Written Answers Nos. 21-29
21. Deputy Bernard J. Durkan asked the Minister for Jobs, Enterprise and Innovation the extent to which the economic climate here remains conducive to job retention and job creation, with particular reference to the use of innovation and technology; if he is satisfied with the extent to which this jurisdiction remains an attractive and competitive location for investment resulting in job creation; and if he will make a statement on the matter. [48136/14]
View answerThe importance of innovation and technology to Ireland’s on-going and future economic recovery is well recognised by the Government as being crucial to growth in both our indigenous and FDI sectors. Evidence, from both the EU and internationally, shows that the Government’s strategy of accelerating the economic and societal return on our STI investment is paying off. Globally, we are ranked:
- 11th in the Global Innovation Index 2014, out of 142 countries.
- 1st in the world for inward investment and quality, as per the IBM Global Location Trends Report of 2013.
- 1st in Europe and 2nd in the world for the number of investment jobs per capita, as per the same report.
- 3rd in the EU ‘Indicator of Innovation Output’, and
- 9th in the European Commission’s 2014 Innovation Union Scoreboard.
Similarly, Ireland’s international competitiveness continues to improve. Since 2011, Ireland’s international competitiveness rankings in both the IMD and WEF competitiveness reports has improved – from 24th to 15th in the IMD’s World Competitiveness Yearbook and from 29th to 25th WEF Global Competitiveness Report.
All of these factors reflect Ireland’s enduring strength as an investment location. Foreign direct investment has been buoyant so far this year, with IDA Ireland securing over 100 investments in the first half of 2014, up from 70 in the same period in 2013, with potential job creation of 8,000. Approximately 40% of these investments came from companies investing in Ireland for the first time, as Ireland’s value proposition continues to resonate with new investors. The Government has recently published a Policy Statement on FDI designed to ensure that Ireland’s inward investment offering continues to be attractive and competitive.
On the indigenous side, Enterprise Ireland had a record year for job creation, with 5,442 net new jobs, and exports in 2013 and the outlook is for continued strong export growth for 2014. Furthermore, in 2013 Science Foundation Ireland had links to 65% (2,018 jobs) of the 3,085 jobs announced by the IDA in all fields covered by SFI’s legal remit. International companies supported by IDA Ireland added a net 7,071 jobs in 2013 overall, the highest level of job creation in over a decade. Indeed, every job created in one of IDA’s client company’s results in the creation of 0.7 of a “spin-off” job in the Irish economy. Indications are that 2014 will be another excellent year for net job creation by IDA and Enterprise Ireland, with significant reliance on innovation.
The recently published National Policy Statement on Entrepreneurship in Ireland has as its aim to support the creation of an additional 93,000 jobs from start-up companies in the next five years. In addition, the Action Plan for Jobs 2015, which is currently under development, provides further opportunity to design actions to enhance Ireland’s competitiveness, which will provide the underpinning from a continued strong investment performance.
Elsewhere, ‘Knowledge Transfer Ireland’, our central Technology Transfer Office, has recently been set up as a central reference point for entrepreneurs and industry, signposting them to the wealth of technology opportunities and academic talent that exist in our Research Performing Organisations.
In terms of European Union funding for research and innovation, with a budget of almost €80 billion covering the next seven years, Horizon 2020 offers huge opportunities to researchers, research organisations and industry to engage in cutting edge research. These programmes provide international linkages and enhance the excellence of the Irish R&D system and we have set an ambitious target of drawing down up to €1.25bn in funding from Horizon 2020 over the period 2014-20.
22. Deputy Paul Murphy asked the Minister for Jobs, Enterprise and Innovation the progress of the latest Action Plan for Jobs; the number of its objectives that have been achieved; and the number of jobs created which are directly linked to the plan. [48145/14]
View answerThe 2014 Action Plan for Jobs was published last February and builds on the 2012 and 2013 Action Plans. This year’s Plan includes 385 actions for delivery across all Government Departments and 46 agencies. The 385 actions are broken down into quarterly milestones for delivery, and these are reported on every three months. The Quarterly Progress reports are published on my Department’s website, www.djei.ie. For the first three Quarters of this year, approximately 88% of the quarterly milestones had been delivered on schedule. This would suggest we are on target for an overall delivery in the order of 90% of all actions this year, consistent with the out-turn for the 2012 and 2013 Action Plans. Any actions that are delayed from this year’s Plan will be carried into next year.
Some of the key deliverables on the part of Government under the Action Plan this year include:
- the establishment of 31 Local Enterprise Offices,
- publication of a national Entrepreneurship Policy Statement,
- recruitment of additional resources for IDA Ireland in strategic locations overseas,
- the National roll-out of the Trading On-Line Voucher scheme,
- publication of the Construction 2020 strategy,
- funding of €245 million for the establishment of 5 new world-class SFI Research Centres,
- publication of the Further Education and Training Strategy,
- upskilling for those who are unemployed is being provided for through courses such as Springboard and Momentum,
- the establishment of a €35 million Energy Efficiency Fund to support improved energy efficiency in the public and commercial sectors.
The overall objective of the Action Plan for Jobs process is to support the creation of an extra 100,000 jobs in the economy by 2016, compared to the start of 2012.
The latest Quarterly National Household Survey published by the CSO shows that, on a seasonally adjusted basis, around 80,000 new jobs have been created since the start of the Action Plan process in 2012, net of a reduction of 19,000 in public sector numbers.
Employment has increased in 10 of the 14 economic sectors, including Construction, Tourism, and Professional and Scientific activities – all areas of focus for the Action Plan for Jobs.
All regions have seen employment increase and unemployment decrease since the launch of the first Action Plan for Jobs.
We are on track to achieve the target of having an extra 100,000 people at work by 2016. However, there are still many areas where there is scope to improve the environment to support job creation. I am currently preparing the 2015 Action Plan for Jobs on behalf of the Government and we will be publishing this Plan early in the New Year.
23. Deputy Clare Daly asked the Minister for Jobs, Enterprise and Innovation the discussions he has had with his European counterparts on the Transatlantic Trade and Investment Partnership; and if he will make a statement on the matter. [47999/14]
View answerThe Transatlantic Trade and Investment Partnership was discussed at the last EU Council of Trade Ministers on 21 November which I attended. The Council was briefed by Commissioner Malmström and took stock of the current state of play. The Council adopted a set of policy conclusions that give clear, unambiguous and reasoned political support for the TTIP negotiations. The conclusions which were agreed at Council highlight sustainable growth and jobs as a key priority for the EU, the importance of an ambitious Agreement in that context, and the importance of better communicating the scope and the benefits of the Agreement to all our stakeholders. I recalled the importance of these negotiations for jobs and economic growth, and that we needed to vigorously pursue this. I also pointed to the importance of transparency, the provision of information and communication. In this regard, I welcomed the Commissioner’s plans to improve transparency and openness in these negotiations.
24. Deputy Dara Calleary asked the Minister for Jobs, Enterprise and Innovation the progress achieved in respect of the target under the Action Plan for Jobs to reduce the regulatory burden by delivering an integrated licensing application service for the retail sector; and if he will make a statement on the matter. [48137/14]
View answerThe introduction of an Integrated Licence Application Service was a disruptive reform in the Action Plan for Jobs 2013 with the delivery of such a service to the retail sector by Q4 2013. A Steering Group, chaired by the Minister for Business and Employment, with membership from the key licensing authorities, including Revenue, Local Authorities, Inland Fisheries, Irish Film Classification Office, and the Office of Tobacco Control, with a remit for retail licensing was established to oversee the process. The Steering Group considered delivering this service either through an extension of an existing platform within the State sector or an outsourced provision of the solution. The Steering Group agreed to progress the option of an outsourced provision, through a finance-design-build-operate model.
In 2014 a number of steps were taken to advance the action. Firstly a Statutory Instrument (S.I. No. 83 of 2014) was signed by the Minister of the Environment, Community and Local Government in February 2014 to extend the powers of the Local Government Management Agency (LGMA) so that they could act as the Contracting Authority for this Service on behalf of the Minister for Jobs, Enterprise and Innovation.
A Request for Tender for a Single Supplier Framework Agreement for the provision of an Integrated Licensing Application Service, signed-off by the Chief State Solicitor’s Office, was issued through etenders and in the EU Official Journal on 21st February 2014 with a closing date of 17th April 2014.
A contract has been awarded and the LGMA, as contracting authority, has written to the successful tenderer to inform them of the outcome of the competition and an award notice has been published in the EU Official Journal. The contract has been awarded to An Post with Escher as their technology partner.
Contract conclusions have commenced and are scheduled to be completed by the end of December 2014, subject to advice received from the Attorney General’s Office. I intend then to bring a Memorandum to Government on this issue before the contract is signed.
25. Deputy Paul Murphy asked the Minister for Jobs, Enterprise and Innovation his views on whether there may be an over-emphasis on multinationals with regard to job creation, in view of the fact that according to Forfás only 4,520 jobs were added by foreign-owned State-assisted companies in the decade between 2004 and 2013. [48147/14]
View answerForeign Direct Investment has been and continues to be an integral part of Ireland’s economic development strategy. Foreign owned firms contribute substantially to Ireland’s exports, jobs, expenditure in the Irish economy and to Exchequer funds. FDI plays a key role in the development of “new” sectors in Ireland, in enhancing our research, development and innovation performance and in accelerating the achievement of critical mass within sectors. In addition every 10 jobs in an IDA Ireland client company supports 7 jobs in the wider economy. IDA Ireland client companies spent €22.4bn in the Irish economy during 2013, of which €8.5bn was on payroll, and €2.6bn was on Irish sourced goods and €11.3bn was on Irish services.
The figures quoted by the Deputy in his question do not reflect the fact that in the period from 2004 to 2009, the worst year for job losses in recent years, the number of foreign owned agency supported jobs fell by 14,707 from 167,806 to 153,099. Since this Government took office, the number of foreign owned agency supported jobs rose by 18,415, from 153,911 at the end of 2010 to 172,326 at the end of 2013.
As regards the Deputy’s view that there may be an over dependence on foreign owned agency supported jobs, I would like to point out that at the end of 2013, the latest date for which we have data, the numbers employed in indigenous agency supported employment stood at 176,996, which is roughly on a par with the numbers employed in foreign owned agency supported firms, with the total numbers steadily increasing.
The Government's Action Plan for Jobs is centred on rebuilding a sustainable economy based on enterprise and exports. Exporting companies supported by the Department of Jobs, Enterprise and Innovation through its agencies have recorded three strong years of employment growth, both in the creation of new jobs and in the terms of overall net change in employment when account is taken of job losses in the enterprise base.
Since the start of the Action Plan for Jobs process in 2012, employment nationally has increased by approximately 80,000 to Quarter 3 2014. Live Register figures published last week show that the number of people signing on the Register continues to decrease and the Seasonally Adjusted Standardised Unemployment Rate of 10.7% is at its lowest level since February 2009. Nonetheless, our unemployment rate is still too high and we must maintain our focus on creating a supportive environment for employment growth through the continued delivery of the Action Plan for Jobs.
26. Deputy Seamus Healy asked the Minister for Jobs, Enterprise and Innovation as pay and pensions in payment are now processed separately in the public service, if he will introduce legislation to give the Alliance of Retired Public Servants a statutory right to access to the Labour Court and Labour Relations Commission; and if he will make a statement on the matter. [48118/14]
View answerI understand the Alliance of Retired Public Servants was set up in the recent past to oppose cuts to Pensions. I fully appreciate the concerns of retired and deferred members of pension schemes whose schemes are being restructured, particularly where such restructuring may impact on existing or potential pension benefits. The question of whether it is appropriate that pensioner groups have access to the State’s industrial relations machinery in pursuing pension scheme grievances has been raised for consideration.
It should be pointed out that the Trustees of a particular pension scheme are already required by law to act in the best interests of all the members. On that basis the trustees have to take account of the interests of the deferred and pensioner members in any proposals they make.
This is an issue to which I have given careful consideration, particularly in light of representations made to me in this regard.
In addition, my Department also consulted with the industrial relations bodies under the auspices of my Department on the issues that arise in the context of collective representation of retired and deferred members of pension schemes in such circumstances.
In this context, it is important to stress that the industrial relations system in Ireland is voluntary in nature both as regards access to the Labour Relations Commission and the Labour Court. Any change to that principle which would put in place a mandated right to be part of the process would alter fundamentally the conduct of industrial relations.
As it stands, active members of pension schemes (through their Trade Unions) regularly engage with the employer to attempt to reach a common position as regards changes to pension schemes whether as a result of a crisis in the scheme or otherwise. In all such cases the outcome of that engagement can only be a collective agreement which cannot, of itself, change the pension scheme. Any proposed changes to the scheme are effected via the mechanisms set out in the trust deeds and rules of the scheme and are at the discretion of the parties so designated in the rules/deeds of the scheme. It may be that it is within this framework that a collective approach could be most effective.
27. Deputy Finian McGrath asked the Tánaiste and Minister for Social Protection the position regarding a pension fund and the role of employers (details supplied); and if she will make a statement on the matter. [48489/14]
View answerDefined Benefit pension schemes in Ireland are set up and maintained by employers on a voluntary basis. There has never been a statutory obligation on employers under Irish law to contribute to their pension scheme. Rather, when a defined benefits scheme is set up, the level of employer and employee contributions is agreed and established in contract in the scheme Trust Deeds and Rules. The Trust Deeds and Rules differ from scheme to scheme, and as with any contractual situation, contain the bounds on the level of obligation of the parties involved.
In the case of the Waterford Crystal Pension Schemes, these schemes were wound up in a situation where both the employer and the scheme were insolvent. As part of the wind-up process the assets in these schemes were distributed to meet the liabilities of the scheme to the extent that the assets were sufficient to meet these liabilities. You will be aware that the Government has approved a set of recommendations from the mediator to settle funding issues arising from the wind up of these schemes.
The costs associated with the mediated settlement will be drawn from the Central Fund. In Budget 2014 the Minister for Finance confirmed the introduction of an additional levy on pension funds at 0.15% for 2014 and 2015 to help fund the Jobs Initiative and to make provision for potential State liabilities emerging from pre-existing or future pension fund difficulties.
28. Deputy Pearse Doherty asked the Tánaiste and Minister for Social Protection when a person (details supplied) in County Donegal will receive a date for an oral hearing regarding a claim for carer's allowance; and if she will make a statement on the matter. [48504/14]
View answerThe Social Welfare Appeals Office has advised me that the appeal from the person concerned was referred to an Appeals Officer who has decided to convene an oral hearing in this case.
Every effort will be made to hear the case as quickly as possible and the appellant will be informed when arrangements for the oral hearing have been made.
The Social Welfare Appeals Office functions independently of the Minister for Social Protection and of the Department and is responsible for determining appeals against decisions in relation to social welfare entitlements.
29. Deputy Peadar Tóibín asked the Tánaiste and Minister for Social Protection the number of persons attending the part-time job incentive in September 2014. [48512/14]
View answerAt the end of September 2014 there were 335 recipients of a payment under the Part-Time Job Incentive Scheme.
