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Dáil Éireann debate -
Wednesday, 31 Mar 1993

Vol. 428 No. 6

Ceisteanna—Questions. Oral Answers. - Industrial Analysis.

Pat Rabbitte

Question:

6 Mr. Rabbitte asked the Minister for Enterprise and Employment if he will give details of the structures and extent of staffing in his Department to compile and analyse data concerning industrial policy and performance; the plans, if any, he has to expand the planning unit inherited from the former Department of Industry and Commerce; and if he will make a statement on the matter.

The Culliton report recommended that my Department, which now includes the former Department of Labour as well as the industry, technology, regulatory and other units of the former Department of Industry and Commerce, should see "its role as being predominately one of policy determination for industrial development, supervision of its implementation and a recognition of the importance of the business-related and regulatory environment". I agree with that recommendation.

The main institutional recommendations in the Culliton report in relation to industrial policy and performance in so far as they relate to my Department covered the advisability of its main role being one of policy determination and supervision; the removal of a number of regulatory and administrative functions; industrial performance review at three yearly intervals should include industrial policy; and better arrangements to improve exchange and contacts with industry and business.

I generally accept these recommendations and I am in the process of implementing them.

As regards the planning unit of the Department, that unit now employs three times the number it employed in June 1991.

The Culliton report itself set the agenda for industrial policy and it is a very wide agenda. It requires a response from a very broad range of Government policies, Departments and agencies.

The Deputy will appreciate that to respond to so broad an agenda for industrial policy and for policy change, is a matter for the Department as a whole and not for any particular unit or division of the Department. All units and divisions of the Department are engaged in policy analysis and appraisal. My officials are ensuring that skills for analysis are upgraded. Appropriate training and courses in analytical and economic appraisal skills are provided.

It is important that the information for policy analysis is of the highest quality. As a large proportion of the information used is gathered administratively from State agencies, I want to acknowledge the support that they give in enabling the analysis, appraisal and planning functions to operate. I consider that further development of the data for policy analysis will be important for this function in my Department.

This question was prompted by the controversy in recent times about the reliability of trade statistics, output and export figures, the controversy of one year ago and the net cost per job created and the apparent massive conflicts between the figures from the IDA and the Department. I am merely trying to establish whether the Department has its own ability to analyse data. The Minister agrees that the task of his Department is primarily "one of policy determination". Does the Minister agree that one cannot determine policy unless the data is reliable? Will the Minister state precisely what expertise is in his Department to analyse the available data? Will he explain the massive conflict in the data on the effectiveness of State expenditure per sustainable job?

I share the Deputy's concern about the absolute necessity to have accurate, reliable and readily available data to provide the basis for any analysis. The Government has expressed its concern about the way in which revisions had to be made in the recent statistics published by the CSO.

With regard to my Department, I am satisfied we have the required abilities to carry out the analysis that should be done, but that has to be upgraded on a permanent basis. We are in the process of effectively creating a new Department from the conjunction of the former Department of Labour and those elements that were previously functions of the former Department of Industry and Commerce. If we identify areas of deficiency in relation to the tasks described by the Deputy I can assure the House that we will not hesitate to fill those deficiencies by whatever means required.

I welcome that assurance from the Minister, because it is crucial. However, I wish to pursue a specific point because he said all divisions within his Department are engaged in data analysis. Is there a particular facility within the Department to analyse data and compile statistics because we ought not to have been left in the situation that we all claim to be surprised at the NESC findings or CSO revisions? Is there a particular facility in the Department to do that job?

We have a chief economic adviser who is well respected in this community and an economic unit. I am the first to admit it could be better and that we could be better at our job. We intend to get better at our job and we will take on the necessary skills and upgrade the current skills in order to do that job. I accept the validity of the Deputy's observation.

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