Wednesday, 27 November 2013

Questions (100, 101, 103, 104, 105, 106)

Bernard Durkan

Question:

100. Deputy Bernard J. Durkan asked the Minister for Jobs, Enterprise and Innovation the extent to which the manufacturing sector continues to create employment; the extent to which efforts continue to be made to ensure the retention of the maximum number of manufacturing jobs throughout the country; and if he will make a statement on the matter. [51088/13]

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Bernard Durkan

Question:

101. Deputy Bernard J. Durkan asked the Minister for Jobs, Enterprise and Innovation the extent if any to which the number of jobs created in the services sectors as compared with manufacturing have been recorded in each of the past five years to date; the future prospects in this regard; and if he will make a statement on the matter. [51089/13]

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Bernard Durkan

Question:

103. Deputy Bernard J. Durkan asked the Minister for Jobs, Enterprise and Innovation the total number of jobs created or lost in the manufacturing, service or IT sectors in each of the past five years to date; the extent to which trends have been identified over this period; and if he will make a statement on the matter. [51091/13]

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Bernard Durkan

Question:

104. Deputy Bernard J. Durkan asked the Minister for Jobs, Enterprise and Innovation the extent to which emphasis is being placed on job creation in the manufacturing sectors over the past five years to date; the extent to which areas of high unemployment/social/economic deprivation are specifically targeted in this regard; and if he will make a statement on the matter. [51092/13]

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Bernard Durkan

Question:

105. Deputy Bernard J. Durkan asked the Minister for Jobs, Enterprise and Innovation the extent to which this country remains competitive in attracting investment and job creation in the manufacturing and service sectors; and if he will make a statement on the matter. [51093/13]

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Bernard Durkan

Question:

106. Deputy Bernard J. Durkan asked the Minister for Jobs, Enterprise and Innovation the extent to which his Department continues to identify areas where manufacturing or service jobs might be threatened by relocation of specific enterprises to low wage economies affecting either this jurisdiction or Europe as a whole; and if he will make a statement on the matter. [51094/13]

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Written answers (Question to Jobs)

I propose to take Questions Nos. 100, 101 and 103 to 106, inclusive, together.

Despite the significant job losses in manufacturing up to 2010, there are now 205,700 people directly employed in the sector in Ireland, and a similar number of people employed indirectly: the total supported within the sector is therefore just over 400,000. Last year, in order to build on the potential for this sector I asked Forfás to undertake an analysis of Manufacturing in Ireland and the resultant Strategy, which I launched earlier this year, sets a comprehensive suite of recommendations to develop the sector, which are now being progressed. The Strategy identifies that an additional 20,000 jobs can be created in Manufacturing by 2016. The tide is already turning, as in the years 2011 and 2012 there was a net increase of 3,700 jobs in the Manufacturing sector. Some of the other more detailed statistics requested by the Deputy are not readily available.

A particularly attractive feature of manufacturing in Ireland is the fact that many of the present jobs are not in the main urban areas, but dispersed into regional locations, thereby providing a valuable employment focus in areas where alternative jobs are scarce. The further development of the sector will, of course, build on this key feature. The Services sector accounts for two thirds of total employment within Ireland. While the majority of service firms are not supported by the State, in respect of agency supported companies, the total number of jobs lost in 2012 was 7,815; the number of jobs gained in 2012 was 14,187. Therefore the total net new full-time jobs created in the agency supported service industry for 2012 is 6,372. This is very positive growth. The Action Plan for Jobs 2012 included a series of actions across a wide number of sectors including manufacturing and services. By implementing the 2012 and 2013 Action Plans for Jobs and the new 2014 Action Plan for Jobs , to be developed in the New Year, the Government is confident that further growth in employment in both sectors will be achieved.

It is, of course, self-evident that with greater globalisation, reduction of tariff barriers and with the ease of transporting goods, that patterns will be changing and there will an inevitable movement of production of lower cost, less specialised goods towards cheaper labour countries, especially in Asia. This is part of a wider global pattern. Although it is very challenging in an internationally competitive environment, there is considerable potential for the manufacturing and services sectors in Ireland, as we are strongly placed to create opportunities and employment in many higher skilled, higher-value sub sectors, where we have a competitive advantage and it is important we concentrate on these areas and maintain our natural advantages. This will assist in our work of attracting Foreign Direct Investment.

In addition, the wider economic indicators are now looking quite positive. The Private Sector is creating an overall 3,000 jobs every month as our competitiveness improves and consumer confidence slowly returns. This is a dramatic recovery from the position of a few years ago.

The Action Plan for Jobs includes a series of actions across a wide number of sectors including manufacturing and services. By implementing the 2012 and 2013 Action Plans for Jobs and the new 2014 Action Plan for Jobs, to be developed in the New Year, the Government is confident that further growth in employment in both sectors will be achieved. Forfas produce an Annual Employment Survey which includes yearly figures for jobs created in Agency-supported companies in certain sectors and relevant data for the past five years for both Business, Financial and Other Services and also for Information, Communication and Computer Services are shown in the table on the next page. As you will see, recovery in both these sectors is well underway.

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2008

2009

2010

2011

2012

Business, Financial and other Services,

47,017

44,041

43,468

45,917

47,555

Information, Communication and Computer Services

65,426

59,940

62,034

66,852

71,586