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Dáil Éireann díospóireacht -
Thursday, 3 Dec 1998

Vol. 497 No. 7

Written Answers - Skill Shortages.

Bernard J. Durkan

Ceist:

92 Mr. Durkan asked the Tánaiste and Minister for Enterprise, Trade and Employment if she has received any indication from industry which may illustrate a deficiency of job skills in any particular area of industry; her intentions to address this issue; and if she will make a statement on the matter. [26237/98]

Bernard J. Durkan

Ceist:

93 Mr. Durkan asked the Tánaiste and Minister for Enterprise, Trade and Employment the extent, if any, to which she has identified job skills requirements; the areas in respect of which her Department has given attention in this regard in recent times; and if she will make a statement on the matter. [26238/98]

I propose to take Questions Nos. 92 and 93 together.

The shape of Ireland's economy is rapidly changing. Our gross domestic product, GDP, has grown at an annual average rate of just under 7 per cent per annum since 1990 and this has been translated into a massive increase in employment. Numbers employed have grown by just under 3 per cent per annum in the 1990s overall, and by more than 4 per cent per annum over the last three years. The latest fall in unemployment to 7.8 per cent is further very encouraging news.

The availability of a skilled pool of labour is one of the major factors underpinning the current economic boom. However, given the rapid economic growth of recent years, it is inevitable that skills shortages are starting to emerge.

The Government is being proactive in identifying where the shortages exist and in adopting strategies to address them. Efforts in this area are being focused through the work of the Expert Group on Future Skill Needs chaired by Dr. Chris Horn. The group has produced its first report dealing with skills needs in the high technology area. In response, I am providing extra resources to FÁS in the 1999 Estimates to increase the number of people being trained in electronics and information technology.

The expert group is currently working on its examination of skills needs and labour availability in lower technology sectors, and the services industry. Sectors being examined include construction, transport and distribution, call centres, contract cleaning, clothing and tourism. The group will be reporting on these areas in the first half of 1999.
The work of the expert group is very much driven by industry and its focus is concentrated on areas where employers have reported concerns about skills and labour availability. In addition to its work under the aegis of the expert group, FÁS is constantly monitoring the skills requirements of industry via its regional network and its sectoral consultative structures.
As regards the strategies adopted to address identified skills needs, I have already mentioned the increase in training provision by FÁS in high technology sectors. I would also draw the Deputy's attention to the increased provision of apprenticeship training and to the ongoing development of the traineeship system involving collaboration between employers and FÁS. The Deputy will, of course, also be aware of the responsibilities exercised by the Minister for Education and Science in addressing skills issues.
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