalwork which will be of benefit to them when seeking employment.

AnCO is also involved in running courses in the inner city of Dublin and in communuity work shops in which almost 600 people were trained during 1980.

Finally, I should like to draw attention to the north inner city co-operative. This co-op, based in Killarney Street, has established a furniture workshop and a design workshop. The inner city group fund will recoup the salary of the manager of the co-op for two years to help it in its initial phase. Two supervisors' salaries will also be paid. The group have also agreed in principle to give financial aid to the co-op to lease new premises which will enable the co-op to expand its activities and provide more employment.

The Government are also concerned at the plight of travelling people and AnCO has assisted in establishing a number of workshops for travelling people in 13 locations around the country. These workshops are aimed at young people in the 16-25 age group and are geared towards integrating the travelling people on to main courses in AnCO centres and into their own local communities. Almost 250 such young people were trained in these workshops during 1980, and it is hoped that a similar number will be trained during 1981.

The Government's White Paper "Programme for National Development 1978-1981" referred to an apparent bias against industrial employment in Ireland. The Manpower Consultative Committee, of which I am Chairman, established a working party on attitudes to industrial employment in June 1979 to examine the apparent bias against industrial employment, the reasons for it, and to suggest ways of overcoming the bias.

The task of the working party is to recommend ways to attract a greater inflow of young people into industrial employment by keeping them informed of career prospects and to eliminate, with the assistance of industry itself, any bias which may exist, and it has already made a number of recommendations in this regard. Amongst these recommendations is the setting up of a schools-industry links scheme. The aim of the scheme is to facilitate contact between industry, schools, teachers and parents in order to develop informed attitudes towards industrial employment on the basis of adequate information to create an understanding of the career opportunities in industry and generally, to create informed opinion about industry.

The first schools-industry link scheme was started in Athlone on a pilot project basis in mid 1980. The second was launched in Dun Laoghaire last month. A further two schemes will commence this month in Letterkenny and Sligo. I visited the one in Athlone and was pleased to see the advancement there. Management are going to lecture there and students will see what it is like to work on the factory floor. This is a worthwhile project and I hope it will expand. Similar projects will be launched later in the year in Castlebar, Ballina, Carlow, Skibbereen and Finglas.

The Government are very conscious of the importance of ensuring that young people are adequately trained for the current needs of the labour market and thus avoid mismatch between supply and demand. The Government accordingly committed themselves in the Second National Understanding for Economic and Social Development to increase the state's contribution to the financing of the training and retraining of workers. In line with this commitment, the subventions to AnCO and Cert have been significantly increased for 1981.

AnCO trained 15,700 people during 1980, 79 per cent of them being under 25 years of age. AnCO is confident that it will provide training for at least as many people during 1981. During 1980 AnCO placed in jobs almost 70 per cent of people completing courses and this figure rises to 80 per cent in relation to those under 25. One of the reasons for this high placement rate is the fact that AnCO is responding to changes in technology, and now caters for such areas as electronics, computer programming and advanced welding, areas very relevant to the needs of modern industry.

AnCO are monitoring the apprenticeship situation very closely to ensure there is no drop in the stock of apprentices as happened during the previous recession. Such a drop could seriously retard a quick take off in industrial production as the recession eases.

One of the recommendations of the MCC report on youth employment referred to the need for a comprehensive examination of the educational system regarding its relevance to modern employment of a technical nature. The rapid technological developments in many areas of Irish industry which are anticipated in ensuing years, will lead to a need for continuous updating of the education and training systems so that we will have a properly qualified work force with the incentives and enthusiasm necessary to meet expanding technology.

Education policy at all levels will have to try to satisfy the needs of society as will as individual needs. In the Government's recent White Paper on Education the Minister for Education indicated his proposals to meet this challenge.

At second level there has already been significant progress in developing programmes to prepare students for their various roles in society. The pre-employment courses which have been operating for the past number of years are an example of these types of programme. There are, at present, over 3,000 young people attending pre-employment courses being held in 120 schools throughout the country in 91 vocational and 29 community comprehensive schools.

The courses are an excellent method of preparing young people who would ordinarily leave school to seek employment when they reach the school leaving age, to make the transition from school to working life. The courses provide participants with the opportunity of pursuing a programme which is specifically designed to assist them secure suitable employment. Young people are helped to acquire the skills which are important in working life and to bridge the gap between the values and experiences of the world of school and those of the world of work.

The pre-employment courses are designed as both a learning and maturing process and also as a career orientation process.

The three main components of a pre-employment course are: (1) Personal development; (2) Technical knowledge; and (3) Work experience for one day per week

The work experience element of the programme is important in that it provides participants with first-hand formal experience of work situations. Indeed, it is through these direct contacts with employers that many of the participants find employment. Between 60-70 per cent find jobs before the programme ends and the final employment level is often as high as 90 per cent.

There is now a greater appreciation of the need for an educational system at both second and third level to take more account of the needs of the labour market.

The Government continue to be concerned at the lack of suitably qualified technicians and will be establishing new regional technical colleges in the Dublin area and expanding that in Tralee to help redress the imbalance between the supply and demand situation of well qualified manpower. Three thousand places are also being provided at the National Institute of Higher Education, Dublin and 2,000 additional places at NIHE, Limerick.

In response to the work of the Manpower Consultative Committee in the area of occupational shortages, the education authorities have expanded existing courses and developed new courses in the engineering and computing fields. There has been a tremendous response from the education sector to the manpower education programme. This is evident from the fact that input to the normal four-year engineering courses in the universities, and colleges of technology increased by 230 or one-third between 1979 and 1980.

It should also be noted that the budget provisions announced last week included increases above the general average for science and technology.

Traditionally, education, employment and industry have developed independently and this has led to imbalances between supply and demand. Now with the work of the MCC and greater coordination between the various parties involved, it would be hoped that this would not occur in the future.

The National Manpower Service of my Department each year invites all young persons leaving the education system and seeking employment to avail of its services. Placement officers of my Department interview these young people, advise them regarding opportunities, training facilities, career options, youth schemes, and also register them for employment. The National Manpower Service also, of course, assists employers to fill their vacancies from its register of job seekers. This register includes persons of many professions and skills as well as general workers and first-time job seekers. I would encourage employers to use the service, avail of its facilities for selection and, if necessary, aptitude testing, in seeking to fill their vacancies.

I mentioned at the beginning that the Government do not view the provision of jobs for youth in isolation from the total labour market. This year exceptional measures have been taken to provide jobs. The investment plan will result in higher direct employment of about 10,000 most of which will be in building and construction. This extra employment will be largely additional to the jobs arising in manufacturing industry as a result of investment by the industrial promotion agencies. Substantial indirect employment will, of course, also arise.

The plan will also affect employment in the manufacturing sector. The combination of the planned investment in industrial credit and promotion and the corporation tax regime is expected to lead to 15,000-16,000 new manufacturing jobs arising from the IDA's activities and 1,500 from those of the Shannon Free Airport Development Company. The investment plan will lead to the employment of 2,000 additional engineering, telephone and other staff in the Department of Posts and Telegraphs, of which 600/700 will be trainee installers between the ages of 18 to 20 years. In addition some less significant increases in other areas of public services such as teachers are likely.

The record number of job approvals negotiated by the IDA during 1980 will generate a high level of industrial investment in 1981. The IDA have set a minimum provisional target of 30,000 job approvals for 1981. Here I might mention that, in a recent IDA survey, the percentage of the work force in new firms aged under 25 was 55 per cent and 23 per cent of those recruited were new entrants to the labour force from the educational system.

Young persons in their final school year are often under very considerable pressure. Too much emphasis in the media and other fora on the economic difficulties which may create problems for some in securing their first employment is to be deplored. As I have already pointed out, the results of surveys by my Department show the majority of second-level school leavers do obtain employment. A climate of despondency is no help to young persons already possibly facing examination stress. I would urge all concerned to take a more positive and responsible approach towards them when discussing job prospects.

I have outlined the various ways in which my Government are encouraging the creation of employment and the special measures to assist young persons obtain employment in the present difficult economic climate, a climate which is paralleled in the current experience of many of our European partners. It is generally held that the burdens of recession bear heaviest on those possibly least equipped to deal with them. To this extent we have continued and developed special youth schemes to relieve their situation. The Government will keep these special schemes under continuous review and will honour their commitments under the national understanding.

The age structure of our population provides us with a potential for development uncommon among our EEC partners while at the same time presenting us with one of the greatest economic and social challenges of our history. The ultimate solution to these in the opinion of the Government is the provision of adequate and worthwhile opportunities for satisfying the work aspirations of all our young people in accordance with their aptitudes and capacity. While special measures may continue to be necessary in the case of the handicapped and disadvantaged I return to my opening proposition: that young persons' employment cannot be regarded as a separate element of the labour market and, as the rising tide lifts all boats, so the best method of ensuring employment for our young people is to push forward the economic development of our country by all the means at our disposal and with the whole-hearted support of all sections of our people.

First, I would like to welcome the Minister for Labour. It is the first time I have confronted him in this House as Minister for Labour. I wish him every success in his onerous task. I would also like to agree with him in the last sentence he uttered concerning the co-operation which will have to be shared by all sectors of the community and all sectors of political thought in this country if we are to make progress in the area of employment and specifically in the area of youth employment.

My praise for the Minister ends there and ends abruptly. I cannot give the same welcome to his speech as he gave to Deputy Horgan's speech. He referred to Deputy Horgan's honesty. I am not questioning the Minister's honesty or his integrity, but I do question the approach he adopted on this occasion. I sat here some months ago listening to his predecessor Deputy Fitzgerald, now Minister for Finance but then Minister for Labour. He treated us to a long series of schemes and a dissertation on how they work. The Minister has done exactly the same tonight; he could have cogged Deputy Fitzgerald's statement on that day. But the motion on which we are speaking expresses concern at the increasing number of young people who will be coming on to the labour market in mid-1981. The Minister has evaded the crunch issue and has avoided putting forward any real proposal which would hold out any hope for the many thousands of young people who are now on the live register and the many more thousands who are facing that prospect on leaving school. The most intriguing statement made by the Minister was the admonition to the media concerning their activity, I assume in the recent past, in placing too much emphasis on the economic situation.

We were not hearing that kind of admonition in 1977.

Agreed. We are not in the good news business and the media will not be in the good news business until there is good news to report. If we are to have a Minister coming in here and telling the media that they should not emphasise the economic mess we find ourselves in in their reporting, then I am afraid we are facing a very serious situation. I would hope that the media treat that kind of admonition with the contempt it deserves regardless of who is on the far benches.

I was referring to the morale of our youth. It was for the sake of morale.

There is a mania across there about good news. I have been accused of being unpatriotic for stating the facts as I and every economist here sees them. One is now somewhat less than patriotic if one stands up and says that one person in every four became unemployed in 1980. That is a true, factual statement and in saying it I do not feel one bit unpatriotic. The people ought to know because for far too long this document here, which used to be prescribed reading but is now proscribed reading for everybody on the far side of the House and will probably be on the censor's list some day, has been bandied about. Looking at a section of that Fianna Fáil manifesto which is headed "Youth Employment" and listening to the Minister tonight one could not imagine that he was speaking for the party who strung this list of promises together. The Minister might be flying a kite like he did last week speaking on behalf of himself. But he was careful to point out at the beginning of his speech that he was speaking on behalf of the Government.

In the section on youth employment there were to be community task forces set up to work on local projects. They operated for a time and were then withdrawn. The extension of the AnCO apprenticeship schemes was never carried out; in fact they have been cut back, as one can see if one looks at the Estimates. Nothing was done about the encouragement of early retirement. There was nothing done about the encouragement of in-company training and rotation of duties and nothing was done about staff exchanges between ourselves and other EEC countries.

It is stated in the manifesto that Fianna Fáil would establish a special employment action team, representative of Government Departments, local authorities, trade unions and community and youth organisations, for the purpose of initiating immediately suitable employment schemes for school leavers and other young people. That action team came into action under a glare of publicity led by a well-known sportsman here who did his best to get that team off the ground and initially did good work. But what happened? For some unknown reason the Minister for Labour, Deputy Nolan's predecessor, came into this House and announced that this action team had been disbanded. The team itself were not aware of this until they read it in the morning papers. Indeed, the most paradoxical statement that I have seen is to be found in the report of the Manpower Consultative Committee, where in the foreword by the then Minister for Labour, Deputy G. Fitzgerald, it is mentioned that the introduction of new youth employment schemes and the expansion of existing schemes which resulted mainly from the work of the Youth Employment Action Team and the general improvement in the economic and employment situation from 1977 onwards considerably alleviated the youth employment problem. Then in the first paragraph of the report it is stated that in his 1979 Estimates speech in Dáil Éireann the Minister for Labour announced that he intended to terminate the youth employment action team; yet in the foreword the Minister is quoted as saying they did enormous work. Why were their actions terminated? Why were they not replaced?

The Minister mentioned a figure of 30,000; my inquiries resulted in the following information. As of 1 February 1981, 122,220 people were on the live register. Of that number 31,288 were under 25 years, and of that figure 20,691 were males and 10,577 females, a 2:1 ratio. The Minister stated that apart from that figure we could safely add a further 15,000 young people seeking work but not on the live register. That means we have approximately 45,000 young people under 25 years unemployed. As the Minister stated the computation method which gives the number of those on the live register is not very accurate.

We all recall that during 1976 and 1977 when we had a severe recession the unemployment figure rose to 120,000. The screams from the far side of the House were that there were not 120,000 unemployed but 160,000.

That appeared in print.

Deputy O'Toole does not need any help.

I have posters and leaflets——

Two Deputies speaking at the same time can be slightly annoying.

I am sorry. The fact is if one applies the same criterion to the method of computation or calculation used, one would get 160,000 or 170,000 unemployed, and of that number 45,000 or 50,000 would be under 25 years of age. This motion demands that the Government take action to relieve the pressures on our youth.

During his first Árd Fheis as Taoiseach, I recall the Taoiseach casting aspersions, in a subtle way, on certain political parties who, he said, treated the fact that we have a young and growing population as a problem and he castigated them for so doing. He said he did not consider them to be a problem but a challenge. After his performance in office for one year that challenge has become a problem because he has failed to face up to that challenge.

One would have expected that putting down this motion would have provoked the Minister and his Department into producing something that would hold out some hope for the 45,000 young people who are unemployed, but nothing has come from them. Many years ago James Joyce described the city of Dublin as the centre of paralysis. If he were around today I am sure he would consider that an apt description of the present Cabinet. The day has gone when Members of this House and the people and youth of this country will tolerate a Minister's response to a motion like this as a long litany of measures that are going on and that have been initiated in the past three-and-a-half years, when patently these measures have not worked. We want new ideas and new initiatives.

The Minister said we must look at our educational curricula. His colleague, the Minister for Education, last week made the profound statement that it was time we did likewise and that we should look at the whole system with a view to a more technical orientation of our educational system. This, too, is in that famous manifesto. After three-and-a-half years we have been advised by the people who have the power to change things that we should see if it is possible to make changes.

Fianna Fáil were the people who were talking about these changes three-and-a-half years ago; they were the people who stood idly by and did nothing about them; and they are the people who are now saying these changes should be made. Will they do it and stop talking about it? Certain gestures will be made and certain promises will be made and despite the fact that they swallowed and regurgitated this document three-and-a-half years ago, certain gullible people will fall for these promises. From a Government who tell us something should be done about our educational system, this is a very poor performance.

It is well known fact that over the past two years we had vacancies in the faculties of technology in many RTCs and in engineering and related faculties. The Government have done nothing about them, despite the fact that Ministers have made statements and speeches up and down the country that we are short of trained personnel to avail of higher technology. We went abroad and got a number of trained Irishmen to come back from the United Kingdom but we failed to change anything, even though it is a well established fact that if we are to tackle successfully future industrial opportunities we must have trained technologists and personnel trained in engineering and related faculties. We have not done that.

If we had these people the spin-off would be to provide an attractive industrial environment for foreign investment. We all agree on that but nothing has been done. We heard cliché-ridden speeches about the importance of youth and the provision of work which is satisfying, fulfilling and so on. What did we get? We got clichés like "thousands of man years and man hours" which mean nothing to 45,000 young people and mean even less to their parents who are at their wits' end wondering what will happen their children, for whom they paid dearly when rearing. There does not seem to be any great future for many of these young people.

The Minister will say I should not say that because it will not do anything for their morale, but they cannot eat morale, and neither can their parents. They want facts and the opportunity to take appropriate action. During the past few days we had an example of a dismal failure at a cover-up in relation to the importation of goods for the month of December. The same kind of cover-up is going on in relation to unemployment and job opportunities. The Minister mentioned something which was amusing in one way but sad in another. He said it was not that youth were out of jobs, it was really a lack of overall job opportunity.

Debate adjourned.
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