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Dáil Éireann debate -
Wednesday, 18 Jun 1986

Vol. 368 No. 2

Ceisteanna — Questions. Oral Answers. - Employment Targets.

31.

asked the Minister for Finance if the Government's targets for employment in the Joint Programme for Government and in Building on Reality 1985-1987 are still a feature of the Government's economic policy; and if he will make a statement on the matter.

The Government aimed, in the national plan Building on Reality, 1985-1987 to create the conditions in which employment would be more readily created and sustained. On the basis of certain assumptions concerning economic trends and conditions, it was projected that there should be a substantial increase in private non-agricultural employment over the period covered. It was hoped that, taken with the special measures envisaged in the plan to help the long-term unemployed, this would halt and subsequently reverse the upward spiral of unemployment.

As my predecessor pointed out in reply to a question from the Deputy on 19 December 1985 — Official Report, columns 3090-3092 — the performance of private sector employment has not been as strong as had been hoped. He referred on that occasion to the Government's decision, announced by the Taoiseach in the Dáil on 23 October last — Official Report, columns 276-285 — to introduce policy adjustments designed to boost employment creation with a view to bringing the position closer into line with the plan expectations. Major elements of this package were the improvements in housing grants and the scheme for the waiver of PRSI contributions in respect of new employees. Both of these measures have had considerable success. To date over 80,000 completed applications for house improvement grants have been received and it is estimated that the PRSI exemption scheme has provided employment for close on 3,000 persons.

Where there are no comprehensive statistics on the overall employment situation subsequent to April 1984, the available indicators, particularly the trend of the live register, suggest that total employment is again increasing. The year-on-year increase in the live register in the first five months of this year has been on average only 5,800, which compares very favourably with the rise of 16,600 in the same period last year. In the light of the improving trend in the economy, combined with the prospect of still lower inflation and the recent decline in interest rates, the outlook is for a significant increase in employment over the remainder of the plan period.

When the Government came into office the unemployment figure was 170,000 and the number unemployed at present is 230,000. Is emigration a key part of Government policy to cope with the levels of unemployment in view of the fact that more than 100,000 people have emigrated since this Government came into office and if they were still in Ireland that figure would be 330,000?

I will not comment on the Deputy's figures because this question does not deal with emigration. If the Deputy wanted information about emigration he should have asked a question about it rather than the question he put down. If he does ask about it, I am sure the figures he has just quoted will be more than adequately corrected and his advice on the matter will be put in a more objective framework than it is at present.

Of course emigration is not part of Government policy. It is the aim of the Government to provide employment, in so far as the Government can influence it, for all seeking employment in this jurisdiction. I should like to remind him that when this Government took over from the Government with which Deputy O'Kennedy was associated unemployment was rising at a rate of 40,000 a year. It is now rising at about 5,800 a year. almost one-seventh the rate of increase which obtained when Deputy O'Kennedy with his many imaginative ideas took himself and his friends to the other side of the House.

There has been a noted improvement in performance since then. If one looks at the radical reductions in the rate of increase in unemployment. One will realise that we are on the right course as far as employment is concerned and that the Government are correct in believing that employment is increasing and that soon unemployment will be decreasing.

The Minister is wasting the time of the House making statements like that.

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