John Perry
Ceist:55 Mr. Perry asked the Minister for Tourism, Sport and Recreation the steps he is taking to deal with the serious labour shortages in the hotel and catering industry. [2496/01]
Priority Questions. - Tourism Employment.
The successful development of tourism in recent years has created new challenges for the industry, not only in terms of maintaining its competitive position internationally but as regards competition for staff in a labour market where skills and shortages have become a major issue for all economic sectors, including tourism. This situation requires new and innovative responses from the industry and from State institutions.
For its part CERT, following extensive research and consultation with industry, launched a new strategic plan for the period 2000-06. This is designed to deliver the objectives and programmes set out in the national development plan and involves a shift in the focus of the organisation, with an enhanced emphasis on promoting human resource management capability in the industry, and researching and benchmarking best practice. The industry will need smarter recruitment and retention programmes and innovative ways of increasing productivity if it is to maintain its pool of highly motivated, productive and committed skilled labour to respond to market demand for quality service and value for money.
The Government has agreed to allocate £107 million under the National Development Plan 2000-2006 to CERT to help industry secure and retain a professional and skilled work force to meet existing and emerging needs in the sector, thereby enhancing the quality of tourism product and service. In this context, more than £16 million has been provided in my Departmental Estimates for allocation to CERT in 2001 to enable the organisation to commence the implementation of its new strategic plan.
I am pleased to note that CERT has continued with its many initiatives designed to promote careers in the industry to the school leaving population generally. These include workshops for career guidance counsellors, a telephone careers information line, circulation of careers information to more than 1,400 schools, FÁS offices, libraries, and youth organisations, and the preparation of information packs for industry personnel giving career talks.
In addition to the measures outlined, two parallel initiatives are designed to further promote careers in the industry. The first of these, which was launched in October 2000, was CERT's annual careers roadshow, which visited 16 venues nationwide and held more than 70 sessions in various second level institutions.
Additional Information.It was targeted at second level students from transition year to leaving certificate level and was implemented in partnership with the major industry bodies, including the Irish Hotels Federation, the Restaurants' Association of Ireland, the Vintners' Federation of Ireland and the Licensed Vintners' Association. It was widely advertised through local radio stations and newspapers.
The second initiative was the launch of the careers magazine Get a Life in Tourism. This magazine is a CERT joint venture with the industry bodies and highlights the variety of careers on offer in the sector. The numbers enrolling in tourism entry courses were maintained for the 2000-01 academic year, despite stiff competition from other industries and educational courses.
CERT is currently undertaking a pilot programme targeted at long-term unemployment blackspots which has proved to be very popular and successful, with exceptionally good job prospects for participants being virtually guaranteed jobs on successful completion of the courses. The programme which is currently under way in Ballymun, Clondalkin and Merchant's Quay is to be extended to Waterford during 2001 and will be replicated in other parts of the country which have experienced particularly high levels of long-term unemployment. CERT's new nationwide programme to encourage people who have been out of the work force for a long time to take up a career in the tourism industry has been running for nearly a year at this stage. It has proved extremely successful to date and it is projected that 6,000 adults will complete this programme by 2005.
In a separate effort to boost recruitment levels, I understand tourism employers have participated in recruitment fairs in Scotland and Wales which have proved very successful in attracting staff to Ireland. Recruitment drives are currently being considered for other European locations. Irish participation in fairs such as these is co-ordinated by FÁS, who welcome employers to such recruitment drives. I understand the Irish Hotels Federation, Irish hotel groups and individual bodies are also participating in EURES, the European employment service, to help satisfy labour shortages in the hospitality sector.
To help address concerns in the tourism and hospitality industry in relation to recruitment and staff retention, CERT launched the new RETAIN initiative in the latter part of 2000. Under this initiative, financial assistance of up to £15,000 over a three year period will be available, under certain conditions, to businesses for improvement in human resources management. Alongside the new scheme, CERT will run a series of courses for owners and general managers on modern human resource best practice.
In a significant shift in the direction of support for the industry, CERT held a major conference on world class service in tourism and hospitality for general managers and senior executives in the industry in Dublin Castle in November, 2000. Featuring a panel of international speakers and the findings of the latest international research carried out during 2000, the conference focused on best practice in human resources and operations management. It was attended by 150 of the key decision-makers from among Ireland's leading tourism industry enterprises.
One of the key findings to emerge from the report "Hospitality Best Practice – A Benchmark Study", was the requirement for the tourism industry to improve its performance significantly. It emerged from the study that success will only come from focusing on customer needs, and fully engaging employees in meeting those needs. In response to these findings, CERT proposes to work more closely with the industry in a number of areas specifically designed to improve operational performance. CERT is planning a number of management development initiatives to assist this process and is working with Excellence Ireland to develop a business excellence recognition scheme to promote the attainment of excellence within the industry and to provide a necessary framework within which management and staff can work towards higher levels of performance.
I am disappointed because we have heard all this before. I have raised the question of human resources and the reduction in the supply of people to this part of the work force on numerous occasions. The Government has failed dismally to increase the attraction of the workplace to people from overseas and at home. There is major potential for development in this area. What is the Minister doing with regard to the provision of a detailed, all-encompassing national immigration policy which will include the granting of work visas and business permissions through the medium of procedures that are simple, speedy and transparent? Nothing has been done in this regard. In addition, nothing has been done in respect of the granting of a low income subsidy to support those who will not benefit from the tax relief measures relating to child care. I am closely involved with the industry and those involved in it are crying out for assistance.
Due to the change in the nature of the skills required and the need to provide additional training, what action has been taken in respect of granting tax credits for approved or pre-defined employer-led training? The answer is nothing. The Minister has referred to the national development plant on numerous occasions when replying to my questions. He waves the plan around like a magic wand. Will I be in a position tomorrow to inform an employer who is seeking to employ additional staff that changes will be made? I met representatives of CERT last week and they informed me that they face an impossible task. The Minister is not dealing with this problem.
I accept that, as in other sectors, there are problems in this sector. Last year the Tánaiste's office issued 20,000 work permits. It is not the responsibility of Government to take the industry by the hand and spoon feed it grants. About 60% of hotels and 80% of restaurants have no in-house training budget. There owners do not want to do anything, they want the State to train their staff for them. Why are these hotels and restaurants not carrying out their own in-house training and why is the State obliged to continually take people by the hand and give them grants?
There is no question that there is a labour shortage. CERT has been doing everything in its power to deal with this problem. For example, there has been a national tourism careers roadshow, we have launched Get a Life in Tourism, there have been school talks and exhibitions, guidance counsellor branch meetings have been held, information brochures and application forms have been published and we have advertised to try to attract people to enter the industry. The industry suffered from an image problem in the past, but, thankfully, we are overcoming that difficulty at present. We are trying to encourage increasing numbers of young people to become involved in the industry. The introduction of the minimum wage has created great potential for those entering this industry.
The six minutes allotted for this question have expired.
A Leas-Cheann Comhairle, that is unfair. You allowed the Minister to waffle on.
I am sorry, Deputy, but the six minutes are concluded. In order to allow Members who tabled other oral questions—
I am entitled to ask a supplementary question. The Minister should respect that fact.
There is no time limit on Priority Questions other than the initial two minutes.
Deputy Perry is entitled to ask a supplementary question. A Leas-Cheann Comhairle, you let the Minister waffle on for four minutes. There is a time limit on the Minister's response.
There is an initial time limit of six minutes but there is no time limit on the length of time a Minister or a Deputy can take. There is a limit of one minute for each supplementary question in ordinary Question Time.
There is a time limit on the Minister's response.
There is a limit of two minutes on the Minister's initial response but there is no limit on the subsequent response. Question No. 56 is in the name of Deputy Broughan.
On a point of order, a Leas-Cheann Comhairle, in fairness, the Minister should take into consideration the time constraints on Members and allow them to speak by not hogging the entire debate which he always does. Waffle.