Labour Activation Measures

Dáil Éireann Debate, Tuesday - 18 April 2023

Tuesday, 18 April 2023

Questions (874, 875, 876, 877)

Claire Kerrane

Question:

874. Deputy Claire Kerrane asked the Minister for Social Protection the number of people referred to JobPath since 2015, in tabular form. [16615/23]

Claire Kerrane

Question:

875. Deputy Claire Kerrane asked the Minister for Social Protection the number of payments made to Turas Nua and Seetec, and the corresponding amount paid to both since 2015, in tabular form. [16616/23]

Claire Kerrane

Question:

876. Deputy Claire Kerrane asked the Minister for Social Protection the number of people currently engaged with JobPath. [16617/23]

Claire Kerrane

Question:

877. Deputy Claire Kerrane asked the Minister for Social Protection the number of people who have gained employment sustained for 52 weeks on JobPath, in tabular form. [16618/23]

Written answers

Minister for Social Protection

I propose to take Questions Nos. 874 to 877, inclusive, together.

As the Deputy will be aware, referrals to the JobPath service have ceased and the service is now in a run-off phase, with only clients referred up to June 2022 remaining engaged with the service with some 24,000 clients currently engaged with the service, the majority of whom are in the first phase of the service and who may not have spent sufficient time with the service to have either gained employment or sustained that employment for up to 52 weeks.

Since its commencement in 2015 the service supported people who are long-term unemployed to secure and sustain full time paid employment in the open labour market, and was part of a range of employment supports for jobseekers and employers which has contributed to the current record employment levels in the State. Some 351,301 jobseekers commenced an engagement period with the JobPath service, of whom 88,038 jobseekers secured employment during their engagement period. Of those who commenced employment 31,976 jobseekers, 40%, sustained this employment for a period of 52 weeks or more.

Independent research undertaken into progress achieved in helping people into employment compared to other support mechanisms, including an econometric evaluation has shown that people who availed of Jobpath had 26% more job outcomes than people who did not use the service  and also that people who secured employment via Jobpath remained in employment for longer and with higher earnings.

More recently, the OECD published a report in January 2022 concerning contracting of employment services through outcome-based payment schemes. In this report the OECD specifically states that Ireland’s JobPath programme led to strongly positive employment and earnings outcomes across a variety of hard to place client groups

JobPath is a payment by results model and all set-up and day-to-day operational costs are borne by the companies.  The companies are paid on the basis of performance and with the exception of the initial registration fee; payments are made only when a client has achieved sustained employment. The companies invoice the Department on a monthly basis in respect of the agreed registration fees and job sustainment fees in a particular month and these invoices are paid in line with the Prompt Payment requirements.

The overall cost of JobPath is determined by the number of people who participate in the programme and the number who get sustainable jobs. The total of fees paid under the JobPath programme to date (end Feb 2023) is €332.7 million.  It is not intended to publish the individual payments to the JobPath companies as these are commercially sensitive and to do so would place the State at a disadvantage both in terms of the contracts currently in place and in future procurement processes.  

Employment is now at among the highest levels in the history of the State, with over 2.55 million people in employment.  As part of a restructuring of employment services, my Department has increased its own employment service capacity delivered through Intreo and has expanded employment services in some areas of the State where there were no Local Employment Services with the introduction of the new Intreo Partners model; the Intreo Partners Local Area Employment Service and the Intreo Partners National Employment Service.   

A distinctive client journey has been embedded into the employment services process, whereby jobseekers on the Live Register, after engaging with Intreo in the first twelve months are referred firstly to the Intreo Partner National Employment Service and after 24 months to the Intreo Partner Local Area Employment Service which is designed to engage with those with greater barriers to the labour market.  In this way, the client is referred to the most appropriate service at each point in time on their client journey.

The details requested are provided in the tables below.  

I trust that this clarifies the matter for the deputy.   

Table 1 : JobPath Engagements and Performance to date by Referral Year 2015- 2022 

(Figures as of end Feb 2023)

JobPath 2015-2022	2015	2016	2017	2018	2019	2020	2021	2022	Total
Number of client engagements (PPP agreed)	6588	65452	74860	60822	50412	33355	39031	20781	351301
Total No. Clients to Start Employment	1659	14420	21631	14896	10232	7093	11334	6773	88038
Total No. Clients to Start Full Time (FT) Employment	1368	12019	19545	13962	9623	6725	10696	6367	80305
Total No. Clients to Start  Part Time (PT) Employment	291	2401	2086	934	609	368	638	406	7733
No. of clients who sustained FT Job for 13 weeks	986	8687	14611	10471	6653	5076	8412	4155	59051
No. of clients who sustained FT Job for 26 weeks	827	7207	12219	8650	5131	4117	6784	2297	47232
No. of clients who sustained FT Job for 39 weeks	720	6210	10363	7254	4173	3489	5453	905	38567
No. of clients who sustained FT Job for 52 weeks	644	5483	9069	6224	3548	3028	3849	131	31976

Table 2 : Fees paid under the JobPath programme to date (end Feb 2023 )

Year	Amount
2015	€1.2m
2016	€25.2m
2017	€57.4m
2018	€71.7m
2019	€58.6m
2020	€36.2m
2021	€33.9m
2022	€40.9m
2023	€7.6m
Total	€332.7m

Please note this is gross expenditure and does not take into account the savings made in welfare payments for those who secured sustained employment.

Question No. 875 answered with Question No. 874.

Question No. 876 answered with Question No. 874.

Question No. 877 answered with Question No. 874.