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Dáil Éireann debate -
Tuesday, 31 May 2005

Vol. 603 No. 3

Other Questions.

Migrant Workers.

Caoimhghín Ó Caoláin

Question:

35 Caoimhghín Ó Caoláin asked the Minister for Enterprise, Trade and Employment the specific reasons for the State’s failure to ratify the UN convention on the rights of migrant workers and their families. [18093/05]

The State, through its employment rights legislation, is committed to the protection of migrant workers' rights. All workers in Ireland receive the full protection of Irish employment law, which reflects the wider EU social protection framework. Like all other EU member states, Ireland has not signed and is not a party to the International Convention on the Protection of the Rights of all Migrant Workers and Members of their Families, which was adopted by the UN General Assembly in December 1990. It seems that significant changes will be needed across a wide range of existing legislation if the convention, which has been examined by the Department of Enterprise, Trade and Employment, is to be ratified. The legislation in question relates to authorisation to stay and to work, education, training and integration, family reunification, social security, transfer of income and taxation, housing, health and medical care and electoral matters. Such changes would have implications for Ireland's relations with its EU partners and possibly for the operation of the common travel area between Ireland and the UK. There are no plans to introduce such changes, which would be necessary before Ireland could ratify or consider signing the convention.

Does the Minister agree that Ireland's failure to ratify the convention is indicative of the Government's lack of commitment to protecting the rights of migrant workers? Does he accept that the failure to sign the convention sends a message to employers about the Government's commitment in this area? While the law does not discriminate between migrant workers and other workers, recent evidence clearly shows than many employers engage in such discrimination. We need to offer specific protection to migrant workers for that reason. Can the Minister outline the nature of the risk to the common travel area between Ireland and the UK that might arise if Ireland signs the convention?

I do not agree that Ireland's failure to ratify the convention demonstrates that the Government is not committed to protecting the rights of migrant workers. The Government is very committed to defending such rights. Irish labour law which is among the most progressive bodies of labour legislation in Europe, protects everybody who comes to this country to work legally.

It is not sufficient.

The Government demonstrated its commitment to Irish labour law when it ensured that those employed by Gama Construction were given their rights under such law.

Belatedly.

I will not discuss that aspect of the matter as it relates to everybody involved, including the social partners. I do not accept that a message of the kind suggested by Deputy Morgan has been sent to employers, who know they are subject to penalties under Irish labour law if they breach that law.

Just 22 countries have ratified or acceded to the UN convention, which is quite broad, even though it has been open to signature and ratification since December 1990. I am informed that one of the main reasons EU member states have not ratified the convention is that it does not distinguish between legal and illegal, or documented and undocumented, migrants. In effect, the convention obliges countries to provide protection entitlements to workers about whom they have no information. The Deputy can readily appreciate the complications that would develop in that regard alone if the convention is ratified and the State is given obligations in respect of people who come to the State illegally. The ratification of the convention would have a wide-ranging impact on all Departments and on a range of policies. The Government is not minded to sign up to such obligations. There is no point in signing conventions without having full cognisance of their implications for our position.

Has the Minister discussed the implications of the ratification of the convention at EU level with representatives of other member states? If not, does he intend to do so? I suggest that all member states should try to streamline the implications of the signing of the convention. We should try to ensure that most, if not all, EU member states are in a position to ratify the convention at some point in the not too distant future.

I would prefer to ask officials from the Department of Enterprise, Trade and Employment to prepare a brief explanatory paper for the Deputy so that he can understand the implications of the convention. I am loath to put in place a new tranche of EU regulation and legislation in this area, especially in light of the issue raised by Deputy Hogan earlier. The EU needs to concentrate on the Lisbon Agenda, which relates to economic growth, because its economy is quite sluggish at present. If the EU is to compete with other parts of the world, it needs to engage in an in-depth review of how it approaches the objectives of the Lisbon Agenda, which relates to competitiveness, employment and economic growth. The EU has not successfully matched its rhetoric and its action, which should be its priority.

The Government has a bad record.

The Minister mentioned that the General Assembly of the United Nations adopted the convention. How did Ireland vote on that occasion?

Is the Deputy referring to 1990?

I would have to check. I am open to the idea of teasing this issue out with the Deputies. It might be useful to prepare a note for the Deputies on the matter.

The Minister should prepare a note for employers.

Irish labour law, and the successful and effective prosecution of issues which arise when there are clear breaches of that law, are the key issues for employers here. That is the clearest message we can send to such employers.

It is odd that just 22 countries have ratified the convention, given that it was passed by the UN General Assembly.

It is odd. I will not say anything else about it.

Research and Development.

Martin Ferris

Question:

36 Mr. Ferris asked the Minister for Enterprise, Trade and Employment if he will initiate a time limited review of the research and development agendas of the development agencies, to ascertain where the systems failures within each of the agencies and within their client companies are in respect of the promotion of innovation and research. [18095/05]

The research and development performance of Irish industry has shown a worthwhile improvement in recent years. Data made available by Forfás indicates that business expenditure on research and development increased from €917 million in 2001 to €1,076 million in 2003. We have made considerable progress, but more needs to be done. The EU's research and innovation performance is significantly behind the US and Japan. Ireland's performance is still below the EU average. One of the two central conclusions of the Enterprise Strategy Group in 2004 was that an increased focus on research should be a core pillar of enterprise policy.

The national action plan for promoting investment in research and development to 2010, Building Ireland's Knowledge Economy, was published last August. It sets out challenging targets for enterprise research and development performance, such as a doubling the number of companies with minimum scale research and development activity, or activity that is worth more than €100,000 per annum. It envisages a fourfold increase in the number of firms that engage in research and development expenditure of more than €2 million per annum. It recommends that overall business expenditure on research and development should be more than doubled, to €2.5 billion. Enhanced research and development performance by firms needs to be supported by vibrant science and technology infrastructure, which can increase the pool of talented researchers available to industry and generate intellectual property that can be commercialised by firms.

Work is under way on programmes, initiatives and strategies that will facilitate the fulfilment of the challenging agenda I have outlined. The new Cabinet sub-committee on science, technology and innovation, which I chair, has mandated the interdepartmental committee on science, technology and innovation to prepare a strategic implementation plan to develop Ireland's knowledge economy.

The development agencies, Enterprise Ireland and IDA Ireland, together with Science Foundation Ireland are working closely with my Department in the development of the plan and, indeed, the key performance metrics. The targets are reflected in Enterprise Ireland's new strategy, TransformingIrish Industry, which I launched recently.

Among the initiatives which I expect the plan to incorporate are a strengthening of the infrastructure for intellectual property, protection and commercialisation in third level institutions, greater promotion of research and development among non-research and development performing firms, initiatives to improve productivity and efficiency and simpler, more accessible financial support for both collaborative and in-house research and development.

We have step-changed the level of State investment in research and development since 1998-99 through the PRTLI programme and the Science Foundation Ireland Programme, which has greatly expanded research capacity.

This is a question on which I would like to spend an hour. Unfortunately, the Minister has not answered the question which was whether he will initiate a time limit for a review of the research and development agendas of the various development agencies. For example, city and county enterprise boards have no research and development focus in their remit. Will he give them a research and development focus because such agencies dealing with micro industries are facing a sector that has huge problems, not just in terms of cost but of awareness, expertise and guidance in the area where there is a void? Will he agree that up to now there has been a significant void in the whole area of research and development? What is in ahead of the curve and what is in transforming industry will not of itself change this fact. Will the Minister initiate a time limited review of the research and development agendas?

There has been a review of Enterprise Ireland. I am preparing a roadmap or blueprint to achieve the Lisbon Agenda target of 2.5% in research and development. This will include the business spend as well as the State spend. We have signed up for the goals. We are in favour of increased research and development investment. We did a fantastic job in the past five or six years in research and development compared to the previous 20 years, which has brought us to a certain level. I am very committed to this subject.

We now need, in a nuts-and-bolts fashion, to work out how we will achieve the Lisbon targets, how to double the number of researcher postgraduates in the next six or seven years, what it will mean for the expansion of universities or institutes of technology and what it will mean for business to increase significantly the business spend in research and development. We have all signed up to the objectives and goals. We now need to sign up for and work through the incremental steps necessary to achieve the challenging targets we set ourselves over the next five to six years. I hope to have this completed by July.

I would welcome a debate in the House in the autumn on research and development, because it is important for the Parliament to speak on the importance of research and development to Ireland's economic competitiveness in the future.

I would be glad if the Minister brought the report to the House, affording us an opportunity to discuss it. There is a crucial issue of implementing the findings of the review to make it happen at business level.

Health and Safety Regulations.

Joe Sherlock

Question:

37 Mr. Sherlock asked the Minister for Enterprise, Trade and Employment the reason draft regulations drawn up by the Health and Safety Authority more than 15 months ago to improve safety standards on building sites have not yet been implemented, despite the continuing high rate of deaths in the industry; when it is expected that the regulations will be made; and if he will make a statement on the matter. [18031/05]

The Health and Safety Authority is in the final stages of its consultation with the social partners and interested parties on the formulation of new construction regulations. These regulations will be made by me under the Safety, Health and Welfare at Work Bill 2004, which I expect will be passed by the House during this term. The legal advice to me is that the regulations must be made under the Bill, which I intend to do very soon after the Bill is enacted.

What was the legal impediment to enacting these regulations under the old Act, as originally intended and notified to the House? Presumably the parliamentary adviser who made such notification had no difficulty with that legal process. Does the Minister of State share my deep concern at the dramatic increase in fatalities in the workplace, given that nine people were killed in the construction industry in the first four months of this year as opposed to 15 in all of last year, and in the workplace generally 27 died in the first four months of this year, which is a 40% increase on last year? Since the regulations have been pending for 18 months, will the Minister of State give a specific deadline, not further consultation, on when the regulations will be implemented and when will the additional labour force inspectors be in place to enforce them?

The new regulations will be put in place under section 17 of the new Bill. These include a number of important new groups in construction, particularly clients who commission building work, architects, engineers and designers. The Health and Safety Authority is engaged in exhaustive consultation with architects, engineers and designers who are concerned about their new legal responsibilities.

The purpose of the draft regulation is to prescribe the main requirements for the protection, safety, health and welfare of persons working on construction sites and to give further effect to the Council directive of 1992. The new directives will replace the existing ones. They will set out the minimum safety and health requirements at temporary or mobile construction sites.

Will the Minister of State answer the questions I posed? What was the impediment to the original notification his predecessor made to the House that the regulations would be enacted 18 months ago under the previous Act? Why have 18 months been wasted in putting the regulations in place, with a back-drop of terrible carnage in the workplace? When will the additional inspectors be in place to enforce the regulations?

The new regulations will be enforced under section 17 of the Bill.

This is what is happening. The Minister of State's predecessor said 18 months ago that the regulations would be put in place under the old Act. Is there a legal impediment to doing that and, if so, what is it?

Under the new legislation, it is possible to include the additional groups to whom I referred in my first response.

They should have been added on.

This might have been done. However, I assume it was intended that the new legislation would be in place long before now. When I was appointed last October, it was hoped the Bill would be passed before Christmas, but as Deputies will be aware, it took considerably longer.

I share the Deputy's concern about the increased number of deaths in the first five months of the year against a background of a 30% decrease in 2004. There is cause for concern as a result of the increased number of deaths earlier this year. No doubt the new regime, which will come into play under the new Act and the new regulations, will have a positive impact on what is happening. In early April, the Minister, Deputy Martin, announced additional labour inspectors. The Health and Safety Authority, which has responsibility in this area, has its own inspectorate who carried out a record number of inspections in 2004.

That is factually incorrect. There were 2,000 fewer inspections in 2004. When will the additional inspectors be in place?

I share with Deputy Howlin and the Minister of State my concern about the number of deaths of people on building sites in the first quarter of this year. The Minister of State will be aware of the debate on the Safety, Health and Welfare at Work Bill and the lack of control in regard to training people on building sites. I hope the increase in the number of fatalities has nothing to do with the laxity displayed by the State in training people in the workplace, particularly on building sites? Will he give us an indication of results from a Garda investigation which is ongoing in regard to retrieving money unlawfully paid to FÁS for the purposes of training in the construction sector under the safe pass scheme and other related schemes?

As I informed Deputy Hogan, a review of the training regime is under way, which undoubtedly will impact positively on the experience in the future. I cannot say whether the specific training in the cases involved had an impact. If that were the case, I presume it would have been brought to my attention. I have had no update since last month on the Garda inquiry.

On Deputy Howlin's question on the number of inspections, yesterday I had the pleasure of launching the 2004 Health and Safety Authority report. It was accompanied by a considerable additional document which provides data and analyses on deaths by sector and by region. It provides interesting reading and will inform the work of the Health and Safety Authority and the Government's legislative programme in the coming months and years. The HSA has directed its inspections at particular areas. Approximately 100 inspectors are involved, some of who had an increased workload last year because of the EU Presidency. They will return to full-time duty with the HSA this year, which will result in additional inspections, particularly in areas highlighted as having the most difficulties.

On a point of order, the Minister of State indicated the number of inspections increased. However, the number reduced from 7,168 in 2003 to 5,160 last year, a decrease of approximately 2,000.

The number increased in one or two sectors but I do not have the figures.

Software Industry.

Gerard Murphy

Question:

38 Mr. G. Murphy asked the Minister for Enterprise, Trade and Employment the strategy his Department has developed in order that the solid growth in the software industry is maintained in the future; and if he will make a statement on the matter. [18078/05]

Software companies and others in the high technology sectors face significant challenges as a result of globalisation and increased global competition. Irish companies must increasingly compete through innovation, increased investment in research and development and a strong focus on export growth. These are the key issues both now and for the future. The software sector is a substantial contributor to export-based revenue generation in the economy. The sector has experienced sustained growth over the past ten years and accounts for exports of more than €14 billion annually. An increasing number of entrepreneurs has started high value added, high export growth and high potential companies in the indigenous sector.

In recent years, Enterprise Ireland has supported more than 470 high potential start-up companies, which employ 7,500 people and have a cumulative turnover of more than €1 billion each year. These companies, which include a strong contingent of software companies, represent a new breed of globally competitive industry based on knowledge and innovation. For continued success, substantially increased levels of applied research in domestic firms will be needed and we must foster an environment where there exists a close working relationship between companies and third level institutions.

The strategy for EI, which I launched on 4 May 2005, outlines a new approach to the development of the industry. To date, a relatively small number of companies has increased sales to in excess of €20 million. Software will represent a key target sector for the development of such companies. Growth worldwide has slowed due to a combination of general global economic slowdown and saturation in some software markets. However, the indications are that the global software industry will have a value of US $126.5 billion in 2007 and, therefore, in spite of growth in the industry having slowed in recent years, this still represents a growth rate of 6.4% on 2002. Four of the top five software companies in the world have significant operations in Ireland including Microsoft, Oracle, SAP and Symantec.

It is a reflection of Ireland's competitive operating environment that it continues to win mobile high quality investment projects from the world's leading technology companies. A number of high profile investments have been announced. These include companies investing in Ireland for the first time. There have also been some notable successes in the digital media and Internet technology areas. Recent announcements by Yahoo, Amazon.com and DC Studios have added to Ireland's excellent reputation as a strategic location for IT services to support business activities throughout Europe.

Innovation and clearly differentiated products, services and customer solutions are key factors in winning business in international markets. Moreover, as an export market driven nation, Ireland needs to continually develop and improve skills in sales and marketing. In this regard, the successful sales star programme, which is a joint initiative of Enterprise Ireland, FÁS and the Irish Software Association and which is focused on the development of the sales capability within expanding software companies, is an example of what can be achieved both now and into the future. I am confident the initiatives we have taken and continue to take will further enhance the reputation of the software industry.

Has the Minister a strategy to commercialise research and development, in light of the major investment by Science Foundation Ireland in universities and institutes of technology? This presents a great opportunity to young graduates to bring forward projects that will generate employment in Ireland rather than abroad. Has the Minister a strategy to harness that potential for employment in this jurisdiction?

Of the 800 companies in the software industry, 600 are indigenous. We are witnessing strong growth in companies, not only in volume but in quality. The key strategic objectives are increased investment in research and development; to facilitate the involvement of those companies in such investment; a strong focus on IT education both at third and second levels; stronger research and development measures in the protection of IT; and the translation and commercialisation of research into new companies within our universities.

Written answers follow Adjournment Debate.

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