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Dáil Éireann díospóireacht -
Thursday, 7 Feb 2008

Vol. 646 No. 3

Other Questions.

Job Creation.

Olivia Mitchell

Ceist:

6 Deputy Olivia Mitchell asked the Minister for Enterprise, Trade and Employment the steps he has taken to ensure employment growth in the life sciences sector; and if he will make a statement on the matter. [4213/08]

The life sciences sector in Ireland comprises approximately 400 enterprises, employing more than 40,000 people, and accounts for almost €43 billion in exports per annum. The industry is made up of a host of leading Irish and international firms. Ireland has been extremely successful in attracting investment from leading international life sciences enterprises. The majority of overseas operations based in Ireland are engaged in manufacturing activities, although a number of them have also established higher-value activities — such as research and development, supply chain management and international financial management — here in recent years. Ireland is home to 15 of the world's top 25 medical technologies companies, nine of the top ten global pharmaceutical corporations and three of the top ten biotechnology corporations.

As regards overseas investment, IDA Ireland completed its strategy review for the pharmaceutical and biopharmaceutical sectors in June 2007. The strategy aims to develop an integrated pharma-biopharma cluster through attracting investments in both the earlier and downstream segments of the value chain, relative to the manufacturing segment, where most of the existing IDA Ireland client base is focused. Specifically, IDA Ireland will be focused on attracting both top tier and emerging pharma and biopharma companies engaged in research and development, process development and clinical trials. The agency will also focus on companies in development and manufacturing, together with those in downstream segments such as marketing and regulatory affairs. In addition, IDA Ireland will focus on embedding existing companies by increasing their strategic competencies in Ireland and expanding the level of high value activities undertaken here.

From an indigenous point of view, the Irish life science sector is, for the most part, characterised by a large number of small and medium sized enterprises, the vast majority of which have yet to achieve international scale. Indigenous enterprises are engaged in a wide range of niche sectors within the life sciences industry. The strengths of the indigenous life science sector are in diagnostics, pharmaceutical manufacturing, functional foods, speciality biopharma — such as drug development — medical devices sub-supply and information technology for life sciences. Enterprise Ireland's strategy for the life sciences sector is focused on sustaining export growth, continuing to develop new high-growth potential start-ups and supporting established enterprises in achieving international scale.

From an overall point of view, Forfás and the enterprise agencies maintain a high level of focus on this key, high-value sector of the economy. Forfás, with the enterprise agencies, is currently researching a report on the life sciences ecosystem in Ireland, which will identify and inform responses to the sector's developmental requirements here.

Additional information not given on the floor of the House.

Forfás maintains a close involvement with various industry associations and stakeholders to ensure a constant awareness of the industry's immediate needs is maintained. The expert group on future skills needs recently produced a report on skills needs in the medical devices sector. This important document will serve to identify the skills this key sub-sector of the life sciences sector will demand in Ireland over the medium to long term. It will also be a useful tool for education and training providers in their efforts to provide courses which will meet those demands.

The measures outlined, which are illustrative of a co-ordinated response by the enterprise agencies to the requirements of the life sciences sector, will contribute to ensuring that this sector remains a key employer in Ireland into the future.

The expert group on future skills needs issued a report on the skills that will be needed in the medical services sector. The Joint Committee on Enterprise, Trade and Employment was addressed by Mr. Dorgan before he retired, who indicated that the attention of IDA Ireland is focused on this area. Ireland can create a great deal of investment from industries involved in the area.

The expert group's report contains many recommendations. The first of these relates to the establishment of a centre for medical device manufacturing excellence in the higher education system. However, the recommendation on which I wish to concentrate is that which refers to the need to upskill existing operators. The expert group states that the need for low-skilled operators is on the decline and that there will be a need to upskill these individuals to meet projected demands.

Deputy Clune is absolutely correct. The Minister of State with responsibility in this area, Deputy Haughey, will be developing proposals in respect of the upskilling of operators. That report will be forthcoming in the not too distant future. The Minister of State's work will address the points raised by the Deputy. In order to maintain the growth and development of the economy, there will be a need to upskill, particularly in the areas to which she refers.

Do we really need another report?

It will not be a report. The Minister of State will be taking on board and implementing the recommendations made by the group.

Will the recommendations be implemented?

How will it be done?

The Minister of State with responsibility in that area, Deputy Haughey, will initiate the implementation process.

The Department of Enterprise, Trade and Employment has overall responsibility in respect of this area.

Deputy Haughey is a Minister of State at the Department.

That is fine. So the Minister of State will make a report on the report.

It is called joined-up thinking.

Skill Shortages.

Phil Hogan

Ceist:

7 Deputy Phil Hogan asked the Minister for Enterprise, Trade and Employment the steps he is taking to meet the target of upskilling 500,000 people as laid out in the national skills strategy; and if he will make a statement on the matter. [4198/08]

The target of upskilling 500,000 people as laid out in the national skills strategy is a very ambitious target. To achieve this target and realise the vision contained in the national skills strategy will require an integrated approach — led jointly by my Department and the Department of Education and Science — that will successfully involve all of the key agencies in the education and training sectors. That is why an interdepartmental implementation committee comprised of the Minister of State with responsibility for lifelong learning, Deputy Haughey, and the Secretaries General of my Department and the Department of Education and Science will be established in the near future. This committee will approve an implementation plan and oversee progress in respect of the implementation of the national skills strategy.

The expert group on future skills needs has been charged with reporting annually on the progress in implementing the strategy. In addition, the Minister asked it to examine the potential of a number of innovative measures to incentivise both employers and employees to engage more fully in education and training. The measures under review include paid learning leave, individual learning accounts for employees and brokerage services to help firms identify training needs and source suitable training and the potential of regional advisory groups. The expert group's findings in these areas will be considered in the context of developing the implementation plan of the national skills strategy.

This year, the Department of Enterprise, Trade and Employment invest €77 million specifically in training those in employment. This is in addition to the amount that is invested in the apprenticeship systems. The investment to which I refer, representing an increase of €7 million on the 2007 figure, will be used to continue to deliver training to those in employment, with a particular focus on the low skilled in accordance with the objectives in the national skills strategy.

There is no need to argue about the need for upskilling. Many of the jobs that were lost in recent times were low skilled in nature. The best thing we can do for the people who lost those jobs and those who will lose similar jobs is to deliver on the national skills strategy.

I understand that the aim is to upskill 500,000 people by one qualification people in the next 12 to 13 years. How many of these individuals will be upskilled to that degree this year? The Minister referred to the money that will be invested in upskilling. I was of the view that the bulk of this will go to FÁS and the Skillnets. I contacted FÁS earlier this week and was informed that it will only be able to upskill 30,000 people this year under the One-Step-Up initiative. However, these individuals will not be upskilled by one level.

They may be upskilled by a module, a subdivision of one level. Is the Minister of State happy with that? How many of the 500,000 will be upskilled by one level this year and how will that be done?

It is important that there is recognition by all interested parties of an absolute need to upskill the workforce. That is the reason there is a commitment in the National Development Plan 2007-2013 of €7.7 billion to carry out the process. This will happen incrementally through the agencies with the remit for the work. We have evidence of people losing jobs so It is vitally important the upskilling process trains such people in a way that they can apply to existing industries for alternative employment.

A significant number of jobs have been lost or continue to be under threat. In the context of the importance of the manufacturing sector, particularly upskilling, is FÁS the only agency that will be used? As Deputy Varadkar noted, how will we meet targets if FÁS is constrained by a curtailment of numbers because of the public sector recruitment embargo?

There is no argument that increasing the numbers being upskilled is vital. How will the objectives pan out? How will the €7.7 billion be spent and what agencies will be involved? Is it not time to show some ingenuity, innovation and initiative in this regard to ensure the targets for upskilling, which are fundamental to our long-term well-being, are met? FÁS should be given a wider remit and beefed up so targets can be achieved.

An interdepartmental implementation committee will suss out the details of how to implement the funding and plans. There will likely be an examination of existing provisions of education and training to determine the key areas and initiatives requiring additional focus to achieve the objectives of the national skills strategy.

The Deputy asked who will implement this. A group will bring together the Department's key stakeholders in the provision of training, such as FÁS, the important Skillnets, Enterprise Ireland and county enterprise boards. That group is examining a variety of issues, such as the need to increase focus on the provision of training to the low-skilled, accreditation issues, the flexible delivery of training, the recognition of prior learning and capacity issues. These issues will also be key elements of the national skills strategy implementation plan.

I have no doubt about the Minister's capacity and that of the Government to spend billions of euro. The question I asked is simple. How many people does the Minister of State envisage will be upskilled by one level this year? If the Minister of State does not know, will he give a ballpark figure? Is it 10,000 or 20,000? Is there any idea how many people will be upskilled at a time when it is so necessary?

I do not have the exact figure.

Is there a rough idea? Is it 100, 1,000 or 10,000?

There is no point in throwing out a figure. I will get the number for the Deputy.

Business Regulation.

Jimmy Deenihan

Ceist:

8 Deputy Jimmy Deenihan asked the Minister for Enterprise, Trade and Employment if he has set a national target for the reduction of regulation in business as was promised to Dáil Éireann; and if he will make a statement on the matter. [4158/08]

In March 2007, the European Council agreed:

administrative burdens arising from EU legislation should be reduced by 25% by 2012. Taking into account the different starting points and traditions, the European Council invites member states to set their own national targets of comparable ambition within their spheres of competence by 2008.

Prior to the spring European Council, the Government agreed that the Minister for Enterprise, Trade and Employment should lead the cross-departmental and agency drive and put in place a mechanism under the Secretary General of his Department to drive this agenda at national level.

As part of this effort, the Minister established the high level group on business regulation under the chairmanship of the Secretary General of the Department. That group comprises representatives of Departments and agencies, the business sector and a representative of ICTU. In its work to date, the group has been examining concrete measures to reduce the administrative burdens in five policy areas — taxation; statistics; environment; health and safety; and employment and company law — which are considered to impose the highest burdens on business.

I expect the high level group will submit its initial report by July 2008. Before setting a definitive national target in response to the European Council invitation, the Minister is consulting Government colleagues on what processes might be needed to assess the extent of administrative burdens on Irish business and on the measures that have been undertaken or are planned to reduce that burden.

I thank the Minister of State for his answer but I have heard it many times. I raised this question on 28 November 2007, the last time the Minister took Question Time. I have the good fortune to have the Official Report before me and I can see I specifically asked the Minister on several occasions when we would be given a target.

A number of European countries have had targets for some time, including Austria, the Netherlands, Denmark and even Italy. I asked the Minister about this several times and he told me it would happen within the next two months, which left a deadline of 28 January. Can I confirm that the Minister has reneged on his commitment to set a target as it has not yet been set?

I was involved in the reduction of administrative burden in the last Government when I was Minister of State responsible for company law. Deputies have mentioned regulatory burden and we brought in audit exemption, which has been of great benefit to companies and accountants.

There are other areas in which changes have been made, leading to much angst being eliminated. These include redundancy payments as the process by which companies reclaim payments made to redundant workers have been streamlined. Claims can now be made on-line and there are savings of approximately €1.2 million for firms through this change.

There is also the area of tax clearance certificates. Instead of having to submit an original certificate in hard copy, the certificate can now be checked on-line by the Government agency awarding the contract. That is another simple change which has been beneficial to companies.

The Minister for the Environment, Heritage and Local Government has introduced new regulations whereby waste collection firms can apply to one local authority for a permit which will apply in other local authority areas. These are areas in which progress has been made.

An ESRI survey was carried out in 2006 and 2007 of 800 firms on their attitudes to regulation and 55% of those surveyed believed the overall amount of regulation in their sector was about right.

With regard to issues affecting international competitiveness, businesses ranked regulatory burdens at 14%, labour costs at 30% and infrastructural deficits at 13%. We are ranked in the World Bank's Doing Business 2008 report at number eight from 178 in terms of ease of starting and running a business. Aside from that, I hope the Minister will provide the target in the not too distant future.

I have a particular interest in this area as well. Our committee set up a red tape index to measure bureaucracy in business. Is the Minister of State aware of the legislation and regulations small business owners are forced to read, understand and implement? There are almost 1,000 different major legislative items that affect the business. These include taxation, industrial relations and health and safety. It is an incredible amount. I realise some are important so I will not deviate from the topic. We should see if we can all achieve something.

Will the Minister of State request each Department to carry out a full audit of legislation under its remit on the cost burden of business against the benefits of legislation? From such an assessment a decision can be made as to how regulations can be streamlined. ISME has advocated the standard cost model, which is used in many jurisdictions, as the preferred option for this process. Would it not also be essential that a central co-ordinating body with relevant powers be given the necessary role to carry out this process, under a single ministry within a given time frame, and which would specify targets on administrative burden reduction within each Department? Will the Minister of State consider the introduction of regulation impact assessments which should be put included in all legislation and regulations imposed on small business? This would include formal assessments to be carried out, based on merited exemptions for small businesses pertaining to this legislation. A small business, such as a shop with ten employees, has to complete 50 forms, including some for the Central Statistics Office, and there are criminal sanctions for those who do not comply. It is time to get our house in order. We must try to ensure that small businesses, which are the bedrock of this economy, do not have to carry the burden of all that red tape and bureaucracy.

I will not go through the interesting list of the number of forms their members must complete that the Irish Small and Medium Enterprises Association, ISME, gave the committee on enterprise, trade and employment yesterday but I am delighted that I am in a public sector PAYE job because I would hate to be in business. There is obviously nothing happening. Nobody is being upskilled, a commitment to set a target for regulation is broken and the Minister is not here to explain why. I would be terrified to be running a business, with the level of inertia, disinterest and the lack of concern from the Minister of State.

I agree with Deputy Penrose. I have worked on the other side of the fence.

I know the Minister of State has done so.

I have had to fill in endless forms and that is why, when I was involved in the company law area, I managed to get rid of some of them. It is Government policy to reduce the regulation by 25% and we have set up a high level group. I note the Deputy's comments and will convey them to the Minister because they are relevant.

Is a 25% reduction in regulation the Government's domestic target?

It is likely to be 25%. The EU target is 25%.

What is the domestic target?

Our regulatory burden is lower than that in most of Europe. The Minister will have to announce the exact figure but he has not told me because it is not in the reply. We will be aiming for a figure in the range of 25%.

Telecommunications Networks.

Michael Noonan

Ceist:

9 Deputy Michael Noonan asked the Minister for Enterprise, Trade and Employment the communication he has had with the Department of Communications, Energy and Natural Resources to ensure next generation access style fibre optic broadband is readily available across Dublin for business; and if he will make a statement on the matter. [4217/08]

This is making up for the five years when I did not answer a question.

The provision of top quality communications infrastructure in all regions including Dublin is essential for Ireland's continued growth and prosperity. The Minister for Communications, Energy and Natural Resources is well aware of my views on the issues of communications infrastructure and in particular next generation access style fibre optic broadband.

The Department of Communications, Energy and Natural Resources is finalising a policy paper on the optimum role of Government in the development of next generation broadband in Ireland. The paper will examine the developments in the broadband market in Ireland and internationally and consider a wide range of issues, including the possible use of existing State infrastructure, such as ducting, and how it can be used to support faster roll-out of state-of-the-art networks by market players. The paper will be examined by an international advisory forum of telecoms experts to be established shortly by the Minister for Communications, Energy and Natural Resources. I understand that the paper will be published for consultation and submissions invited.

We all accept that Ireland has fallen behind badly on broadband roll-out because of the botched privatisation of Eircom, conducted by Deputy Penrose's constituency colleague. We have not recovered from that. Eircom, or the post-Eircom entity, will have to invest in next generation networks. What is the Department's attitude to the separation of Eircom? What involvement has the Department for Enterprise, Trade and Employment had in liaising with the Department of Communications, Energy and Natural Resources and ComReg in respect of the proposal to separate Eircom into retail and wholesale entities?

The December 2007 Forfás report on Ireland's broadband performance and policy requirements found that broadband continued to grow strongly. At the end of June 2007, there were 698,000 broadband subscribers, including 45,000 mobile and broadband subscribers. According to the report:

Broadband take-up continues to grow strongly. Ireland added 6.6 new broadband connections per 100 inhabitants in the year to June 2007, the highest growth of all OECD countries. As a result, Ireland's ranking improved to 21st out of the 32 benchmarked countries in June 2007, compared to ranking 24th in June 2006. However, the broadband penetration rate in Ireland at 15.4 % still lags the OECD average of 18.8 %.

Ireland compares well on prices for 34 Mbit/s leased lines [. . .] but is relatively expensive for other broadband speeds.

The key issue from a business development perspective is the limited range and speed of broadband services available and their comparatively higher cost. The fastest speed that is widely available in Ireland (6 Mbit/s), costs four to five times more than considerably higher speed services in countries such as France, Germany and Hungary.

This must change.

Local loop unbundling, LLU, for current broadband needs and next generation experts for future requirements are the dominant issues for broadband in Ireland. According to ComReg:

Local Loop Unbundling (LLU) is a key wholesale product in telecommunications which provides the ability for non incumbent operators to provide new and innovative broadband products.

LLU is a process whereby a new entrant or alternative authorised telecommunications operator takes control of a copper cable from a local exchange to a customer premises in return for rental payments to Eircom for the purposes of providing telephone, broadband or other value added services.

The initial roll-out of broadband coverage here was a pure cock-up. The big boys who got involved wanted only to give coverage to the major towns. The rural areas meant nothing. Residents of areas such as Westmeath and Longford create the highest demand for broadband. Is it not important to tackle this fundamental infrastructure deficit to benefit industries such as telecottaging, which comprise five or six jobs that are essential to sustain rural areas as well as being environmentally important? We must ensure that every citizen is treated equally in regard to broadband roll-out and that not just those living in vast urban areas benefit from it.

I agree. It is a disgrace that broadband has not been developed. Last December, the Minister met with John McElligott, managing director of eBay, who had written to outline his concern at the pace of roll-out of high speed internet access. The Minister agreed with him and described the Government's actions in promoting broadband, including demands and further proposals for next generation networks. He said that the enterprise advisory group raised the issue of State investment in this infrastructure which the Government had to consider.

The Minister for Communications, Energy and Natural Resources asked Mr. McElligott for his views on next generation networks. Mr. McElligott said he intended to discuss matters further with the Minister. The Minister is well aware of the views of the Minister for Enterprise, Trade and Employment on communications infrastructure.

In respect of next generation broadband, the Department of Communications, Energy and Natural Resources is finalising a policy paper on the optimum role of the Government in its development, which is vital to ensure a state-of-the-art communications network. I hope the Minister for Communications, Energy and Natural Resources, Deputy Eamon Ryan, will have it to hand as soon as possible.

FÁS Training Programmes.

Seán Barrett

Ceist:

10 Deputy Seán Barrett asked the Minister for Enterprise, Trade and Employment whether his Department has a strategy in respect of the training bodies, such as FÁS, to respond to the downturn in the construction industry; his views on the effects this downturn is having on their existing training courses and apprenticeship programmes; and if he will make a statement on the matter. [4126/08]

To respond to the changing circumstances in the construction sector, the FÁS board established a subgroup last year to look at the impact of FÁS construction programmes on the changes in employment trends in the construction sector. The subgroup has been examining this issue as a matter of priority and is in the process of completing detailed research at present. It is expected the subgroup shortly will present its interim report with recommendations to the FÁS board.

New house construction is a labour-intensive sector and the latest data show some decline in the level of employment in the construction sector during the second half of last year. For the year as a whole, Ireland's unemployment rate averaged 4.5% as had been forecast. Approximately 48,000 houses will be built in 2008. However in the longer term, forecasts suggest a continued strong need for building craftspersons. Forecasts published by FÁS in conjunction with the Economic and Social Research Institute in August last year predicted that 90,000 to 100,000 skilled building workers would be employed in 2012, compared to a total of 85,000 in 2005. The subgroup also has consulted widely, both internally and externally, including such bodies as the Irish Congress of Trade Unions, the Construction Industry Federation and the institutes of technology.

The number of new apprentices recruited into the building industry declined in 2007. However in the longer term, forecasts suggest a continued strong need for building craftspersons. The subgroup is of the opinion that any downturn in apprenticeship registrations should open up opportunities to improve the skills of existing craftspeople and low-skilled construction workers in other areas.

At present FÁS, through its employment services, also is engaged in identifying any redundant craftspeople and apprentices and providing focused supports to them. FÁS also is in discussion with the CIF to identify possible courses for redundant craftspersons in the so-called wet trades, such as for example, listed building restoration skills, stoneworking etc. Moreover, there is active engagement with the unemployed after three months on the live register to assist them make progress towards employment, training or active labour market programmes.

The normal full range of FÁS services of course also is available. In the delivery of such services, FÁS liaises with other relevant agencies such as Enterprise Ireland, IDA Ireland, the city and county enterprise boards and the Department of Social and Family Affairs. FÁS also works closely with the agencies to identify and support individuals who wish to start their own businesses.

Over the period of the National Development Plan 2007-2013, the Government will invest €7.7 billion in public funds to support training and skills development. This is a significant increase when compared with the level of spending over the previous seven-year period. The current level of investment reflects the importance the Government attaches to maintaining an educated, skilled and adaptable workforce in Ireland.

The Government also is committed to implementing the national skills strategy and soon will initiate an implementation process.

Earlier in the debate, the Minister of State referred to the long-anticipated downturn in construction activity as a correction. As someone who probably will enter negative equity by next summer, it feels like somewhat more than a correction to me, as well as to many people of my generation.

FÁS has 28,500 apprentices at present, 90% of whom are being trained for construction jobs. As the Minister of State has noted, the downturn in construction was anticipated. In such circumstances, would it not have been appropriate for FÁS to have begun to shift away much sooner from construction apprenticeships to other areas in which skill gaps exist, such as HGV drivers etc.? Would it not have been appropriate for the Department to offer FÁS advice to that effect?

Most importantly, quite a number of these apprentices will probably lose their jobs halfway through their training. What measures will be put in place to ensure that those affected either have the opportunity to undergo alternative training or can somehow complete their training, even if a job is not available to them at the time?

Auctioneers and others in the estate agent business have told me in recent weeks that there is renewed interest and that people are looking at houses. I can only speak for the Cork region, where house prices are not heading into the territory of negative equity.

It depends on when one bought a house.

I refer even to those who bought a couple of years ago. Perhaps Dublin is slightly different but this is not the case in the rest of the country.

As for FÁS, the number of new apprentices in 2006 was 7,681 while the corresponding figure for 2007 was 6,288, or approximately 1,400 to 1,500 fewer apprentices. However, craftspeople will be needed in the years ahead and it is predicted that in a few years' time, in 2012, 90,000 to 100,000 skilled building workers will be needed. There are 85,000 such workers at present. Consequently, if we do not continue to train apprentices we will lack the required number of skilled personnel in the years ahead.

Will apprentices who lose their jobs still receive training?

I apologise but I did not hear the question.

A large number of apprentices will lose their jobs halfway through their training. Will FÁS facilitate the completion of their training?

My recollection is that during the late 1970s and early 1980s, when the building industry experienced a major downturn, apprentices were able to complete their training. This was facilitated through AnCO and its successor, FÁS. I do not know whether the policy will change. I will raise the matter with the Minister to facilitate a reply to the Deputy.

Employment Rights.

Caoimhghín Ó Caoláin

Ceist:

11 Deputy Caoimhghín Ó Caoláin asked the Minister for Enterprise, Trade and Employment the steps that were taken to promote employment rights, obligations and entitlements to employers and employees and to workers from overseas in 2007. [4082/08]

The National Employment Rights Authority, NERA, was established in 2007 on an interim basis on foot of a commitment in the most recent social partnership agreement, Towards 2016. NERA will be established on a statutory basis following enactment of the employment law compliance Bill, which will be published shortly.

NERA's mission is to achieve a national culture of employment rights compliance. One of the ways in which NERA aims to achieve this mission is by providing information on employment rights and obligations to employees and employers in a factual and impartial manner.

In 2007, NERA's information services provided this information to employees and employers through a number of channels, including by telephone, in writing, by e-mail, via its website and through ongoing public awareness programmes, including making presentations at seminars and events and hosting stands at relevant exhibitions. In 2007, NERA's information services dealt with almost 100,000 contacts and made more than 40 presentations to a number of stakeholder organisations. The unit also provided a comprehensive range of explanatory leaflets and guides on different obligations and entitlements under employment rights legislation. These were available in English and a range of languages on the Department's website. Throughout 2007, the direct contact information service at 1890 808090 was available between 9.30 a.m. and 5 p.m. from Monday to Friday. Unbroken service was maintained throughout, including during NERA's decentralisation to Carlow in July.

NERA is committed to ensuring that workers from overseas have access to employment rights information. In 2007, NERA made its information brochure available in 12 languages including Polish, Lithuanian, Latvian, Chinese and French. During 2007, NERA also liaised closely with a number of organisations such as the Migrant Rights Centre of Ireland, Emigrant Advice and the citizens information centres nationwide network, which deal directly and closely with migrant workers.

NERA participated in 11 exhibitions in 2007, including the New Communities Expo held in the RDS in October at which the largest attendance was from the Polish community. NERA also took part in a FÁS-EURES event in Torun, Poland in November. The aim of the event was to inform and advise the public in Poland on issues related to living and working in Ireland, as well as to assist Irish employers to recruit skilled employees from Poland. It is estimated that approximately 800 people attended the NERA stand at that event.

NERA is committed to providing impartial information to employers on their employment rights obligations. In 2007, NERA staff participated in a roadshow organised by the Irish Small and Medium Enterprises Association, ISME, for its members. The roadshow and NERA staff visited 12 venues over a two-week period. Members of NERA's inspection services accompanied information officers during the roadshow.

NERA inspection services play an important role in promoting employment rights during the course of their inspection activity. As part of the inspection process, inspectors, where appropriate, inform employers of their obligations and employees of their rights. The need for inspectors with specific language skills to ensure that an effective customer service is provided to migrant workers was identified in 2007. As a result ten inspectors with specific language skills were recruited through the Public Appointments Service. Three of these inspectors have taken up their positions with NERA to date and are undergoing training at present. The remaining inspectors are expected to take up their positions in the coming weeks. One of NERA's most important information and awareness tools is its website, www.employmentrights.ie. I encourage all Deputies to look at it because it is exceptionally good and user friendly. It has been designed to provide user-friendly, accessible information on employment rights generally and on the role of NERA specifically.

Is the Minister of State satisfied that another Gama case will not arise in this country? Will he ensure employees are paid an appropriate wage commensurate with their work? Recent reports suggest certain seafarers are only receiving 50% of what they should be receiving. Is the Government concerned about this and about the fact that some employers seem to have ways to circumvent the law? On the last occasion on which staff were denied their due rights and wages, the State had to come to their assistance.

When will the employment law compliance Bill be introduced? What were the obstacles referred to by the Minister, Deputy Cullen, this morning during Question Time? What problems have led to an unanticipated delay in the introduction of a very important Bill? Does the Minister of State agree that the failure to introduce it could have a significant impact on the forthcoming partnership talks on wage agreements? I am not sensationalising this matter as it is exercising the minds of those in the trade union movement. They will not sit idly by as the Government fails to address the issue. Will the Minister of State state the exact date on which the legislation will be introduced?

What will the Government do about agency workers, who have certainly been a cause for concern and on whom the trade union movement is now focusing? The movement states it will take into account the Government's progress in ensuring the equitable treatment of agency workers at the negotiating table during the forthcoming talks.

On employment rights and the protection of workers, we have a very strong corpus of legislation, covering every issue from redundancy to paternity and maternity leave. The employment law compliance Bill will be published quite soon. We are as exercised as anybody else with ensuring it will be published, fully debated and enacted with a view to establishing NERA fully on a statutory basis. NERA is already established on an interim basis and can enforce the law in respect of breaches of employment rights. The Government has increased the number of inspectors and we hope to have 90 in the very near future. This is a fundamental commitment under Towards 2016 and we are honouring the commitments as best we can.

I asked NERA to investigate the matter of the seafarers, to which Deputy Penrose referred. It informed me quite recently that the boat in question is flagged in Honduras and run by a company registered in Cyprus. With all due respect, NERA can only be responsible for companies registered in Ireland.

There were two commitments regarding agency workers. We almost had a Bill ready in this regard but it must be remembered that some issues that are now being raised on agency workers are outside the scope of Towards 2016. However, we are committed to publishing the employment agencies regulation Bill and the memorandum thereto will be presented to the Cabinet in the very near future.

We are trying to live up to our commitments under Towards 2016. However, some legitimate concerns were raised by some of the social partners and we are trying to deal with them. I hope the employers, trade unions, Government and social partners will all acknowledge the challenges that exist when they commence talks. The Government is very much aware of them and in this regard it must protect competitiveness and foreign direct investment in particular. Some companies have expressed concerns in this regard. The Government will not stand over any circumstances in which agency workers are exploited and given insufficient salaries.

To be fair to the Minister of State, it is important to acknowledge that NERA represents real progress. We do not yet have 90 inspectors but, given that there are approximately 79, we are at least approaching the target. When does the Minister of State believe we will reach it?

One may argue about whether the minimum wage is too high but the fact remains that it is set down in law, which law must be enforced. The main penalty for not paying the minimum wage is the payment of arrears. Should employers who do not pay the minimum wage not be fined and made pay through the nose? Such fines would be paid to the agency. If an employer skimps on €2 or €3 per hour, he should really be made pay when caught. The fine should be used to help fund the agency and pay for the inspectors.

I agree with the Deputy that we need strong deterrents but the fundamental issue concerns the ability to pay and the need to ensure that those who do not receive full payment will be compensated immediately. If one were to seize the assets of a company expressing an inability to pay, it would make matters very difficult. The priority is to ensure that those who do not receive fair pay or holidays are compensated immediately. The labour inspectors are ensuring that arrears are paid. By and large, the major concern of the worker is that he or she would be reimbursed and receive his or her full entitlements. This in itself obviously serves as a deterrent to the employer.

Over the coming years and on foot of the strong compliance legislation, which will be published shortly, employers will be very well aware of their rights and their obligation to ensure all workers are paid.

Having only to pay arrears is not much of a deterrent.

It is a very strong deterrent. Most employers are complying with the legislation and the few that are not will be identified and dealt with by NERA by way of prosecution.

Written Answers follow Adjournment Debate.

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