Vol. 510 No. 6
106 Mr. McCormack asked the Tánaiste and Minister for Enterprise, Trade and Employment if finance will be provided in the Galway and Mayo region for FÁS and community employment schemes for 2000 to eliminate the cutback of 500 places on these schemes which had to be achieved in 1999 due to the serious lack of funding; and if she will make a statement on the matter. [23184/99]
Operational responsibility for the delivery of the community employment, CE, programme, including the allocation of places and project selection and appraisal is a matter for FÁS as part of its remit under the Labour Services Act, 1987. The primary purpose of community employment as an active labour market measure is to reintegrate long-term unemployed persons into open labour market jobs. The Deloitte & Touche evaluation of community employment set a framework for a reform of the programme for the years ahead. It recommended that there should be a reduction in participation on the programme over time, as well as a range of other reforms aimed at enhancing its effectiveness.
The restructuring of community employment, which was approved by Government earlier this year and was based on the recommendations of Deloitte & Touche, is set against a background of significant employment growth and unemployment reductions and is aimed at securing better targeting and outcomes from the programme. The reduction in the number of places on CE to 28,000 by the end of 2004, will be implemented on a phased basis over a five year time frame and in accordance with priority local needs identified by FÁS. This reduction includes the transfer of resources equivalent to some 5,000 community employment places to the new social economy programme.
It should be noted that I have committed to further consultations on how best to allocate resources freed up by the restructuring of community employment to meet the needs of the long-term unemployed, and on the proper funding or mainstreaming of essential services currently provided under community employment.
