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Tuesday, 12 Jul 2016

Written Answers Nos. 785-799

IDA Data

Questions (785)

David Cullinane

Question:

785. Deputy David Cullinane asked the Minister for Jobs, Enterprise and Innovation the number and location of IDA Ireland supported advance factories being built to provide property solutions aimed at creating jobs; the stage of planning and construction that each factory is at; the completion times; the amount that has been and will be spent on capital for each project; and if she will make a statement on the matter. [20512/16]

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Written answers

In February 2015, the Government through the Department of Jobs, Enterprise and Innovation unveiled a five year strategy aimed at accelerating the jobs recovery in every part of the country. The plan includes the delivery of a €150m IDA Ireland property investment programme to attract foreign direct investment into different parts of Ireland over a five year period and is targeted at ensuring the ready availability of an adequate supply of marketable serviced land, office and industrial/manufacturing buildings in advance of demand by both existing and potential client companies.

Advanced facilities were constructed and completed in Athlone and Waterford in 2014 and early 2015. Under the property investment programme, the Agency plans to deliver further facilities in Sligo, Tralee, Castlebar, Galway, Dundalk, Limerick, Athlone (2nd build), Carlow, Waterford (2nd build).

The total capital expenditure envelope for the delivery of the nine IDA advance facilities is circa €45 million. The facilities in Sligo and Castlebar are currently under construction, and the estimated cost for each unit is approximately €4 million.

IDA Ireland is in the final stages of the tendering process for the Tralee facility and therefore, for reasons of commercial sensitivity, is not in a position to release details of the expected cost. The Agency expects the contractor to be appointed shortly and the facility is planned for completion in Q2 2017.

IDA Ireland is keen to encourage the delivery of suitable foreign direct investment (FDI) property solutions through private sector funding and delivery where possible. In Galway, the Agency is using a public–private partnership (PPP) model to supply another facility. Planning permission has been obtained and the building is due for completion in Q3 2017.

The remaining IDA advance facilities, detailed in the table, are at various states of concept and design and therefore cost estimates have not been finalised.

IDA Ireland Advance Facilities

Location/Unit

Stage/Status

Sligo

Under construction

Castlebar

Under construction

Tralee

Final Stages of Tendering Process

Galway

Planning obtained / PPP model

Phase 2 Open market tender

Limerick

Design Stage

Dundalk

Design Stage

Galway

Design Team Appointment

Athlone

Design Team Appointed

Carlow

Concept &

Site Selection evaluation ongoing

Waterford

Concept &

Site Selection evaluation ongoing

Legislative Measures

Questions (786)

David Cullinane

Question:

786. Deputy David Cullinane asked the Minister for Jobs, Enterprise and Innovation her plans to tackle bogus self-employment; and if she will make a statement on the matter. [20513/16]

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Written answers

The Deputy will be aware that the Department of Finance and Department of Social Protection have conducted a joint public consultation on the Use of Intermediary-Type Structures and Self-Employment Arrangements.

Clearly there is a convergence of interests between my Department and the Departments of Finance and Social Protection in addressing this issue. Apart from the significant losses to the Exchequer arising from cases of so called bogus self-employment, the practice has serious implications from an employment rights perspective. In this respect it is important that individuals are correctly designated as regards employment status, so that those who ought to be designated as employees are not deprived of employment rights. This is particularly the case for vulnerable workers who may not feel in a position to object to certain arrangements.

Ireland has a well-resourced and proactive labour inspectorate, which now forms part of the Workplace Relations Commission (WRC) and there are already existing mechanisms in place to tackle this issue. Inspections are undertaken on the basis of risk analysis which identifies certain sectors, as a result of complaints received and on a routine basis. Where the WRC inspection service receive complaints in relation to bogus self-employment or bogus sub-contracting, they are forwarded to the Revenue Commissioners and/or the Department of Social Protection (Scope Section) for investigation either solely by the recipient, or jointly with the Workplace Relations Commission.

In most cases it will be clear whether an individual is employed or self-employed. Where there is doubt in relation to the employment status of an individual the relevant Departments and Agencies will have regard to the Code of Practice for Determining Employment or Self-Employment Status of Individuals. This Code was drawn up and agreed in 2007 by the Office of the Revenue Commissioners, Department of Social and Family Affairs, Department of Enterprise, Trade and Employment, the Irish Congress of Trade Unions and the Irish Business and Employers Federation.

Low Pay Commission Report

Questions (787, 788, 789, 790)

David Cullinane

Question:

787. Deputy David Cullinane asked the Minister for Jobs, Enterprise and Innovation her plans to implement the commitment in the summer economic statement to increase the minimum wage to €10.50 an hour over the next five years; the status of the Low Pay Commission following such a commitment; and if she will make a statement on the matter. [20514/16]

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David Cullinane

Question:

788. Deputy David Cullinane asked the Minister for Jobs, Enterprise and Innovation the number of times the Low Pay Commission has met since its establishment; the frequency with which it has reported to her; the recommendations, if any, it has made; and if she will make a statement on the matter. [20515/16]

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David Cullinane

Question:

789. Deputy David Cullinane asked the Minister for Jobs, Enterprise and Innovation the cost of establishing the Low Pay Commission; the yearly cost of running the commission; and if she will make a statement on the matter. [20516/16]

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David Cullinane

Question:

790. Deputy David Cullinane asked the Minister for Jobs, Enterprise and Innovation the salaries, allowances and expenses paid to members of the Low Pay Commission since its establishment; and if she will make a statement on the matter. [20517/16]

View answer

Written answers

I propose to take Questions Nos. 787 to 790, inclusive, together.

The Low Pay Commission was established last year through the National Minimum Wage (Low Pay Commission) Act 2015. Its principal function is, once each year, to examine the national minimum hourly rate of pay and to make a recommendation to the Minister respecting the rate, ensuring that all decisions are evidence based, fair and sustainable, and do not create significant adverse consequences for employment or competitiveness.

The Commission submitted its first report in July 2015. Its recommendation to increase the minimum wage from €8.65 to €9.15 per hour was accepted by Government and the increase came into effect on 1 January last.

The Commission’s second report on the national minimum wage is due to be submitted to the Minister by 19 July 2016.

The 2015 Act allows the Minister to request the Commission to examine and report its views and recommendations on such matters, related generally to the functions of the Commission under the Act, as are specified in that request. Such request must be made to the Commission by the end of February each year. This new provision was invoked, in order to obtain a better understanding of the impact of the national minimum wage on younger people. The Commission has been asked to examine the appropriateness of the sub-minima rates as currently provided for in the National Minimum Wage Acts with regard in particular to their impact on youth unemployment rates and participation in education. This report is due by the end of October 2016. This new provision has also been used to ask the Commission to report on the preponderance of women on the national minimum wage. In order to obtain a better understanding of the composition and profile of this group and the underlying causality, the Commission was requested to examine this issue in more detail and report its views as to the underlying reason for this position and make any recommendations it considers appropriate. This report is also due by the 31st of October this year.

The Summer Economic Statement repeats the Government's support for an increase in the minimum wage to €10.50 per hour over the next five years and put in place mechanisms that mitigate the impact on employers in order to protect lower paid jobs taking into account the recommendations of the Low Pay Commission. The independence of the Low Pay Commission is firmly established in the National Minimum Wage (Low Pay Commission) Act 2015. It can only operate within that statutory remit and make recommendations to the Minister in accordance with the criteria that are clearly and explicitly set out in the 2015 Act.

The Commission met on 7 occasions while it had interim status. Since its establishment on a statutory basis it has met on 11 occasions. Members of the Commission have also met with a range of interested parties since February 2015. 4 such meetings took place in Galway, Dublin (X2) and Monaghan.

An allocation of €500,000 was provided for the Commission in 2015, broken down on a pay (€270,000) and a non-pay (€230,000) basis. Expenditure in 2015 was €250,600 - €155,500 (pay) and €95,100 (non-pay). €474,000 has been allocated to the Commission for 2016 broken down on a pay (€244,000) and a non-pay (€230,000) basis.

Information relating to member fees and expenses to date is set out as follows:-

Fees

Expenses

€81,937.56

€11,364.03

Not all Commission members are in receipt of fees, a number of members have waived their entitlement to fees and expenses. Others are ineligible to claim fees under the ‘one person, one salary’ principle.

Competition and Consumer Protection Commission

Questions (791)

Alan Kelly

Question:

791. Deputy Alan Kelly asked the Minister for Jobs, Enterprise and Innovation if she received the 2015 annual report of the Competition and Consumer Protection Commission by 30 June 2016 as required by section 32 of the Competition and Consumer Protection Act 2014; and when it is intended to publish the report. [20535/16]

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Written answers

The 2015 Annual Report of the Competition and Consumer Protection Commission was submitted to me on 30 June 2016. It will be published after it has been laid before the Houses of the Oireachtas which I expect will happen shortly.

EU Funding

Questions (792)

Pearse Doherty

Question:

792. Deputy Pearse Doherty asked the Minister for Jobs, Enterprise and Innovation the amount of pre-financing, by programme, her Department has applied for in the current phase of EU funding programmes; the amount that is likely to be reimbursed to the European Commission; the reasons this money will be reimbursed; and if she will make a statement on the matter. [20582/16]

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Written answers

The current phase of the European Structural and Investment Funds covers the period 2014-2020. The European Regional Development Fund (ERDF) forms one component of the wider European Structural and Investment (ESI) Fund. Within Ireland the Minister for Public Expenditure & Reform has overall responsibility for EU Cohesion Policy and primary responsibility for the ERDF.

As part of Ireland’s submission of a draft Partnership Agreement for ESI Funds to the European Commission in 2014 my Department was required to identify expenditure across all ERDF priority areas. This includes expenditure across two regional operational programmes - one for the South and East Region and one for the Border, Midlands and Western region.

The focus of these programmes is on jobs and growth; combating unemployment and social exclusion; promoting research, technological development and innovation (RTDI) and information and communications technology investment and the competitiveness of the business sector; and promoting an environmentally-friendly and resource-efficient economy.

The ERDF co-funded programmes were prepared by the Regional Assemblies (the Border, Midland & Western Region and Southern & Eastern Region) as these are the designated Managing Authorities for the operational programmes.

The total programmed expenditure for Ireland for the ERDF operational programmes over the 2014-2020 period will be €818 million, with an ERDF co-financing rate of 50%, i.e. €409 million.

My own Department has responsibility for €406.2m of this total programmed expenditure against which we will seek approximately €203.1 million in ERDF co-funding for the State over the period of the ERDF programme.

The following table breaks down the constituent parts by funding agency of this programmed expenditure.

ERDF Thematic Objective

Investment Priority

Breakdown of indicative commitments (DJEI agencies)

Southern and Eastern Region

Research

€116.5m (Science Foundation Ireland)

Research, Technology Development and Innovation (RTDI)

Innovation

€60m (Enterprise Ireland)

SME

SME Competitiveness

€69.2m (Enterprise Ireland)

Border, Midlands, Western Region

Research

€60.5m (Science Foundation Ireland)

Research, Technology Development and Innovation (RTDI)

Innovation

€42m (Enterprise Ireland)

SME

SME Competitiveness

€58m (Enterprise Ireland)

Total

€406.2m

Expected associated ERDF drawdown at 50% rate over 2014-2020 period

€203.1m

As regards pre-financing, it is the case that in order to be eligible for an ERDF contribution, programmes must be approved by the designated Managing Authorities who bear the main responsibility for the effective and efficient implementation of co-funded programmes. A further eligibility condition requires that ERDF funding can only be drawn down on the basis of receipted invoices or accounting documents of equal probative value which have a proven link with the relevant projects/programmes. Pre-financing is not provided for under the terms for the implementation of ERDF 2014-2020 programmes.

Departmental Agencies

Questions (793)

Dara Calleary

Question:

793. Deputy Dara Calleary asked the Minister for Jobs, Enterprise and Innovation the number of positions on the boards of bodies and agencies under the aegis of her Department; the number of vacant positions; when each vacancy occurred; and if she will make a statement on the matter. [20687/16]

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Written answers

The number of positions on State Boards are listed in the following table. Currently there are vacancies on two of the State Boards under the remit of my Department. In relation to the IDA, there are currently two vacancies on the Board. Following a PAS recruitment process, I have been provided with a list of prospective candidates, however, I have not yet taken a decision on these appointments.

With regard to IAASA, there are presently three vacancies on the Board. There is one position for a Chairperson, which is currently being recruited by the Public Appointments Service (PAS). The second position will be filled through a nomination from the Prescribed Accountancy Bodies. In respect of the third vacancy, I will make a decision when a list of prospective candidates has been received.

Agency

No of Positions on Board

No of Vacancies

Date Vacancy occurred

Enterprise Ireland

12

0

N/A

Health and Safety Authority

12

0

N/A

Irish Auditing and Accounting Supervisory Authority

9* see note

3**

31/12/2015 Ministerial Appointment

20/05/2016 Chairperson

10/06/2016 Nomination by Prescribed Accountancy Bodies

IDA

12

2

Both since 31.12.2015

Low Pay Commission

9

0

N/A

National Standards Authority of Ireland

13

0

N/A

Personal Injuries Assessment Board

11

0

N/A

Science Foundation Ireland

12

0

N/A

Workplace Relations Commission

9

0

N/A

*The IAASA Board previously comprised of 15; this number was reduced to 9 by the 2014 Act. Persons who were on the board at the time of the Act are being allowed serve out their term appointments.

**The current temporary CEO will be replaced on the IAASA Board following a recruitment process by PAS for a CEO.

Personal Injury Claims

Questions (794)

John Paul Phelan

Question:

794. Deputy John Paul Phelan asked the Minister for Jobs, Enterprise and Innovation the options available to a person (details supplied) who has received an assessment through the personal injuries assessment board. [20693/16]

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Written answers

In accordance with Section 38 (2) of the Personal Injuries Assessment Board Act 2003 an order to pay provides that the respondent to whom it is issued is liable to pay to the claimant the amount of damages specified in the assessment together with the amount of any costs directed to be paid. An order to pay operates as if it were a judgment of a court given for the amount concerned and accordingly provisions relating to the recovery of debt apply to the order to pay as they apply to a judgment of court. (Section 40 (2) of the Act).

The issue of liability for payment of claims due by Setanta Insurance has been awaiting the outcome of legal proceedings in the case of the Law Society of Ireland versus the Motor Insurers' Bureau of Ireland (MIBI). On 4 September 2015, the High Court held that the MIBI is liable in respect of claims against the policy holders of Setanta. This decision was subsequently appealed by the MIBI and the Court of Appeal upheld the High Court decision in March of this year.

The MIBI has recently been granted leave to appeal the Court of Appeal judgment to the Supreme Court.

Economic Competitiveness

Questions (795)

Frank O'Rourke

Question:

795. Deputy Frank O'Rourke asked the Minister for Jobs, Enterprise and Innovation the measures the Government and its agencies have in place to ensure the benefits of cheaper imports from the United Kingdom in view of the weaker sterling are passed onto Irish businesses and consumers; and if she will make a statement on the matter. [20694/16]

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Written answers

The trade performance of a small open economy such as Ireland will always be conditional on the ebb and flow of global markets, including fluctuations in exchange rates. It is a matter at firm level for companies to negotiate the purchasing of inputs, including imported inputs, and then to set prices for sale to other firms or consumers.

The present exchange rate volatility highlights the importance of focusing on a wide spectrum of competitiveness policies, in particular policies to enhance competition and productivity. A competitive, sustainable, cost base can help to create a virtuous circle between inflation, wage expectations and productivity. These broad based competitiveness policies negate the need for short term measures and support Irish firms to compete in markets.

Work Permits Applications

Questions (796)

Sean Fleming

Question:

796. Deputy Sean Fleming asked the Minister for Jobs, Enterprise and Innovation when a work permit will be awarded to a person (details supplied); and if she will make a statement on the matter. [20756/16]

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Written answers

The General Employment Permit application referred to by the Deputy was refused on 18 January 2016 as the remuneration on offer - €30,000 per annum for a 40 hour week – is less than the minimum annual remuneration prescribed for this employment permit type. Also, the requirements of the Labour Market Needs Test that apply in respect of this permit category were not met.

The applicant was advised of this decision in writing and of the option under Section 13 of the Employment Permits Act, 2006 as amended, to seek a review of the decision within 28 days from the date of the refusal letter. Such a review was not sought.

However, the applicant recently made a new application for a General Employment Permit in respect of this employment. On this occasion, the application satisfied the conditions laid down in the Employment Permits Act and Regulations and was granted on 23 May 2016.

Enterprise Ireland Funding

Questions (797)

Robert Troy

Question:

797. Deputy Robert Troy asked the Minister for Jobs, Enterprise and Innovation if she will allocate funds to support a community-based initiative (details supplied). [20758/16]

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Written answers

In 2015, Enterprise Ireland launched a €5 million competitive fund to support community-driven enterprise development initiatives. I understand from Enterprise Ireland that 118 applications for the Community Enterprise Initiative Competitive Fund were considered. There was strong demand for the funding and the process was highly competitive. Some 32 applications exceeded the standard required for funding, following assessment by an external assessor and Committee adjudication and approval by Enterprise Ireland.

Enterprise Ireland announced the results on 1 June 2016 and I am pleased to note that the company in question was successful. I understand from Enterprise Ireland that all letters of offer under the Community Enterprise Initiative were dispatched on the day the Scheme's successful applicants were announced, including the letter of offer to the company concerned.

I understand from Enterprise Ireland that there has been modification to the project as originally proposed. The company will have to provide Enterprise Ireland with details of any modification and, provided the project is still in keeping with their approval, e.g. expenditure amounts etc., Enterprise Ireland can issue a substitute Letter of Offer to cover the revised details concerned.

I should also point out that due to the high demand for the Scheme, Enterprise Ireland will issue a further call for proposals in Quarter 3 this year. This new call will be open to those that may have been unsuccessful under the first call for proposals and also to new applicants. Enterprise Ireland will work with all applicants that apply for funding under the second call for proposals.

I will engage closely with Enterprise Ireland to continue to roll out a series of new competitive regional funding initiatives that deliver on the potential of local and regional strengths; and promote collaboration among the various public and private interests to create new enterprises and jobs.

Work Permits Applications

Questions (798)

Jonathan O'Brien

Question:

798. Deputy Jonathan O'Brien asked the Minister for Jobs, Enterprise and Innovation if her attention has been drawn to the fact the employment permits section is refusing to issue permits under Regulation 6(2)(h) of the Employment Permits Regulations 2014 for failure to submit a tax clearance certificate, even though paper certificates are no longer issued and all tax clearance verification is now done by way of access number; if she will instruct the employment permits section to accept access numbers where tax clearance certificates are required or, if necessary, to amend the regulations; the steps she will take to ensure the employment permits section is kept up to date on changes in Revenue Commissioners' practice so that employment permit requirements can be adjusted accordingly; and if she will make a statement on the matter. [20763/16]

View answer

Written answers

The requirement to furnish an up-to-date Tax Clearance Certificate in the situation where an employment permit is sought for employment in a restaurant is prescribed in Regulation 5(2)(i)(II) of the Employment Permits Regulations 2014 as amended. The eTax Clearance system put in place by the Revenue Commissioners includes the capacity to print or create a PDF version of the Tax Clearance Certificate which is generated when the appropriate registration details are entered into the Revenue Online Service (ROS). Officials in my Department are required under Regulation to request this document.

The Employment Permits Section of my Department keeps developments relating to the application process, including changes in practice by the Revenue Commissioners, under review. The design and development of an interface with the Revenue Commissioners’ eTax Clearance system is scheduled to commence once the new Employment Permits Online System is launched in the autumn. Until such time as the interface is available and the necessary amendments to the Regulations are made in order to accommodate such changes, a copy of the Tax Clearance Certificate will continue to be required.

Health and Safety Regulations

Questions (799)

Niamh Smyth

Question:

799. Deputy Niamh Smyth asked the Minister for Jobs, Enterprise and Innovation the measures in place to ensure first aid officers are appointed at factories; whose responsibility it is to ensure they receive regular training; if there are any guidelines for business owners on having a defibrillator in the workplace; and if she will make a statement on the matter. [20771/16]

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Written answers

The statutory requirements regarding the provision of first aid are set down in Chapter 2 of Part 7 of the Safety, Health and Welfare at Work (General Application) Regulations 2007 to 2016. This legislation requires employers to have a sufficient number of trained occupational first aiders and first aid equipment in the workplace, based on a risk assessment.

As with all occupational safety and health requirements, the employer must carry out a risk assessment of their workplace and this should consider issues including; numbers employed, the nature of the work, the degree of hazard, the level of accidents arising, the size and location of the workplace, the distribution of the employees, shift working, availability of an occupational health service within the workplace and the distance and duration from external medical services. Taking all the information gathered during the risk assessment into account, the employer must provide appropriate first aid provisions for his or her employees.

The Health and Safety Authority’s Guidelines on First Aid at Places of Work, published in 2008, provide a practical guide to employers including help in determining the number of trained occupational first aiders required having regard to the number of employees and the type of industry involved.

It is the responsibility of the employer to ensure that adequate first aid training is provided to an employee who is designated to be occupational first aider. The employer is required to make the appropriate arrangements for first-aid training. Under the terms of the Safety, Health and Welfare at Work Act 2005, any employees attending such training shall not be at any loss for their participation in such training. The employer is also responsible for ensuring that designated employees are afforded the opportunity to refresh their first-aid training at regular intervals and at a minimum of every two years.

The comprehensive guidance and information in the HSA Guidelines on First Aid at Places of Work includes information on occupational first aid training standards and certification, and the requirements for Occupational First Aid training providers.

There is no legislative requirement on an employer to have an automatic external defibrillator (AED) in the workplace. However, it is good practice, in line with the advice for employers in the HSA Guidelines on First Aid at Places of Work, for employers to consider the provision of an AED in the workplace. This may not, of course, prove to be feasible for some small businesses in view of the potentially high initial costs and the need to ensure ongoing maintenance. There are, however, good examples of a number of small businesses combining in a shared arrangement, notably in work locations such as shopping centres and small business enterprise centres. The operation of defibrillators (AEDs) is part of the initial and refresher training provided for occupational first aiders.

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