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Dáil Éireann debate -
Tuesday, 16 Feb 1999

Vol. 500 No. 4

Written Answers. - Unemployment Levels.

Thomas P. Broughan

Question:

53 Mr. Broughan asked the Tánaiste and Minister for Enterprise, Trade and Employment the further plans, if any, she has to lower the disturbingly high numbers of long-term unemployed particularly in deprived urban areas. [2632/99]

The level of unemployment and of long-term unemployment continues to fall. The Quarterly National Household Survey for March-May 1998 shows an unemployment rate of 7.8 per cent and a long-term unemployment rate of 3.9 per cent. This trend is also reflected in the live register, where the January 1999 figures stand at 209,500, seasonally adjusted, the lowest level for 16 years. People who have been long-term unemployed have been accessing a reasonable share of jobs despite competition from first-time entrants to the labour market, those returning to work, and returning emigrants.

This increasingly positive scenario does not imply any complacency on the part of the Government. We recognise that unemployment continues to have a particularly high concentration in some communities and must be tackled. The strategy for full employment has three elements: the maintenance of favourable conditions such as moderate wage growth, low inflation, low interest rates; refocusing active labour market measures on programmes with the best employability outcomes; and a tax regime which encourages participation by the long-term unemployed and socially excluded to take or make a job.

With effect from this year I have extended the Local Employment Service to an additional seven areas, mostly urban, bringing the total number of areas with an LES to 25. The particular focus of the LES is on persons furthest removed from the labour market. In the course of this year I also want to see better synergy developed between the national employment service operated by FÁS and the LES network, in the intersets of the users of the services. Finally, it is also of interest that in the context of the European Employment Guidelines we are moving towards a preventative strategy on long-term unemployment to complement our existing reintegration strategy. With effect from May 1999 the systematic activation strategy is being implemented for persons aged 25-34 who are 12 months unemployed with a view to offering them job guidance or a quality training or education place. This process of systematic engagement will be extended to older persons on a phased basis.

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