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Gnáthamharc

Job Creation.

Dáil Éireann Debate, Thursday - 16 December 2004

Thursday, 16 December 2004

Ceisteanna (43)

Martin Ferris

Ceist:

14 Mr. Ferris asked the Minister for Enterprise, Trade and Employment the progress which has been made since 2002 in relation to job creation in the north west region. [33559/04]

Amharc ar fhreagra

Freagraí scríofa

The Government and the State development agencies are committed to ensuring balanced regional development, particularly through the implementation of the national spatial strategy and the decentralisation programme. The agencies are committed to playing their part in the development of the north west by maintaining the maximum number of existing jobs and by attracting new investment into the region.

Employment in the region has been dependent on traditional low-end manufacturing sectors such as clothing and textiles. The transition to a high skill, high technology regional economy will take time to achieve and unfortunately at present the rate of jobs creation has been unable to keep pace with these job losses. In County Donegal, employment in overseas firms has fallen to 2,287 due mainly to the loss of jobs in the clothing and textile sector in companies such as Fruit of the Loom and Unifi.

The development agencies under my remit, IDA Ireland, Enterprise Ireland and the county development boards, are committed to the economic development of the region. As far as IDA Ireland is concerned, the north west region continues to be a priority location. A fundamental part of the agency's policy is the delivery of new greenfield jobs into the Objective one region, including the north west. In recent years, IDA has been able to attract new investment in emerging sectors such as international services, life sciences, including medical technologies, software and high-end engineering. Companies like Abbot Laboratories, MBNA, Eaton Corporation and PacifiCare have made huge investments in the region. There were 459 new jobs created in IDA supported companies in the north west region in 2002 and 818 in 2003. Figures for 2004 are not yet available. In addition, IDA Ireland is working with Invest Northern Ireland on a cross-Border basis on a virtual cross-Border park, which will involve joint marketing efforts and planned improved telecoms infrastructure. The agency continues to develop its property portfolio in the region to international standards.

Enterprise Ireland activity, in terms of job creation, is focused on the creation of new jobs through supporting entrepreneurs in setting up high potential start-up companies, the retention and creation of new jobs in existing companies and enhancing the innovation capability of Ireland at a national and regional level through support of research in companies and third level institutions.

Direct funding amounting to €6 million was approved for companies in the north west region in 2002 and 2003 and around €2.5 million has been approved to date in 2004. This support enables companies to fund their plans for innovation and new product development. Furthermore, under Enterprise Ireland's competitiveness fund, set up to help small and medium sized enterprises overcome distinctive difficulties, over €1.6 million has been approved for ten companies in the region. As part of its role in regional development Enterprise Ireland seeks to improve the business climate for its clients and to support the provision of enterprise space. Enterprise Ireland-funded infrastructural projects in the north west region include 24 community enterprise centres, and incubation facilities at Sligo IT and Letterkenny IT.

The county enterprise boards in Sligo, Donegal and Leitrim continue to work actively with local people to set up, grow and develop micro-enterprises. The boards, whose work results in dispersed economic development throughout the region, provide a comprehensive system of capital and employment grants, support, mentoring, and training and development initiatives for new and existing micro-enterprises.

From 2002 to date the Sligo, Donegal and Leitrim boards have approved a total of over €3.6 million to 252 projects in the north west region which, in turn, has assisted in the creation of 338 jobs in the area. I am confident that the strategies being pursued by these agencies will result in continued growth and development in the north west.

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