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Dáil Éireann debate -
Thursday, 15 Feb 1990

Vol. 395 No. 8

Ceisteanna — Questions. Oral Answers. - Co-operative Sector Development.

Michael Ferris

Question:

16 Mr. Ferris asked the Minister for Industry and Commerce if he has any role to play in the development of the co-operative sector in Ireland in the context of job creation; if he has any plans for such development in 1990; and if he will make a statement on the matter.

Under the Labour Services Act, 1987, FÁS, which operates under the aegis of the Minister for Labour, was given legislative responsibility to assist (financially or otherwise) the development of employment creating enterprises by local community groups and worker co-operatives. In the Programme for National Recovery the then Government recognised that worker co-operatives can make a significant contribution to employment maintenance and creation. Arising from the programme the Minister for Labour established a Co-operative Development Council in June 1988 with a supporting Co-operative Development Unit operated by FÁS, acting under the direction of the council. I understand that in the period since operations commenced, the council and the unit have been active in stimulating awareness about the possibilities of establishing co-operatives and have provided business consultancy and training support to co-operatives as well as assisting co-operatives in securing financial support.

In so far as the work of my Department is concerned, the industrial development agencies, which operate under my Department's aegis, will continue to provide financial and advisory support to co-operative projects which meet the normal statutory criteria. In particular, the IDA and SFADCo are closely involved in promoting the development of agricultural and food co-operatives under a strategy drawn up in consultation with the Department of Agriculture and Food.

I have no immediate plans for the further development of the sector.

Would the Minister agree that this is a much better road to take to job creation than subsidising foreign multinationals to come into this country?

Foreign multinational companies have for many years played, now play and will continue to play a most important part in the industrial development of this country. Equally, I want to assist co-operative ventures but I do not think that co-operative ventures on their own, to the exclusion of everybody else, would solve the employment and other problems of the country.

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