asked the Minister for Labour if he will make a statement on the employment levy and how it is being allocated to the various schemes.
Ceisteanna—Questions. Oral Answers. - Employment Levy.
12.
Under the Youth Employment Agency Act, 1981, the proceeds of the youth employment levy are used to defray the expenditure of the Youth Employment Agency and such other expenditure in relation to the training and employment of young persons as the Minister for Labour may determine with the consent of the Minister for Finance.
Receipts from the youth employment levy and certain European Social Fund grants make up subhead T of my Department's vote.
Allocations from the subhead in 1985 are as follows:—
|
Sponsor |
Allocation |
|
£m |
|
|
Youth Employment Agency |
8.75 |
|
AnCO |
40.00 |
|
CERT |
2.00 |
|
Department of Labour |
|
|
—Work Experience Programme |
6.75 |
|
—Enterprise Allowance Scheme |
2.50 |
|
—Teamwork |
6.00 |
|
—National Manpower Service (Computerisation) |
0.75 |
|
Department of the Environment |
|
|
—Environment Works (Special Projects) Scheme |
2.25 |
|
Department of Education |
|
|
—Vocational Preparation and Training Programme |
27.00 |
|
96.00 |
The youth levy was originally intended for the creation of new schemes to give employment to young people. How can the Minister justify the hijacking of part of these funds to the Department of Education and other Departments and their use for schemes which were in existence long before the youth levy was introduced?
All the available research done by the Youth Employment Agency, independent researchers and in other independent member states of the Community indicates that the level of education which a person has on leaving the school system is a key determinant in their job prospects. The Youth Employment Agency in consultation with the Department of Labour feel that the Department of Education have a substantial role to play in preparing people for work and ensuring that they have the skills necessary to maximise their chances of getting work. In that context a certain amount of funds from the youth employment levy has been allocated to the Department of Education.
What age limit does the Minister apply? The whole education system is involved in some form in preparing people for life. What guidelines are the Department of Labour accepting when they allocate some of their funds to the Department of Education?
That is a substantially different question, but I can give an initial reply by way of assistance to the Deputy. Our concern and that of the Department of Education and the Youth Employment Agency has been for those people who drop out of school exactly at the minimum legal age or very soon afterwards and whose employment opportunities are considerably reduced as a consequence. Our concern would be to ensure that people stay in the educational system for the maximum time in order to improve their employment chances.
May I take it that the extra year in secondary school would not come within these guidelines?
I would rather not give any specific indication. I would prefer to have specific notice of the question but I have tried to outline in response to a supplementary question what the broad approach would be.
Would the Minister confirm that it was the Youth Employment Agency Act which established this levy? It was sold to the House and the nation on the basis that it provided for a special levy to fund the Youth Employment Agency. Considering that fact, does the Minister consider it warranted that only a fraction of that money — some £8 million of over £90 million — is now going to the Youth Employment Agency?
The allocation of the levy is made in consultation between the Minister for Labour and the Minister for Finance, following recommendations made by the Youth Employment Agency. The YEA are a broadly based organisation with representatives from different sections within the community. They have in the main agreed with the allocation of which I have given details and with broadly similar allocations in previous years.
A Cheann Comhairle——
I cannot allow a debate on every question. We have now reached Question No. 12 and balloted questions go to No. 31.
Given the Minister's affiliations, does he find it acceptable that this youth employment levy, which was intended to create permanent jobs for young people, is being used to create temporary jobs in the area of education and the environment, replacing permanent jobs which are disappearing as a result of Government cutbacks?
That is argument.
It is not argument; it is fact.
I think it is argument.
How does the Minister feel about it?