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Job Creation

Dáil Éireann Debate, Tuesday - 4 December 2018

Tuesday, 4 December 2018

Questions (60)

Dara Calleary

Question:

60. Deputy Dara Calleary asked the Minister for Business, Enterprise and Innovation the status, from the latest labour force survey, of jobs added in County Mayo in the 12 months to quarter 3 of 2018; and the work under way via IDA Ireland, Enterprise Ireland and Údarás na Gaeltachta to create additional employment here. [50487/18]

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Oral answers (8 contributions)

I would like to know the Minister's investment plans for County Mayo. The county's joblessness figures have not improved at the same rate as in the rest of the country. County Mayo is home to some of the world's leading companies, yet in recent years it has not had a new IDA Ireland investment. There was no investment in yesterday's announcement of €29 million for regional enterprise development funds, in spite of applications from the county. We need a very frank discussion about the Department's agencies' plans for County Mayo.

I note the release of the results of the labour force survey for quarter 3 of 2018, as issued by the Central Statistics Office on 20 November 2018. Overall, the quarter 3 results are very positive. Figures show that employment continues to grow strongly, with 66,700 jobs created throughout the State in the year from quarter 3 of 2017 to quarter 3 of 2018. This brings total number of people in employment to 2.273 million.

In the west in the year to quarter 3 of 2018, an extra 5,100 people were in employment. In the same period, there were 1,100 fewer people unemployed in the region. Since the launch of the regional action plan for jobs in 2015, there was an increase of 28,400 people in employment throughout the west from quarter 1 of 2015 to quarter 3 of 2018. In the same period, the unemployment rate in the west fell from 12.6% to 6.6%.

There are 16 IDA Ireland client companies operating in County Mayo, employing a total of 4,462 people. I am pleased to say that employment in IDA Ireland-supported companies in Mayo has increased year on year since 2012, with an almost 26% increase in foreign direct investment employment from 2012 to 2017.

The IDA continues to highlight the benefits of expanding or locating in County Mayo to multinational companies. As part of its regional property programme, the IDA has constructed an advance building in Castlebar which is being actively marketed to IDA Ireland clients through its network of offices in Ireland and overseas.

Enterprise Ireland is also working to support job creation in County Mayo in assisting entrepreneurs who are setting up start-up companies in manufacturing and internationally traded services. Enterprise Ireland is also focusing on the creation of new jobs through continuing to work with established companies in its client portfolio in the county. There were 115 Enterprise Ireland client companies in County Mayo, employing 4,118 people in 2017. In the period 2015 to 2017, Enterprise Ireland paid approximately €8 million to support the enterprise development of its client companies in County Mayo.

In addition, with the support of Údarás na Gaeltachta, a total of 60 new jobs were created in the Mayo Gaeltacht in 2017.

This amounted to a net increase of eight jobs on the previous year and means there were 648 full-time jobs in Údarás na Gaeltachta client companies in the Mayo Gaeltacht at the end of the year.

Additional information not given on the floor of the House

Work is ongoing across Government Departments and agencies to deliver on the Government's commitment to secure quality and sustainable employment in the regions and build on the upward trend in employment figures that we saw in the recent labour force survey for quarter 3 of 2018.

The reality is that County Mayo is falling behind. We have many excellent companies located in the county and we are proud to host them. Their success has been on the basis of the fantastic labour force we have. However, despite our track record and level of success, only 23 of a total of 3,289 IDA Ireland client visits undertaken between 2011 and 2017 were to County Mayo and the county has not attracted a new IDA Ireland supported company in many years. The Minister mentioned the property solution in Castlebar. We also have one in Ballina but it is not being marketed extensively or built on. The alliance of food and healthcare companies is not being marketed sufficiently. I referred to yesterday's announcement of €29 million for a regional enterprise development fund. Not one investment was based in Mayo, although a very small part of the Sligo investment was in Mayo. We have corresponded with the Minister about the disruptive technologies innovation fund, in respect of which a very successful Mayo company submitted an application concerning a new technology which was turned down. Údarás na Gaeltachta is crying out for capital investment and we have made this a feature of our budgets. Many good things are happening on the back of people in County Mayo working hard, but a great many Mayo people want an opportunity to return home. Inaction on the part of the Minister's Department means they are not getting that opportunity. We need new investment in IDA Ireland companies and our fantastic team at the Mayo local enterprise office. If they had more resources, they could do an awful lot more.

A great deal of work is being done. As I said, there are 16 IDA Ireland supported companies employing 4,462 people in County Mayo. That is an impressive figure.

There has been nothing new in recent years.

Of the new employment created by IDA Ireland supported companies, 70% is from existing companies. These companies continue to invest and we continue to support them to do so. Only last week, more than €3.2 million was allocated to the Ballina innovation quarter under the urban regeneration fund. This provided for the development of the old military barracks in Ballina into a new innovation quarter. It is projected that the new quarter will consist of a digital hub and an innovation centre and could lead to the creation of 200 jobs within three years. The digital hub will provide 20 spaces for technology, digital media and Internet companies to scale and grow alongside local enterprises. It will also enhance the town's attractiveness for investment and provide local start-up businesses with a place to develop and grow.

Regarding the rural development fund, the Minister for Rural and Community Development, Deputy Ring, announced almost €800,000 to be provided for the development of eight enterprise and digital hubs across County Mayo. Údarás na Gaeltachta is the lead partner on this project. These hubs will provide business clusters focusing on the creative industries, the Irish language, sport and the marine. These are very positive developments for Mayo.

While that is all positive, there is a hunger on the ground for an awful lot more. The Minister referred to the Minister for Rural and Community Development. He is the Minister who said Ireland is unbalanced. It will continue to be unbalanced for as long as we do not have ambition for counties such as Mayo. The Minister referred to the innovation hub. It is a superb project led by Mayo County Council and Moy Valley Resources, which has been turned down for many projects by Enterprise Ireland. This is the kind of ambition we have in the county. We have a superb LEO. With more resources and support from the Department, we could do an awful lot more in small companies and big companies.

There is no sense in going on about the 16 IDA Ireland companies. We are incredibly proud of them and the Mayo workforce, yet around us, in counties Sligo, Galway, Longford, Roscommon, new IDA Ireland companies are coming in and giving people the opportunity to come home. We see the pressure Dublin is under. There are many people who will come home for Christmas and will have to leave again afterwards. They want to work and create businesses in Mayo and be given the opportunity to do so. What we do not have is support from Departments, including the Minister's Department, to match the ambition and determination of the people of County Mayo.

I reassure the Deputy that a wide range of supports is available for indigenous companies. Only yesterday, I announced the regional enterprise development fund. The Deputy stated there was nothing specific in the fund for County Mayo, but there was much in it for the region. I see regions, not county boundaries. A project that was funded in Sligo will have benefits for Mayo and the neighbouring counties. On Monday I was in Navan launching this fund, from which the Boyne Valley Food Innovation District now stands to benefit. Its application was turned down the last time. The representatives of the Boyne Valley Food Innovation District present at the launch said they were very disappointed by this initial decision. They said they applied for funding under the regional enterprise development fund, put in the application and were called to make a bid. They said it felt like they were at a football game and were five-nil down and were hoping the ground would open up and swallow them. They had to go out the door without any money. However, they made a second application. I suggest that the companies that failed to get any funding under the regional enterprise development fund go back to Enterprise Ireland, talk to them and look at how they can improve the application. This is what the Boyne Valley Food Innovation District did. It improved its application and now has funding under this round. This is a rolling fund. I suggest the Deputy gather together the companies that were unsuccessful in their applications to the regional enterprise development fund, which was independently assessed, and tell them to go back to Enterprise Ireland, get feedback and look to see where they can improve on their applications. I want to see every region and county benefitting.

Questions Nos. 61 and 62 replied to with Written Answers
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