Dáil Éireann Debate, Tuesday - 25 November 2014
98. Deputy Michael Fitzmaurice asked the Minister for Jobs, Enterprise and Innovation the position on the Industrial Development Agency investment jobs in the pipeline for the towns of Athlone, Ballinasloe, Carrick-on-Shannon and Roscommon; the dates by which any such project is expected to be delivered upon, as these towns are in urgent need of investment; and if he will make a statement on the matter. [44402/14]
View answerAs a new Deputy, I thank the Minister and the Minister of State, Deputy English, for spending a bit of time talking to me about a few of my proposals. We need to work together to break down barriers across Ireland.
Next Friday evening, a dark cloud will hang over Carrick-on-Shannon when 160 people lose their jobs. It will not come as a shot out of the blue. There have been warning signs for the past three years. Christmas is approaching for those 160 families.
They will have a sadder house and with young children involved, perhaps fewer presents from Santy. What, if anything, is the IDA doing in towns such as Carrick-on-Shannon, Roscommon, Athlone and Ballinasloe? As everyone is aware of the volume of emigration that has gone on, what is it doing to try to bring new industries to locations across the Shannon and to bring different parts of Ireland to balanced economic stability in order that people can live in all such parts? I ask the Minister to comment.
I thank the Deputy for his question, which asks what projects are in the pipeline. He will understand that any project is commercially sensitive until it is finally announced and I am not at liberty to indicate what might be in the pipeline. However, I am optimistic about projects for the future. There have been a number of good projects and good, strong announcements have been made in respect of Jazz Pharmaceuticals, Alexion Pharmaceuticals, Ericsson and VistaMed. I take the Deputy's point regarding the position since MBNA announced its withdrawal from Carrick-on-Shannon. As the Deputy is aware, part of its book for the Irish market found a buyer in AvantCard and while the other part of its book did not. I can assure the Deputy that both my Department's agencies, Enterprise Ireland and the IDA, are working hard to seek to find whether there are alternative uses to keep together that skill base.
Overall, there has been a growth in employment within the four counties the Deputy mentions, which in regional terms span a number of regions, namely, the midlands, west and north west. At present in those regions, there are 159 IDA client companies employing 27,271 people and there has been an increase of more than 3,000 jobs by those companies over the past three years. Consequently, significant progress is being made in that area. I recognise that while all regions have seen job growth, not all regions are enjoying the same job growth. One initiative being taken this year is that my Department will publish shortly a regional enterprise framework within which it can seek to work with stakeholders in the regions to develop their regions to best effect and the IDA will be intimately involved with the work in that regard.
While I welcome the initiatives to which the Minister referred, my understanding is the number of visits to the likes of Leitrim, Roscommon and some other countries nationwide has been limited compared with the locations to which the major industries have gone. I believe it is necessary to start dangling an odd carrot and while the financial services centre has been highly successful here in Dublin, it is necessary to look outside Dublin. It is necessary to ascertain where new things can be set up and I believe that if it were possible to dangle the carrot and to get people to set up in different parts of Ireland, it would be highly beneficial for the country.
The Government offers greater aid in these regions. Under the regional aid guidelines, the Government is allowed to provide aid at a higher level in certain regions and in the recent negotiations at European Union level, the Government succeeded in getting new regions within that ambit that were areas of high unemployment. Consequently, higher supports are available. The Government has also taken an initiative in, for example, Athlone where it has built an advanced manufacturing facility because it recognises that regions need facilities. Similar initiatives have been taken in Letterkenny and in Waterford. The Department is active in this regard and is understanding of the need to drive a greater spread on multinational investment. However, I should also note that in most regions, 95% of the employment is not in IDA-sponsored companies. While much regional focus tends to be on the 5% that is IDA-sponsored, I regard the 95% of employment that is not to be just as important and the Department seeks to work with such employers through Enterprise Ireland, the local enterprise offices and so on. That is the intention of the regional enterprise strategy, namely, to look right across the spectrum of multinational and nationally-owned enterprise.
While one talks about creating employment in this country, I refer to a matter about which I spoke to the Minister in recent days.
I spent the weekend on the telephone trying to get to the get to the bottom of it. An EU directive has been introduced and it has resulted in job losses at a number of the SMEs to which the Minister refers. Rules and regulations are being imposed but information in respect of them is not being provided. When one contacts a particular State body about this issue, one is referred to another. I contacted several such bodies in recent days. We are hitting a wall when it comes to obtaining information and, at the same time, jobs are being lost. When regulations are introduced or changes are made, a message must be sent out to indicate what is happening. In addition, training must be provided in order to ensure that jobs will not be lost. The sad reality is that a further nine jobs were lost at an SME in the west last weekend as a result of the introduction of EU regulations. Basically, people are afraid because they do not know where to turn. If we do not take action, more and more jobs will be lost.
To be fair, the Government has set its face towards reducing regulation. This is reflected in Ireland's improved position in the ease-of-doing-business rankings. We have removed many obstacles. For example, with the assistance of the House we have simplified many aspects of company law. In addition, we have sought to make it easier to do business in many areas. The Deputy drew my attention to an issue relating to a particular directive which is not relevant to my Department but which I am pursing on his behalf with the Department concerned.
This matter is arising on a continual basis. Each regulation introduced is designed to protect a public interest. We must find a way of making it easy to comply with such regulations. The HSA is exemplary in this regard. It has used the BeSMART technique to make it easier for farm businesses and other businesses to comply with their safety obligations, which is extremely important in terms of protecting people. If we can make compliance easier for people, then it is a win-win scenario. In the context of regulation, we are seeking to avoid unnecessary obligations being placed on businesses.
