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Thursday, 22 Nov 2012

Written Answers Nos. 1-13

Employment Rights Issues

Questions (10)

Seán Crowe

Question:

10. Deputy Seán Crowe asked the Minister for Jobs, Enterprise and Innovation if he will develop the code of practise on access to part-time working to promote the entitlement to additional hours of work. [51894/12]

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Written answers

The Code of Practice on Access to Part-Time Working, which was promulgated in 2006, already contains provisions relating to the provision of additional hours of work to employees. The Code was prepared by the Labour Relations Commission in line with Section 13(5) of the Protection of Employees (Part-Time Work) Act 2001. The provisions in the 2001 Act had implemented an EU Directive, which itself was based on a Framework Agreement of the European Social Partners. The Framework Agreement on part-time work aimed to facilitate the development of part-time work on a voluntary basis and to contribute to the flexible organisation of working time in a manner which takes into account the needs of both employers and employees.

The Code of Practice contains provisions both in relation to transferring from full-time work to part-time work and from part-time work to full-time work. One of the basic principles referred to in paragraph 4 of the Code is that, as far as possible, employers should give consideration to requests by employees to transfer from part-time to full-time work, or to increase their working time should the opportunity arise. In addition, paragraph 8 of the Code includes a reference to the transfer from part-time to full-time work. I am satisfied that the Code of Practice encourages flexibility and responds to requests from employees to move from part-time towards full-time employment, or vice versa.

Emigration Data

Questions (11)

Caoimhghín Ó Caoláin

Question:

11. Deputy Caoimhghín Ó Caoláin asked the Minister for Jobs, Enterprise and Innovation if he will outline the impact on the Labour Market of the increased levels of emigration experienced since this Government came to power. [51887/12]

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Written answers

The most recent official figures from the CSO are for the year ended April 2012. Emigration from Ireland in the twelve months to April 2012 is estimated to have increased to 87,100 from 80,600 in the year to April 2011, while the number of immigrants is estimated to have fallen marginally to 52,700 from 53,300 over the same period. The combined effect of natural increase and negative net migration resulted in an overall small increase in the population of 10,500 bringing the population estimate to 4.59 million in April 2012.

These figures indicate that net emigration (emigration less immigration) of 34,400 took place in this period. This compares with a figure of 27,400 in the previous year, before the present government took office.

The impact of migration on the size of the labour force depends on a range of factors including, for example, the age at which people migrate and whether they are of working age.

Allowing for these factors, it is estimated that the impact of migration in the year ended April 2012 was to reduce the size of the labour force by between 20,000 and 25,000 below the level it would have reached in the absence of migration.

The Government is tackling unemployment and the stabilisation of the employment rate through the twin strategies of the Action Plan for Jobs and Pathways to Work, which are together complemented by measures to ensure individuals are appropriately educated and trained to be able to avail of those job opportunities. The aim of the Action Plan for Jobs is to support the creation of 100,000 net new jobs by 2016, while the objective of Pathways to Work is to provide those who are unemployed with the appropriate training and skills to avail of the job opportunities which will arise as the economy recovers.

The Government is committed to supporting over 85,000 job placements, work experience and Back to Education beneficiaries in 2012, including through the JobBridge internship programme. These and other measures have been devised to enable young people to get access to a first job - although they are not restricted to young people but can also assist those who have become unemployed and are at risk of becoming long term unemployed.

Measures to combat unemployment also include general supports for self-employment/small business start-up – such as the Back to Work Enterprise Allowance, entrepreneurship training, and advisory and financial support through local County Enterprise Boards. Many young people will benefit from these opportunities. In addition, over 450,000 education and training places will be provided in the higher education, further education and training sectors. These places will include provision for school leavers, although the long-term unemployed are a priority target.

Employment Rights Issues

Questions (12)

Aengus Ó Snodaigh

Question:

12. Deputy Aengus Ó Snodaigh asked the Minister for Jobs, Enterprise and Innovation the way he intends to safeguard the rights of migrant workers under the workplace relations legislation. [51889/12]

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Written answers

The State has a significant body of employment rights legislation designed to protect workers. There is no distinction made under this legislation between workers on grounds as to whether or not they are classified as European Economic Area workers or migrant workers.

The State provides a number of mechanisms through which these statutory employment rights can be vindicated and enforced.

NERA seeks to secure compliance with employment law through the provision of education and awareness, inspection of employers’ employment records and enforcement where necessary. NERA inspectors are authorised officers under the Employment Permits Acts and compliance checks under this legislation are an integral element of all NERA inspections. Where people have concerns that workers may be exploited or are receiving less than their statutory entitlement the matter should be reported to NERA for investigation.

In other cases complaints may be made to the Rights Commissioner Service, the EAT, the Equality Tribunal or the Labour Court depending on the nature of the complaint and the relevant legislation.

It has to be acknowledged that the system that has developed over the years has become complex and in some cases involves long delays. However, I have commenced a root-and-branch reform with the objective of establishing a world-class Workplace Relations Service. I am happy to report that significant progress has been made to date in that regard. In addition to reforming the structures and processes, I also intend to provide for enhanced compliance measures and a new mechanism for enforcing awards of the Adjudicators and of Labour Court Determinations.

The mechanisms I have outlined above relate to people who are legally entitled to work in the state. A situation where an individual, whose immigration status prohibits him or her from working legally in the State, takes up employment and is thus working illegally is different. In such cases both the employer and the employee may be committing an offence.

In this regard, I am mindful of the issue raised recently by the High Court in its judgement concerning the Employment Permits Acts 2003, and 2006 which found that an employee may not rely on the contract of employment in the absence of an employment permit where one was required. The question that arises for policy makers is to what extent such workers should be dissuaded from working illegally in Ireland by virtue of there being a statutory offence to do so, versus, to what extent should certain employment rights protect vulnerable migrants who find themselves unwittingly in such employment positions. This question requires very careful consideration.

It is my intention to amend the Employment Permits legislation in a precise manner so as to ensure that an employer may not benefit from the illegality of the contract of employment where they are found culpable in not ensuring a valid employment permit was in place for the employee concerned. To this end, it is my intention that this amendment will be proposed in a new Employment Permits Bill which is currently being drafted and which I anticipate introducing in the first quarter of next year. I believe that this would be the most appropriate method of dealing with such a technically specific matter.

Enterprise Support Services Provision

Questions (13)

Robert Troy

Question:

13. Deputy Robert Troy asked the Minister for Jobs, Enterprise and Innovation what has been achieved by promotion of the €10 million fund to attract inward entrepreneurial startups; the number of applications that have been made; the number that have been approved; the amount of the fund that has been invested to date; the number of jobs that have been created; and if he will make a statement on the matter. [51860/12]

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Written answers

In October 2011, I launched a €10 million International Start-Up Fund aimed at encouraging overseas entrepreneurs to locate start-up businesses in Ireland. The Fund, which is administered by Enterprise Ireland, targets investor-ready projects seeking financial support of between €200,000 and €500,000. Funding is in the form of an equity stake taken by the State in the company.

Stimulating the flow of new High Potential Start-Ups (HPSUs) and supporting their growth are fundamental building blocks in Enterprise Ireland’s strategy for economic growth and job creation. Our domestic entrepreneurs have been and continue to be an excellent source of innovative new businesses in various sectors across the country. However, the attraction of overseas-originated start-ups to Ireland is an additional opportunity to expand our HPSU activity. Overseas entrepreneurs will significantly add to the diversity and skill-base of the Irish start up community.

Since the launch of the fund, over 450 enquiries (at varying stages of development) have been received by Enterprise Ireland in relation to support for inward entrepreneurial start-ups. The rate of enquiries has grown steadily as the promotional campaign has progressed and is now running at approximately 40 per month. As investor-ready projects are identified and developed, extensive engagement with the promoters including all appropriate due diligence is undertaken. Projects are then considered by an Enterprise Ireland approval committee. To date, 13 projects have been considered and approved funding by Enterprise Ireland, of which 12 projects are currently being advanced and will likely draw down funds. These 12 projects have been approved funds totalling approximately €2.9m.

Many of these projects are at the initial stage of ramping up activity and building out their employment. Typically, High Potential Start-Ups (HPSUs) are supported on the basis that they have the potential to grow to ten or more jobs within a three-year timeframe.

It is anticipated that the overseas entrepreneurs supported to date will demonstrate job creation potential in excess of this benchmark over the next number of years. Additionally, the promotional campaign which has been underway has served to build a strong pipeline of prospective projects, and conversion of these opportunities will be a priority for the remainder of 2012 and into 2013.

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