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Job Creation Issues

Dáil Éireann Debate, Thursday - 24 January 2013

Thursday, 24 January 2013

Questions (45)

Bernard Durkan

Question:

45. Deputy Bernard J. Durkan asked the Minister for Jobs, Enterprise and Innovation the extent to which he and his Department expects to rely on innovation and technology to contribute to job creation and retention now and in the future with particular reference to the need to utilise the entire spectrum of technology and innovation in the challenge of national economic recovery in both the manufacturing and service sectors; if he has identified the extent to which manufacturing remains a key factor in this context in view of the the need for efficiency and competiveness in the ever more challenging marketplace; and if he will make a statement on the matter. [3250/13]

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Written answers

My Department, and the relevant State Agencies under its remit, have a clear focus on the role of innovation as a key driver of business success and growth.Enterprise Ireland, IDA and Science Foundation Ireland, provide a range of innovation and technology development programmes that deliver financial, technical and experiential support. These programmes help companies become more innovative, encourage and support competitiveness They help grow sales and exports which in turn will lead to sustainable employment

The Government is not only maintaining levels of investment ion STI at a very challenging time fiscally, but we are also seeking to maximise the impact from that investment in termsof jobs and growth. At the end of February 2012, the Government agreed to implement the recommendations in the report of the Research Prioritisation Steering Group. The report identifies 14 priority areas which, along with 6 underpinning platform technologies and infrastructure that support the priority areas, will become the focus of the majority share of competitive State funding in research for the next five years. Implementation will see funding aligned with priority areas which encompass, amongst others, the areas of manufacturing and innovation in services and business processes.,

In relation to Manufacturing, this sector remains a key priority of enterprise policy. Forfas data shows that manufacturing employment grew by 1.1% in 2011, an increase of 2,198 jobs. This reverses a trend of four continuous years of job losses. There are currently 197,000 people directly employed in the sector. Employment growth in Irish manufacturing companies has been particularly strong in the Medical Device, Food and ICT sectors.

To address the challenges facing this sector, this Government’s Action Plan for Jobs 2012 included a series of actions for the Manufacturing Sector including . a Manufacturing Development Forum, which is working to develop, along with Forfas, a long-term vision and Strategic Plan for the role of manufacturing in Ireland’s economy aimed at reversing the recent employment trend and enabling a return to growth.

1. In addition, the Expert Group on Future Skills Needs, working alongside Forfás in the development of the Long-term Vision and Strategic Plan, has undertaken an in-depth study on the future skills needs of the manufacturing sector in Ireland, building on previous sub-sectoral work and undertaking new firm-level inquiry.

In relation to Services, this sector account for two thirds of total employment. While the majority of service firms are not supported by the State, significant number are employed in Agency supported firms. The Action Plan for Jobs 2012 outlined a range of sectoral initiatives to facilitate new and established services companies to grow, with particular focus on International Financial Services, Business Process Outsourcing/Shared Services, Education Services, Retail and Wholesale, Tourism, Construction Services and ICT Services.

I am confident that these measures, combined with other Government initiatives, including those to improve Competitiveness generally, will provide strong practical support to these important areas.

Question No. 46 answered with Question No. 42.
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