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Thursday, 10 Feb 2022

Written Answers Nos. 76-98

Departmental Schemes

Questions (76)

Jennifer Carroll MacNeill

Question:

76. Deputy Jennifer Carroll MacNeill asked the Tánaiste and Minister for Enterprise, Trade and Employment the plans that are in place for a successor scheme to the future growth loan scheme; and if he will make a statement on the matter. [6873/22]

View answer

Written answers

My Department is currently leading a review of the Future Growth Loan Scheme (FGLS) to develop insights and intelligence which will assist me in the consideration of policy in the area of longer-term lending. The review will examine the benefits arising to SMEs and the State from the current FGLS. Evidence for the review is being collected via consultations with SMEs, industry bodies, policy stakeholders and lenders. It is anticipated that the study will be completed in Q2 of this year.

In parallel, talks are being held with the European Investment Bank and European Investment Fund as to what funding streams and guarantees are being made available in the coming year. Leveraging funding through these bodies lower the cost and risk to the Irish State. To further decrease the risk to the State, my Department is in ongoing consultation with the Strategic Banking Corporation of Ireland, which also provides counter guarantees.

The principal mechanism in finance being developed by the European Commission is the InvestEU programme. We are awaiting the related upcoming agreement between the Commission and the European Invest Bank. Once we have this agreement and the detail of the mechanisms available, my Department can design a new scheme with our partners.

It is my intention that any successor scheme to the FGLS would retain the positive features of that scheme including access to low-cost long-term lending and the removal of the requirement for personal guarantees or collateral for loans up to half a million euros.

Covid-19 Pandemic

Questions (77)

Catherine Connolly

Question:

77. Deputy Catherine Connolly asked the Tánaiste and Minister for Enterprise, Trade and Employment further to Parliamentary Question No. to 159 of 9 December 2021, the status of his engagement at European Union and World Trade Organisation level with regard to the waiving of intellectual property rights in respect of Covid-19 vaccines; and if he will make a statement on the matter. [6824/22]

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Written answers

Universal and equitable access to vaccines is crucial in the global fight against COVID-19 and Governments in the Developed World must do more to ensure this.

The Government is a very strong supporter of vaccine equity in the world. Morally we need to make sure the world is vaccinated.

As the Deputy is aware, International Trade is a competence of the EU under the Treaties and in exercising that competence, the European Commission engages fully with the Member States, including Ireland, through a variety of Committees and Working Parties/Groups.

As part of the EU, we are very strong advocates of what is called compulsory licensing, which allows governments to license the production of vaccines on a generic basis, including without consent of the pharmaceutical companies. It could be very useful for countries which have vaccine-making capacity, to be allowed to license the production of those vaccines in the plants in their countries, irrespective of whether those companies give agreement.

The EU has been genuinely flexible and seeking to find a solution to make it easier for governments to allow third parties to manufacture COVID-19 pharmaceutical products. A TRIPS waiver, by itself, will not result in any new vaccine plants being built or made operational.

We have an open mind on the alternative suggestion of a TRIPS waiver. We have always said that if we receive a WTO proposal in writing, we will look at it. That has not happened yet.

Discussions are ongoing in the WTO to find a common understanding among Members on how the WTO can contribute to an effective response to any pandemic, not just the current one.

The challenges have changed since the waiver proposal was first put forward over a year ago, with fair distribution of vaccines, diversifying production across the regions, and vaccine hesitancy among populations now cited as being among the main obstacles to getting the world vaccinated. The focus is also shifting from vaccines production to administering vaccinations and how strengthening health systems and their preparedness is pivotal in the achievement of the 70% vaccination target by mid-2022.

What is needed is capacity, know-how, qualified scientists and technicians, capital, and experienced medicine and safety regulators. All those things are needed to get the vaccine from the lab into people's arms. We need a global solution that is comprehensive, intelligent, workable and that does not disincentivise innovation.

The WHO recently stated that it sees a very positive outlook for supply of vaccines for 2022, that this is predicated on the continuation of dose sharing and manufacturers honouring deals brokered under COVAX, and that unequal distribution, rather than supply, could compromise global access to vaccines.

Ireland has committed to donate up to 5 million COVID-19 vaccines. To date, a total of 2.9 million have been accepted as donations and of these over 1.3m have been delivered to countries including Uganda, Nigeria, Indonesia and Ghana. In addition, Ireland has committed €13.5 million in financing to COVAX facility to facilitate the purchase of vaccines by low and lower middle-income countries and to cover the ancillary costs associated with vaccine donations.

The EU has been the leading exporter of vaccines; out of a total of 3.5 billion doses produced, the EU has exported over 1.7 billion doses to 165 countries. Team Europe has contributed €3 billion in financial support to the COVAX programme and is on target to donate 700 million doses by mid-2022. It is also investing €1 billion to ramp up mRNA production capacity in Africa.

The Irish Government is a strong supporter of vaccine equity and has pledged to do all it can to ensure that there is universal and equitable access to COVID-19 vaccines worldwide. Furthermore, it will continue to work with those countries who have yet to build the infrastructure needed to rollout a vaccine programme. The Government will do this through aid programmes that help with refrigeration, distribution, and administration, and all these elements are necessary for the rollout of successful vaccination programmes around the world. This includes supporting the World Health Organisation (WHO), the Global Vaccine Alliance and the Global Fund, to develop, produce and equitably distribute effective technologies in the COVID-19 global response.

Enterprise Policy

Questions (78)

Paul McAuliffe

Question:

78. Deputy Paul McAuliffe asked the Tánaiste and Minister for Enterprise, Trade and Employment if he will report on the Dublin Regional Enterprise Plan. [6805/22]

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Written answers

Regional enterprise development and sustainable local job creation is a key policy priority of mine and this Government.

Throughout 2021, my Department has overseen the development of nine new Regional Enterprise Plans to 2024. These are ‘bottom-up’ plans, developed by regional stakeholders which identify growth opportunities, recognise vulnerabilities, and enable job creation across the nine regions.

The Regional Steering Committees are chaired by senior industry figures and include the Enterprise Agencies, LEOs, Regional Assemblies, Local Authorities, Higher Education bodies, and others, all of whom are focused on creating and sustaining employment opportunities in the region.

Following in-depth consultation and engagement across the regions, each plan will contain a set of objectives and related actions to be delivered by end 2024. These objectives are complementary to and support existing Government and agency initiatives.

The Regional Enterprise Plans to 2024 are currently being finalised by my Department. They will be published and launched across the country over February and March this year.

My Department has approved over €126 million in funding to 79 enterprise strengthening projects in every region over a series of competitive calls since 2017. This has been provided through Enterprise Ireland via the Regional Enterprise Development Fund, the Border Enterprise Development Fund and the Regional Enterprise Transition Scheme. Together, these funds assisted the development of collaborative regional projects that drive delivery of the objectives developed in the previous Regional Enterprise Plans.

I can advise the Deputy that in addition to the €5 million allocation for regional enterprise funding in Budget 2022, my officials are in the process of exploring new significant sources of funding to drive implementation of the nine new Regional Enterprise Plans. I expect to announce details on new regional funding shortly.

Legislative Measures

Questions (79)

Cormac Devlin

Question:

79. Deputy Cormac Devlin asked the Tánaiste and Minister for Enterprise, Trade and Employment if he is bringing forward new competition legislation; and if he will make a statement on the matter. [6830/22]

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Written answers

Following Government approval late last month, the Tánaiste and I published the Competition (Amendment) Bill 2022 on Monday 31st January last. This Bill will give more powers to the Competition and Consumer Protection Commission (CCPC) and the Commission for Communications Regulation (ComReg) to challenge anti-competitive practices by business and protect consumers.

For the first time in Irish law, breaches of competition law can be enforced through administrative actions taken by competition authorities, with maximum fines of up to €10 million or 10% of total worldwide turnover, whichever is the greater.

This Bill represents a significant step-change in competition enforcement to effectively tackle white collar crime in Ireland and will be instrumental in supporting the ongoing work to protect and promote a competitive and fair marketplace that works for consumers and business alike.

I look forward to bringing this Bill through the Houses of the Oireachtas as a priority in the coming weeks.

Legislative Measures

Questions (80)

Jackie Cahill

Question:

80. Deputy Jackie Cahill asked the Tánaiste and Minister for Enterprise, Trade and Employment the plans are in place to update legislation governing co-operatives. [6817/22]

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Written answers

My Department is close to finalising legislative proposals for the most far-reaching reform of the legislation regarding Co-operative Societies in almost 130 years. The proposals will consolidate, modernise and strengthen the legislative basis for the sector and enshrine the co-operative model in legislation for the first time. This will allow co-operatives to operate under a modern, fit for purpose legislative framework, and provide an attractive alternative to the company law model for those entities who subscribe to the co-operative ethos.

I recently launched a public consultation on the proposed reforms and following consideration of the responses received, it is expected that a general scheme of a Bill will be brought to Government during Quarter 2 of this year.

Flexible Work Practices

Questions (81)

Ruairí Ó Murchú

Question:

81. Deputy Ruairí Ó Murchú asked the Tánaiste and Minister for Enterprise, Trade and Employment the status of the implementation of the required legislation for the national remote working strategy; and if he will make a statement on the matter. [6997/22]

View answer

Written answers

On 25 January the Government approved the drafting of the Right to Request Remote Working Bill 2022. Pre-legislative scrutiny by the Joint Oireachtas Committee on Enterprise, Trade and Employment commenced this week.

This law will provide a legal framework around which requesting, approving or refusing a request for remote work can be based. It will provide legal clarity to employers on their obligations for dealing with such requests.

An employer may, having given the application due consideration, decline a request for remote working stating the business grounds for so doing. The intention is that where a request is declined, it must be clear to the employee the reason it has been declined. The grounds included are drawn from the submissions received within the public consultation and also reflect the international review of similar legislation. The basic premise is that provided the work can be done and services are not diminished, the employer should say yes. Without listing reasons for refusal, an employer could dismiss requests out of hand. The new law is interfering in the relationship between employee and employer and it has to strike a balance that is legally sound.

The Department is currently looking further at the legal issues related to strengthening the redress provisions and a right of appeal, and is taking legal advice on the matter.

Enterprise Policy

Questions (82)

Marc MacSharry

Question:

82. Deputy Marc MacSharry asked the Tánaiste and Minister for Enterprise, Trade and Employment the status of the North-West Regional Enterprise Plan. [6809/22]

View answer

Written answers

Regional enterprise development and sustainable local job creation is a key policy priority of mine and this Government.

Throughout 2021, my Department has overseen the development of nine new Regional Enterprise Plans to 2024. These are ‘bottom-up’ plans, developed by regional stakeholders which identify growth opportunities, recognise vulnerabilities, and enable job creation across the nine regions.

The Regional Steering Committees are chaired by senior industry figures and include the Enterprise Agencies, LEOs, Regional Assemblies, Local Authorities, Higher Education bodies, and others, all of whom are focused on creating and sustaining employment opportunities in the region.

Following in-depth consultation and engagement across the regions, each plan will contain a set of objectives and related actions to be delivered by end 2024. These objectives are complementary to and support existing Government and agency initiatives.

The Regional Enterprise Plans to 2024 are currently being finalised by my Department. They will be published and launched across the country in the coming weeks.

My Department has approved over €126 million in funding to 79 enterprise strengthening projects in every region over a series of competitive calls since 2017. This has been provided through Enterprise Ireland via the Regional Enterprise Development Fund, the Border Enterprise Development Fund and the Regional Enterprise Transition Scheme. Together, these funds assisted the development of collaborative regional projects that drive delivery of the objectives developed in the previous Regional Enterprise Plans.

I can advise the Deputy that in addition to the €5 million allocation for regional enterprise funding in Budget 2022, my officials are in the process of exploring new significant sources of funding to drive implementation of the nine new Regional Enterprise Plans. I expect to announce details on new regional funding shortly.

Employment Rights

Questions (83)

Louise O'Reilly

Question:

83. Deputy Louise O'Reilly asked the Tánaiste and Minister for Enterprise, Trade and Employment the status of a new employment regulation order for the security industry; and if he will make a statement on the matter. [6893/22]

View answer

Written answers

On 28 April 2021, I announced my intention to issue an Order to give effect to a statutory recommendation of the Labour Court concerning minimum rates of remuneration and other terms and conditions in the Security Sector. The Order was to apply from 1 September 2021.

An ex-parte application to initiate legal proceedings challenging the underlying legislation in the High Court was lodged in late July. As part of the proceedings, the High Court placed a Stay on making the Order.

Following a settlement of the High Court challenge, the draft Employment Regulation Order (ERO) for the sector has been quashed and remitted back to the Labour Court in January 2022 for consideration at its discretion.

The Labour Court is now at liberty to request further submissions or to direct the holding of another oral hearing as it deems fit, the timeframe involved is a matter for the Labour Court.

Enterprise Support Services

Questions (84)

Pauline Tully

Question:

84. Deputy Pauline Tully asked the Tánaiste and Minister for Enterprise, Trade and Employment his plans in relation to providing specific supports for disabled entrepreneurs considering the findings of the recently published report (details supplied); and if he will make a statement on the matter. [6992/22]

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Written answers

The Local Enterprise Offices act as a ‘first stop shop’ providing advice and guidance, financial assistance, and other supports to anyone wishing to start or grow their own business. The Local Enterprise Office can offer direct grant aid to microenterprises (10 employees or fewer) in the manufacturing and internationally traded services sectors which, over time, have the potential to develop into strong export entities and all schemes and grants can be availed of by any business that meets the relevant eligibility criteria.

The Local Enterprise Offices provide a wide range of high-quality business and management development programmes that are tailored to meet specific business requirements. Whether it is starting a business or growing a business there is something suitable for anyone exploring self-employment as an option.

The Local Enterprise Offices provided mentors for the Self-Employment Skills for People with Disabilities course hosted and delivered by TU Dublin through its Continuing Professional Development programme and sponsored by Pobal and The Open Doors Initiative.

The Course was open to anyone who self-identified as having a disability and who wishes to start their own business and simply requires participants to have a business idea that they wish to evaluate as a sustainable enterprise. The course was offered at Level 6 of the National Framework of Qualifications and people who passed the course could receive 5 ECTS credits. It was the first online self-employment course for people with disabilities in Ireland and allowed participants with varying disabilities the opportunity to attend as there were no barriers regarding accessibility and transport.

The course included a range of guest speakers whose experience and expertise were relevant to the target audience. Using a newly developed online tool that will enable participants to develop their idea on a week-by-week basis, plus adopting Universal Design for Learning principles, a customised experiential learning approach allows each participant to maximise their learning from the course.

Each participant was allocated a business mentor by their Local Enterprise Office who supported them with the development of their business idea and whom they met once a month to get feedback on the development of their business plan. It is expected that a number of start-ups will emerge from this course.

The overall response from course participants, through the post-course survey, was hugely positive and it is intended to run this course again in 2022 and will again include Local Enterprise Office Mentors.

Enterprise Ireland's Centre of Excellence is also planning to deliver Diversity and Inclusion Training for Local Enterprise Office staff in 2022. This will be beneficial in helping the Local Enterprise Office staff understand the needs of all entrepreneurs seeking assistance.

Covid-19 Pandemic

Questions (85)

Peadar Tóibín

Question:

85. Deputy Peadar Tóibín asked the Tánaiste and Minister for Enterprise, Trade and Employment the amount spent on advertising by his Department in 2020 and 2021 on Covid-19 supports and grants by advertising campaign in tabular form. [6410/22]

View answer

Written answers

Details of costs incurred by my Department during 2020 and 2021 on Covid-19 supports and grants by advertising campaign are set out below. These figures include the associated costs of developing awareness raising campaigns, such as graphic design, animation and translation costs.

Supports for COVID Affected Businesses

Year

-

2020

€4,735

2021

€895

Work Permits

Questions (86)

Aindrias Moynihan

Question:

86. Deputy Aindrias Moynihan asked the Tánaiste and Minister for Enterprise, Trade and Employment if he is satisfied with the current operation of the critical skills lists under the employment permit system in respect of skills that are in critical shortage in the labour market; and if he will make a statement on the matter. [7029/22]

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Written answers

Ireland operates a managed employment permits system maximising the benefits of economic migration and minimising the risk of disrupting Ireland’s labour market. The system is designed to supplement Ireland's skills and labour supply over the short to medium term by allowing enterprises to recruit nationals from outside the EEA, where such skills or expertise cannot be sourced from within the EEA at that time. However, this objective must be balanced by the need to ensure that there are no suitably qualified Irish/EEA nationals available to undertake the work and that the shortage is a genuine one.

A key to the delivery of the Government’s overarching policy strategies is human capital, primarily through cultivating an indigenous pool of talent and labour. The employment permits system plays a supporting role in the delivery of these strategies by supplementing the labour and skills base where gaps are identified.

The system is vacancy led and managed through the operation of the occupation lists: the critical skills list in respect of skills that are in critical shortage in the labour market and the ineligible occupations lists for which a ready source of labour is available from within Ireland and the EEA.

The lists are reviewed twice a year to ensure their ongoing relevance to the State’s human capital requirements, guided by available research undertaken by the Expert Group on Future Skills Needs (EGFSN), and the Skills and the Labour Market Research Unit (SLMRU) in SOLAS. Cognisance is also taken of education outputs, sectoral upskilling and training initiatives and contextual factors such as Brexit and more recently COVID 19 and their impact on the labour market.

The Department works with other Government Departments via the Economic Migration Interdepartmental Group to promote an integrated approach to address labour and skills shortages in the longer term. Where shortages are clearly evidenced, the employment permit system is flexible enough to address them in real time.

As part of this review process, the Department also invites submissions from industry representatives and stakeholders. The submission process is an opportunity for stakeholders to provide additional information and potentially different perspectives on the nature and extent of skill shortages. Stakeholder submissions are a vital source of information, helping inform the Department’s final assessment of the status of occupations.

The impact of the Covid-19 pandemic on the labour market and economy was a significant consideration in the outcome of the reviews conducted since the onset of the pandemic. However, changes were made during 2021 to extend eligibility for an employment permit to those sectors most impacted by the pandemic, addressing the more immediate skills and labour shortages across key economic sectors including the Health, Agri/Food and Hospitality sectors.

In order to address some inflexibilities in the system, my Department is currently drafting a new Employment Permits Bill to increase the agility and responsiveness of the system, to modernise it and to ensure that it is capable of adapting to rapid changes in the needs of the labour market of the future and to fluctuation in demand contingent on the economic cycle.

Employment permit policy is part of the response to addressing skills deficits which exist and are likely to continue into the medium term, but it is not intended over the longer term to act as a substitute for meeting the challenge of up-skilling the State’s resident workforce, with an emphasis on the process of lifelong learning, and on maximising the potential of EEA nationals to fill our skills deficits.

National Digital Strategy

Questions (87)

James Lawless

Question:

87. Deputy James Lawless asked the Tánaiste and Minister for Enterprise, Trade and Employment the role his Department will play in Harnessing Digital - The Digital Ireland Framework. [6804/22]

View answer

Written answers

Last week the Government launched the new National Digital Strategy called Harnessing Digital - The Digital Ireland Framework.

The Strategy sets out a high-level framework to support our ambition for Ireland to be a digital leader, at the heart of European and global digital developments.

Implementation of the National Digital Strategy, and relevant EU and regulatory issues, will be overseen by the Cabinet Committee on Economic Recovery and Investment, chaired by the Tánaiste, and supported by official led sub-groups namely, the Digital Issues Senior Officials’ Group, chaired by the Department of the Taoiseach, and the Digital Single Market Group, chaired by my Department.

This will allow disparate elements of the digital agenda to be progressed under a coherent work programme, led by my Department.

My Department has specific responsibility for the implementation of the Digitalisation of Business dimension of the National Digital Strategy.

There are a number of key deliverables across this dimension, such as:

- Developing a comprehensive programme to drive digitalisation across enterprise including funding from the €85 million Digital Transition Fund under the NRRP),

- Raising awareness and providing advice and assistance to SMEs, by working with enterprise agencies;

- Supporting the development of workforce skills in SMEs to support digital adoption, including promoting the benefits of workplace training; and

- Developing and enhancing digital platforms for the delivery of the Local Enterprise Offices’ supports.

As a Government we will also:

- Through the public procurement process, support innovative digital start-ups and SMEs;

- Direct more Government equity investment into digital start-ups;

- Develop the ecosystem for ambitious digital entrepreneurs, and promote the creation of testbeds and regulatory sandboxes for AI and other digital technologies;

- Establish Ireland’s European Digital Innovation Hubs in 2022; and establish a National AI Cluster in 2022 to drive collaboration and spill-over between MNCs and SMEs; and

- Work to remove barriers across the EU’s Single Market to improve market access for digital services.

A key priority for me is to ensure the needs and voices of enterprise are heard, and in the coming weeks I will establish and chair the new Enterprise Digital Advisory Forum to inform and assist Government's work in this area.

Enterprise Policy

Questions (88)

Willie O'Dea

Question:

88. Deputy Willie O'Dea asked the Tánaiste and Minister for Enterprise, Trade and Employment if he will report on the Mid-West Regional Enterprise Plan. [6810/22]

View answer

Written answers

Regional enterprise development and sustainable local job creation is a key policy priority of mine and this Government.

Throughout 2021, my Department has overseen the development of nine new Regional Enterprise Plans to 2024. These are ‘bottom-up’ plans, developed by regional stakeholders which identify growth opportunities, recognise vulnerabilities, and enable job creation across the nine regions.

The Regional Steering Committees are chaired by senior industry figures and include the Enterprise Agencies, LEOs, Regional Assemblies, Local Authorities, Higher Education bodies, and others, all of whom are focused on creating and sustaining employment opportunities in the region.

Following in-depth consultation and engagement across the regions, each plan will contain a set of objectives and related actions to be delivered by end 2024. These objectives are complementary to and support existing Government and agency initiatives.

The Regional Enterprise Plans to 2024 are currently being finalised by my Department. They will be published and launched across the country over February and March this year.

My Department has approved over €126 million in funding to 79 enterprise strengthening projects in every region over a series of competitive calls since 2017. This has been provided through Enterprise Ireland via the Regional Enterprise Development Fund, the Border Enterprise Development Fund and the Regional Enterprise Transition Scheme. Together, these funds assisted the development of collaborative regional projects that drive delivery of the objectives developed in the previous Regional Enterprise Plans.

I can advise the Deputy that in addition to the €5 million allocation for regional enterprise funding in Budget 2022, my officials are in the process of exploring new significant sources of funding to drive implementation of the nine new Regional Enterprise Plans. I expect to announce details on new regional funding shortly.

Industrial Development

Questions (89)

Niamh Smyth

Question:

89. Deputy Niamh Smyth asked the Tánaiste and Minister for Enterprise, Trade and Employment the status of the efforts by the IDA to attract inward investment to counties Cavan, Monaghan and Meath; and if he will make a statement on the matter. [6850/22]

View answer

Written answers

2021 was a record-breaking year for Foreign Direct Investment (FDI) employment in 2021, with total employment in IDA client companies now standing at 275,384, up over 29,000 on 2020. Growth in the regions was particularly buoyant with 53%, that is 133 projects of the 249 investments won going to regional locations and employment growth was recorded in every region of the country.

The strong growth in regional investment was supported by IDA Ireland’s property programme. A robust property and infrastructure ecosystem can be the key differentiator in winning FDI projects, as evidenced by the record regional results achieved under IDA’s Winning 2015-2019 strategy.

The 2021 figures show a pattern of sustained, robust growth in FDI investment and FDI-related employment over a continuous period of more than ten-years. The 2021 results reveal an exceptional start to the IDA’s current strategy, Driving Recovery and Sustainable Growth 2021- 2024 , which seeks to further develop FDI at the centre of a resilient, sustainable, and inclusive Irish economy.

The number of new jobs created by the IDA in counties Cavan, Monaghan and Meath over 2021 is detailed below:

County

-

2021

Cavan

IDA Client companies

8

New Jobs Created (Gross Gains)

94

Monaghan

IDA Client companies

8

New Jobs Created (Gross Gains)

30

Meath

IDA Client companies

16

New Jobs Created (Gross Gains)

130

IDA Ireland continues to engage with new companies on promoting Ireland as a location for their business utilising virtual site visits as opposed to physically visiting the county. In 2021, the IDA hosted three e-site visits to Cavan and two to Monaghan. The IDA will continue to position Cavan, Monaghan and Meath for both virtual and in-person visits throughout 2022 and beyond.

IDA Ireland's strategy represents a major contribution to national policy goals on advancing regional development. Despite a more challenging environment, the Agency will continue to maintain the same high level of investments targeted as in their previous strategy for each region, guided by the focus in the National Planning Framework on building stronger regions and centres of scale. In this regard, the IDA are targeting half of all investments (400) from 2021- 2024 to regional locations.

Data Centres

Questions (90)

Catherine Connolly

Question:

90. Deputy Catherine Connolly asked the Tánaiste and Minister for Enterprise, Trade and Employment further to Parliamentary Question No. to 96 of 9 December 2021, the status of the work to revise the Government Statement on the Role of Data Centres in Ireland’s Enterprise Strategy; and if he will make a statement on the matter. [6825/22]

View answer

Written answers

My Department is aiming to complete the review of the 'Government Statement on the Role of Data Centres in Ireland's Enterprise Strategy' in the first half of 2022. My Department will continue to work closely with the Department of the Environment, Climate and Communications and engage with stakeholders such as Eirgrid, the CRU, IDA Ireland and the data centre sector as we develop this revised Statement, ensuring alignment between enterprise policy and the programme for government renewable energy and climate targets.

The role of data centres in our economy should be assessed in the context of the total economic value they provide, and not as an isolated economic activity. The important economic and societal role of data services such as video calls, streaming services, and other remote work technology became ever more apparent during the onset of the COVID-19 pandemic. Data centres securely store and manage the data which keeps much of our information-based economy and society moving. These investments underpin the digital economy in which data is the key asset.

We will need to ensure that new electricity demands and the growth of existing demand, are sustainable and use our infrastructure efficiently. The transformation of our electricity and wider energy system, will require innovative and world leading technological and operational solutions on both the supply and demand sides of our energy markets.

Foreign Direct Investment

Questions (91)

Bernard Durkan

Question:

91. Deputy Bernard J. Durkan asked the Tánaiste and Minister for Enterprise, Trade and Employment the degree to which he expects Ireland to continue to attract foreign direct investment in the future notwithstanding changes in corporation profits tax; and if he will make a statement on the matter. [7050/22]

View answer

Written answers

Ireland will continue to remain an attractive location for FDI in the future. In signing the OECD International Tax agreement in July 2021, Ireland provided clarity, a long-term view and the assurance of enduring stability and certainty to companies currently investing in Ireland and those making decisions about where to invest. Although it will affect a small number of larger companies, for the overwhelming majority of enterprises in Ireland, nothing has changed.

During 2021 IDA Ireland won 249 FDI investments, 104 of which were new name investments. The number of people directly employed in multinational companies in Ireland grew to 275,384, with over 29,000 new jobs being created by the sector in 2021. This level of employment is the highest level of foreign direct investment employment ever reached in Ireland. As evidenced by these figures, the confidence of investors in Ireland remains strong. These investment decisions were taken not only within the context of the OECD International Tax negotiations and agreement, but also during a volatile international environment as a result of Brexit, the COVID-19 pandemic and a global downturn in FDI.

Our tax rate is only one aspect of what Ireland offers potential investors. Companies who set up or expand in Ireland reap the benefits of our business-friendly environment, our highly skilled and educated workforce, and our commitment to the European Union and the Single Market.

Despite the challenges of the last two years, Ireland has proved once again to be a resilient, and stable platform for companies choosing to invest here. The decision on corporate tax has not impacted on Ireland’s reputation as a competitive, attractive, best-in-class location to do business.

Enterprise Support Services

Questions (92)

Colm Burke

Question:

92. Deputy Colm Burke asked the Tánaiste and Minister for Enterprise, Trade and Employment if he will report on Enterprise Ireland’s employment results for 2021; the regional spread; the factors behind the level of job increases; the level of job creation anticipated in 2022; and if he will make a statement on the matter. [6854/22]

View answer

Written answers

On 11 January 2022, Enterprise Ireland's end of year results for 2021 were announced.

In total, 20,342 new jobs were created by companies supported by Enterprise Ireland, resulting in a net job increase of 11,911 when job losses are taken into account, the highest annual increase in net employment ever reported by Enterprise Ireland. Total employment by companies supported by Enterprise Ireland in 2021 was 207,894.

The positive jobs figures saw increases in employment across all regions in Ireland, with, for example, employment increasing by 9% in the North-West and by 7% in the South-East. In total, 68% of new jobs created were outside of Dublin.

Other key achievements highlighted in the End of Year Statement included:

- Assistance provided to 125 new start-up companies

- €61.6m in funding approved for 341 Covid-impacted companies in 2021

- 218 companies received funding of more than €100,000 to assist other projects in 2021.

- €14.6m was approved for 1,048 projects under the Ready for Customs Grant.

- 1,375 overseas contracts secured with Enterprise Ireland assistance and the resumption in September 2021 of physical trade missions.

In addition, Enterprise Ireland launched its new three-year strategy, entitled ‘Leading In A Changing World’. The strategy sets out five key strategic ambitions for Irish enterprise and for Enterprise Ireland over the period 2022-2024 and beyond.

This strategy fully aligns with Government's ambition to bring job opportunities and growth to all parts of Ireland increasing total employment to a record high of 2.5 million by 2024 with an ambitious target of creating 45,000 jobs over the next three years and increasing exports by Enterprise Ireland client companies to €30 billion.

I welcome in particular the ongoing efforts being made to diversify our export markets, increase the number of start-ups by 20% and to improve our productivity. I also welcome the commitment that both Enterprise Ireland and the LEOs, working together, will ensure that companies of all sizes will be provided with a flexible service model in response to their growth and development needs. This will ensure that both Enterprise Ireland and the LEOs will continue to be an integral part of balanced regional development in the future.

My Department will be working closely with Enterprise Ireland to ensure the success of this ambitious plan.

Personal Injuries Assessment Board

Questions (93)

John Lahart

Question:

93. Deputy John Lahart asked the Tánaiste and Minister for Enterprise, Trade and Employment if he has plans to reform the Personal Injuries Assessment Board. [6808/22]

View answer

Written answers

The Programme for Government contains a commitment to enhance and reform the role of the Personal Injuries Assessment Board (PIAB). This commitment is being given effect under Action 19 of the Government’s ‘Action Plan for Insurance Reform’.

Government this week agreed to commence drafting of the Personal Injuries Resolution Board Bill based on a General Scheme which I published yesterday.

The General Scheme proposes to amend the Personal Injuries Assessment Board Act 2003-2019 to increase the number of personal injury claims settled through PIAB and to avoid the expense and time associated with litigation. It provides that:

- PIAB will offer mediation as a means of resolving a claim.

- PIAB will retain claims of a wholly psychological nature.

- PIAB will have additional time to assess claims where an injury is yet to settle rather than releasing to litigation.

- PIAB will promote public awareness and conduct public information campaigns.

- PIAB will seek proof of identity on application and may disclose information to An Garda Síochána to reduce fraud.

- The Court’s discretion regarding costs in litigation will be tightened.

Given the provisions to extend the Board’s remit and give its new statutory functions to resolve personal injury claims, in the General Scheme I am also providing for a change of name to the Personal Injuries Resolution Board.

I am confident that the reforms I intend legislating for will enhance and strengthen the agency facilitating an increase in the number of personal injury claims resolved through the PIAB process and reduce the number of cases that proceed to litigation. Through this reform we will help to reduce the cost of personal injury claims and increase the affordability and availability of insurance.

Low Pay

Questions (94)

Aodhán Ó Ríordáin

Question:

94. Deputy Aodhán Ó Ríordáin asked the Tánaiste and Minister for Enterprise, Trade and Employment his views on whether the best way to ensure that workers in the hospitality sector are properly paid is the establishment of a joint labour committee and the implementation of a sectoral employment order which could ensure workers were paid properly for the work they do. [7018/22]

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Written answers

Collective bargaining is primarily a matter for employees and their employers. Statutory wage setting mechanisms, provided for by the Industrial Relations Acts, can also be availed of for terms exceeding statutory minimums to become binding on a given economic sector.

Both Hotel and Catering (Restaurants and Pubs) Sectors have established Joint Labour Committees (JLC) under the Industrial Relations Acts 1946. A JLC is composed of equal numbers of representatives of employers and workers in an employment sector with an independent chairman. The Committee meets to discuss and agree proposals for terms and conditions to apply to specified grades or categories of workers in the sector concerned. If agreement is reached on terms and conditions, the JLC publishes the details and invites submissions from interested parties.

Employment Regulation Orders (EROs) are drawn up by JLCs and set the minimum rates of pay and conditions of employment for workers in a specified business sector. To become an Employment Regulation Order (ERO), the proposals drawn up by the JLC must be adopted by the Labour Court and an Order giving them statutory effect must be made by the Minister for Enterprise, Trade and Employment. If an ERO is put in place employers are then obliged to pay wage rates and provide conditions of employment to workers that are not less favourable than those set out in the Order.

The constitution and proceedings of JLCs is set out in the Fifth Schedule to the Industrial Relations Act 1990. The Minister with responsibility for JLC’s has no function in the determination of the terms of Employment Regulation Orders which under legislation is a matter solely for the relevant JLC and the Labour Court. The role of the Minister, provided that s/he is satisfied that the Labour Court has followed due process, is to approve an Order giving effect to any recommendation.

A Sectoral Employment Order is regulated by Chapter 3 of Part 2 of the Industrial Relations Act 2015. An application for an examination for a SEO can be submitted to the Labour Court by employee or employer representatives, provided that they meet the statutory tests.

Enterprise Support Services

Questions (95)

Fergus O'Dowd

Question:

95. Deputy Fergus O'Dowd asked the Tánaiste and Minister for Enterprise, Trade and Employment the supports that his Department has offered to a company (details supplied) since the company announced a proposed 77 redundancies following a review of its operations at the Drogheda plant; and if he will make a statement on the matter. [6814/22]

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Written answers

I would like to thank the Deputy for raising this important matter on behalf of workers based in Drogheda whose company has notified my Department in recent times of potential redundancies.

I can confirm that Enterprise Ireland is in ongoing communication with the company in question and is closely monitoring developments. The company is in the early stages of establishing a workforce consultation process with employees whose jobs are potentially at risk.

Working with Enterprise Ireland, our objective is to help sustain both the company and employment in the area. In that regard, discussions have commenced in relation to the potential for relevant Enterprise Ireland assistance to address the current challenges being experienced by the company.

The employment services of the other State agencies, including Intreo, will be available to any impacted workers as they assess their options in the future.

Flexible Work Practices

Questions (96)

Donnchadh Ó Laoghaire

Question:

96. Deputy Donnchadh Ó Laoghaire asked the Tánaiste and Minister for Enterprise, Trade and Employment if he will legislate to secure for workers the right to work from home when possible; and if he will make a statement on the matter. [7031/22]

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Written answers

On 25 January the Government approved the priority drafting of the Right to Request Remote Working Bill 2022 . Pre-legislative scrutiny of the General Scheme by the Joint Oireachtas Committee on Enterprise, Trade and Employment commenced this week.

This legislation will provide employees with a right to request remote work and will provide a legal framework around which requesting, approving or refusing such a request can be based. It will also provide legal clarity to employers on their obligations for dealing with such requests.

Employee and employer representative groups will also have their opportunity to address the Joint Oireachtas Committee. I'll be interested to hear what they have to say, interested to hear what the unions have to say, and what the employer’s bodies have to say. I'll take on board suggestions from all sides to improve the legislation.

This is one of many measures the Government has introduced to incentivise remote working. Others include the right to disconnect and investment in remote working hubs across the country as part of our Remote Working Strategy published last year.

Of course this is only the General Scheme and we will be drafting the Bill over the coming months, so I am happy to take feedback and suggestions on the legislation.

My Department is currently looking further at the legal issues related to strengthening the redress provisions and the right of appeal, and is taking legal advice on the matter.

We recognise that not all occupations, industries, or particular roles within an enterprise, will be appropriate or suitable for remote working, e.g. construction workers, nurses. Calls to introduce a blanket right to remote working are not realistic.

Research and Development

Questions (97)

Steven Matthews

Question:

97. Deputy Steven Matthews asked the Tánaiste and Minister for Enterprise, Trade and Employment the details of research conducted by his Department into technologies companies that could assist with increasing the speed of housing construction projects; and if he will make a statement on the matter. [6049/22]

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Written answers

Thank you for raising an important issue.

A big focus for me in the coming years is increasing the level of home ownership. Owning a home is part of our culture and our history.

We cannot accept that an entire generation will be locked out of home ownership, stuck in a rent trap as house prices increase.

Housing for All is our plan to change that – to turn the aspiration of home ownership into a reality, to ensure everybody has access to sustainable, good quality housing, to give stability for renters and protection for people at risk of homelessness.

Addressing the high cost of residential construction, along with improving construction sector innovation and productivity, is a key factor in making progress.

My Department is building up capacity and capability in the construction sector by encouraging modern construction methods, adoption of new technologies, and planning for the labour market.

The Housing for All policy is a wide-ranging and ambitious housing strategy which contains multiple Actions dedicated to this crucial issue.

My Department through Enterprise Ireland is working to establish a Construction Technology Centre this year.

When established, this Centre will serve as an innovation hub bringing together research expertise and industry (including technology companies as mentioned by the Deputy) to drive innovation in construction and the built environment. The new Technology Centre will have a particular focus on productivity enhancement and innovation in residential construction.

To further promote innovation in the residential construction sector, Enterprise Ireland are now offering a range of supports to these businesses, including Innovation Vouchers, Digitalisation Vouchers, Innovation Partnerships, Lean Business offers and others.

These schemes will make it easier for construction companies to adopt the latest technologies and drive productivity in the construction sector.

In the coming years, these initiatives will help make good on the ambition set out in the Housing for All Plan to ensure that everybody has access to sustainable, good quality, well located housing to purchase or rent at an affordable price.

Departmental Schemes

Questions (98)

Alan Farrell

Question:

98. Deputy Alan Farrell asked the Tánaiste and Minister for Enterprise, Trade and Employment his plans for the on-line retail scheme; and if he will make a statement on the matter. [6877/22]

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Written answers

Trading online is an important route for retail businesses to grow and improve. Developing digital capability with a strong online presence will assist retailers to become sustainable, increase their customer base and reduce their costs

Digitalisation has increased the scope for competition in the retail sector, as reflected in the growth in online shopping and changing consumer preferences. It is important that retailers continue to develop their online capabilities and offerings in order to keep pace with the evolution of digital technologies. COVID-19 has accelerated the drive to digitalisation and will be an important element in the recovery of retail in the longer term.

To date the COVID-19 Online Retail Scheme has provided funding of €18.2m to 503 retailers under three Calls. Retailers awarded funding under the Scheme operate across a broad spectrum of sectors including jewellery, fashion, sports, homeware and furniture, healthcare, electrical goods and equipment and are based all across the country.

The COVID-19 Online Retail Scheme has helped companies in the indigenous retail sector who have already started an online journey, to enhance and strengthen their existing online presence.

It is my intention to announce a further call of the COVID-19 Online Retail Scheme in Q1 2022 to assist retail businesses to develop their online capability and exploit new opportunities such as selling internationally.

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