asked the Minister for Labour the number of applications which have been received to date for the enterprise allowance scheme; the number who have been accepted for this scheme; and the number who are now employed as a result of the scheme.
5.
Ceisteanna—Questions. Oral Answers. - Enterprise Allowance Scheme.
4.
asked the Minister for Labour if he will make a statement on the take up of the enterprise allowance scheme in 1983.
6.
asked the Minister for Labour, if in view of the poor response to the enterprise allowance scheme from persons under 25 years, he will ensure that the terms of this scheme get wider publication and that it is brought to the notice of VEC and regional college students.
7.
asked the Minister for Labour further to the Taoiseach's recent announcement when a definite statement will be made regarding the enterprise allowance scheme which may give more favourable conditions to those applying for assistance.
I propose to take Questions Nos. 4 to 7, inclusive, together.
The enterprise allowance scheme was introduced on a pilot basis on 19 December 1983, and originally was limited to 500 places. However, because of the very positive response to the scheme, the Government decided to extend it and not to place any ceiling on the number of participants.
To date, over 1,000 persons have been accepted for participation of whom 825 were actually in the scheme on 30 March 1984. Due to the time lag between application and approval, there were no participants in the scheme in 1983.
With regard to age, about 20 per cent of participants are under 25 years of age. I believe that this is a reasonable level of participation from the under 25 year age group having regard to the fact that the group represents just under one-third of the total registered unemployed and that they are unlikely to have the same experience of business as older workers. As the scheme is directed in the main at persons who have been in receipt of unemployment benefit/assistance for at least 13 weeks it is most unlikely that students attending VEC or regional college courses would be eligible to participate.
The Government have also decided, on the recommendation of the Task Force on Employment, to extend the scheme to provide for the capitalisation of pay-related unemployment benefit where deemed necessary and subject to certain conditions. The details of the new incentive are being finalised at present and when this is done I will publicise the scheme more extensively to ensure that all eligible persons are aware of it.
I should like to thank the Minister for his satisfactory reply. Will the Minister agree that the results of the scheme should be closely monitored with a view to extending financial and marketing facilities to those who succeed under the scheme?
That is my intention. We are currently monitoring the scheme. It is still early days yet, less than three months since it was introduced, but I will take the Deputy's comments into account.
Is the Minister not disturbed at the poor response from those under 25 years of age? The indications are that there was a very poor response from such people.
I should like to tell the Deputy that a response of 20 per cent of participants under the age of 25 who want to start their own business, having regard to the level of experience and self-confidence required, was not an unreasonable one. I would have been happier if it had been greater but I do not regard a response from one-in-five of those under the age of 25 as being a very poor one.
Is the Minister satisfied that the terms of the scheme were made clear to those of that age group? Will the Minister explain to the House the system of advertising the scheme that was carried out?
The system of advertising was the normal one used by the Government when publicising any scheme. Our initial anticipation was that it would be run as a trial project and hence the reason for the ceiling of 500. In fact, the response was well in excess of any of the expectations that have been put forward. That was the reason for the very quick decision to lift the ceiling altogether. There is a continuous demand at all National Manpower Offices. In relation to trying to assist young workers under the age of 25 to take up the scheme, I should like to tell the House that when we complete the review after the scheme has been running for six months we will see if there are ways we can increase that take-up. It is a bit early yet to make substantial changes in relation to the scheme.
Will the Minister agree that the terms of the scheme should be made known to young people through VECs second level schools and regional colleges?
That question would be better answered within the framework of the co-ordination exercise being undertaken between AnCO, the NMS and the YEA. The enterprise allowance scheme will be available to students who come through the third level sector, have a particular skill and who meet the requirement of being 13 weeks on the register. They are the vehicles through which the scheme could be targeted on young people. We will look at all suggestions.
Is the Minister aware that the Taoiseach made a statement in Cork about this matter two months ago to the effect that the scheme would be open rather than confined to 500 young people from different regions? Is the Minister aware that in the course of that statement the Taoiseach said that the PRSI may be granted as a lump sum payment at the beginning to be used for capital purposes? When did the Government reach a decision about this matter? Was that decision published in the national newspapers or through the various Government agencies? In the course of his reply the Minister told the House that he would be publishing details of the scheme later and I should like to know how much longer applicants will have to wait before being made aware of the exact PRSI lump sum payment. Is the Minister aware that many applicants are anxious to get that definite statement from the Department?
The Deputy has asked a number of questions.
I am anxious to get answers to them.
The Government are trying to ascertain as quickly as possible and in consultation with the various officers involved, the most effective area to give the maximum amount of capitalised PRSI benefit to applicants eligible under the scheme. It is hoped that we will have those details finalised within a matter of weeks.
Is the Minister aware that there are many people awaiting the Government's response on this?
The Deputy should ask a question. He is guilty of repetition.
Is the Minister aware that a number of people in my constituency are waiting the Ministers response before making a definite decision on whether to participate in the scheme? They have been approved and are ready to start but they will not do so until the Minister issues a definite statement. The Taoiseach made a statement two months ago.
That is repetition. It is doubtful if the Deputy's questions are in order but certainly repetition is not in order.
My questions are relevant as far as the people who are waiting for a response from the Minister are concerned.
I permitted the Deputy to make a lengthly statement earlier because I thought he was leading up to something. He asked a question on that occasion and he is anxious to make another statement now. That is not in order.
When will details of the scheme be announced?
I appreciate the Deputy's enthusiasm for this scheme. I will endeavour to have details of the additional benefits he has referred to finalised within a matter of weeks.
Does the Minister consider it advisable that such schemes be widely advertised in RTCs and VECs? Will the Minister make personnel available to travel to such schools to make details of the scheme known to all pupils? Is it an absolute requirement that a person should fulfil the regulation in regard to 13 weeks? In the course of his reply the Minister said that in the main the scheme was directed at persons who had been in receipt of unemployment assistance for at least 13 weeks. I am concerned about some people who, because of various circumstances, do not qualify under that regulation and I should like to know if there is any room to alter that.
The answer to the first part of the Deputy's question is "yes", I would consider it a good idea to promote the scheme more extensively. That will be considered when we have completed the review after the scheme has been running for approximately six months. In regard to the second question — I am sorry if I misled the House inadvertently — it is an absolute requirement that a person be 13 weeks on the live register. I am governed by regulations in regard to that. That requirement will be looked at at the end of the six months. The purpose of the review — I believe the intent is shared by Fianna Fáil — is to broaden the scope and access people have to the scheme, which is a success.
While the scheme is undoubtedly a good one, is the Minister aware of the concern at the amount of duplication between the scheme, AnCO, the Youth Employment Agency and the IDA in efforts to help the unemployed? Will the Minister accept that there is a need for him to co-ordinate the efforts of those agencies so that unemployed people will find it easier to make their way forward in their efforts to assist themselves? Will the Minister agree that it is a shame that quite a number of young people who are on the unemployment register do not qualify because of the regulation in regard to 13 weeks?
Deputies are making suggestions for the broadening and improvement of the scheme and they will be looked at when we are reviewing the scheme. In regard to the co-ordination exercise I should like to tell the House that I will be replying later to a question which deals with that matter.