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Job Creation

Dáil Éireann Debate, Wednesday - 1 February 2012

Wednesday, 1 February 2012

Ceisteanna (93, 94)

Thomas P. Broughan

Ceist:

94 Deputy Thomas P. Broughan asked the Minister for Jobs, Enterprise and Innovation the inducements that exist in terms of grants to Irish business from the Industrial Development Agency, Enterprise Ireland and any other agencies to encourage or compel employers to hire workers from the live register; and if he will make a statement on the matter. [5801/12]

Amharc ar fhreagra

Freagraí scríofa

The core goal of the enterprise agencies under my Department's remit is to create the conditions where indigenous and FDI companies can thrive, grow employment and create opportunities for those on the live register. Decisions relating to the recruitment of individuals with the appropriate skills for particular posts in those companies are entirely at the employers' discretion.

Where companies require staff with an appropriate skills set, they can make contact with the state training and job placement agency FÁS or, alternatively, they can use a number of the well established private recruitment agencies, operating under employment agency licences received from my Department.

Enterprise Ireland is responsible for the development and promotion of the indigenous business sector. The agency's mission is to accelerate the development of world-class Irish companies to achieve strong positions in global markets resulting in increased national and regional prosperity. Enterprise Ireland works closely with individual companies and sectorial groups, offering a wide range of services.

Enterprise Ireland does not offer any specific grants to encourage or compel employers to hire workers from the live register. However, Enterprise Ireland's Job Expansion Fund directly assists client companies to achieve enhanced growth through increased employment. The fund provides grant support to SMEs up to a maximum of €150,000 towards the recruitment of new employees.

IDA Ireland seeks to attract foreign direct investment (FDI) to Ireland while Shannon Development provides grants to both Irish and FDI companies located in the Shannon Free Zone. The support packages offered by both agencies encourage companies to take part in the Irish and global economic recovery and to improve competitiveness and growth.

As agencies operating under the aegis of my Department the County and City Enterprise Boards (CEBs) provide support for micro-enterprises in the start-up and expansion phases, promoting and developing indigenous micro-enterprise potential and stimulating economic activity and entrepreneurship throughout their respective areas across the county. The CEBs deliver a range of tailored programmes and supports through the provision of both financial assistance and non-financial assistance. Business growth, job creation and retention considerations are central to the activities of CEBs.

The enterprise agencies under my Department's remit make their client companies aware of schemes administered by the Department of Social Protection and the Revenue Commissioners aimed at taking people off of the live register, such as the Revenue Job Assist Scheme.

On Monday last, I attended the launch of the ‘Joint Government — Industry ICT Action Plan: Meeting the High-Level Skills Needs of Enterprises in Ireland', which I launched alongside my colleague, Mr Ruairí Quinn, T.D., Minister for Education and Skills. More than 750 places are being made available on 17 new graduate skills conversion programmes across the country. This will see the upskilling of individuals currently on the live register, at no cost to the participants.

The plan also sets out how we will increase the supply and quality of graduates in the medium to long term. We aim to double the annual outturn of ICT graduates from 1,000 in 2012 to 2,000 by 2018. There are currently over 1,000 vacancies and there is great potential for future growth within the ICT sector if we can get an increase in those people with the necessary skills.

I believe that this plan will be a major contributor in getting the country back to work. Such a plan was brought about through joined up thinking of Government, its agencies and private industry, where we have combined forces to develop the plan, which sends a strong signal of our intention to meet the skills needs of the ICT sector.

Thomas P. Broughan

Ceist:

95 Deputy Thomas P. Broughan asked the Minister for Jobs, Enterprise and Innovation the current multipliers and cost benefit for each job created by the Industrial Development Agency during 2011; and if he will make a statement on the matter. [5802/12]

Amharc ar fhreagra

The companies supported by the enterprise agencies are fundamental to Ireland's economic performance, as their impact on the Irish economy extends beyond their immediate employment effects. They contribute in large measure to the country's turnover, employment, exports, domestic economic activity and tax receipts.

The cost per job as published in the IDA Ireland Report and which is available on IDA's web-site for the years 2009 and 2010 is set out below. Information relating to 2011 will be included in the 2011 Annual Report which will be published later in 2012.

IDA Cost Per Job Sustained Constant 2010 Prices

Year

1995-2001

1996-2002

1997-2003

1998-2004

1999-2005

2000-2006

2001-2007

2002-2008

2003-2009

2004-2010

IDA Ireland

16,304

18,525

18,210

16,165

14,219

12,903

12,899

12,495

14,159

14,287

Source: Forfás Annual Employment Survey 2010

Note: The cost per job sustained is calculated by taking into account all IDA Ireland expenditure to all firms in the period of calculation. Only jobs created during and sustained to the end of each seven year period are credited in the calculations.

Foreign Direct Investment (FDI) has been and will continue to be a catalyst for our national prosperity. FDI companies account for 140,000 high-quality direct jobs and a further 100,000 indirect jobs in the firms that provide goods and services to them. FDI companies represent over 70% of all goods and services exported from Ireland, and spend over €19 billion in the Irish economy, including over €7 billion on payroll each year.

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