Dáil Éireann díospóireacht -
Tuesday, 10 Mar 1992

Vol. 417 No. 1

Written Answers. - ESF Employment Training Schemes.

Dick Spring

Ceist:

346 Mr. Spring asked the Minister for Labour if he will outline, in view of his statement on 19 February 1992, that employment and training schemes aided by European Social Funds have the potential for removing 25,000 people from the live register in the next year, the specific means by which this reduction is expected to occur; and if he will publish a timetable for its implementation.

Minister for Labour (Mr. Cowen)

Following discussions between the Irish Authorities and the EC Commission agreement was reached on the provision of EC funding for two new schemes aimed at creating employment and training opportunities for some 25,000 people on the live register. This is to be achieved through an employment subsidy scheme aimed at encouraging the creation of 15,000 extra jobs and a job training scheme designed to cater for 10,000 trainees. I accept that these targets are ambitious but I am optimistic that with the co-operation of the social partners the targets can be achieved over the next year.

The employment subsidy scheme is open to employers in the private sector, commercial State bodies and voluntary bodies who can provide additional full-time employment opportunities which are capable of being sustained. The scheme provides for payment of a wage subsidy of £54 per week for 52 weeks provided that the employment lasts for 78 weeks. The scheme has been operational since the beginning of February and up to the end of that month over 2,000 inquiries had been received from employers by FÁS and 36 employees had been recruited under the scheme.

The job training scheme is designed as a work-based training programme provided by employers in co-operation with FÁS. Under the scheme the world of work and training will be linked in a positive manner. The scheme will be administered and monitored by FÁS with co-operation from CERT in the case of the tourism sector, which will award certification to successful trainees. The duration of the scheme for each trainee will be between 26 and 52 weeks, depending on the training requirement in each case, and trainees will receive the normal FÁS training allowances. This scheme represents a new departure from what has become our traditional approach to training. Individual firms will oversee the training within their enterprises rather than the approach adopted heretofore whereby FÁS itself provided the training. As such, this is a challenging and innovative approach which I hope can be integrated into our longterm training arrangements.

I have secured a budget of £31 million, including an ESF contribution of £23 million, to meet our commitments for these schemes in 1992. The Commission and my Department are committed to a review of the operation of the two schemes and their future funding before October. At that time I would hope to see significant progress towards reaching our targets. As I have already stated this will depend, ultimately, on the response of employers and I would take this opportunity of appealing to them, once again, to avail themselves of both schemes. In this regard I am pleased to note the support of both employers' organisations and ICTU for this endeavour.