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Gnáthamharc

Tuesday, 18 Sep 2012

Written Answers Nos. 542-559

Job Creation

Ceisteanna (542)

Ciara Conway

Ceist:

542. Deputy Ciara Conway asked the Minister for Jobs, Enterprise and Innovation the action he will take to tackle the high unemployment rate in Waterford, combined with the Industrial Development Authority figures that the south east was the only region to record a record decline in the number of people employed in IDA supported companies in what was a record-breaking year for the agency; and if he will make a statement on the matter. [36932/12]

Amharc ar fhreagra

Freagraí scríofa

In relation to IDA Ireland, that Agency’s strategy specifies a target of attracting 50% of all Foreign Direct Investment into locations outside Dublin and Cork. Its strategy for the South East Region, of which Waterford is the Gateway, is to: market the Region to overseas clients in order to secure new investments; support the growth and development of the Region’s existing client base by working with them to transform their business in the Region in order to create additional employment and sustainability; and to Ensure that the supporting infrastructure is in place to attract FDI.

To date in 2012, there has been a significant increase of IDA site visits, 21 in total, to the South East Region, illustrating IDA’s focus on the Region. By early this year, there were 62 IDA supported client companies in the South East Region, employing c.11,600 people and the Agency is actively engaged with all its existing base of companies in the region, highlighting the on-going importance of up-skilling and re-skilling and the need to add high value activities in order to ensure their on-going development and sustainability for the long term.

A recent significant investment announcement in the South East Region was the official opening in February 2012 of the first phase of the €23 million Belview Strategic Water Supply Scheme, which will facilitate industrial development and job creation in Kilkenny and the South East. The total investment for this phase of the scheme is €13m of which a significant amount was provided by IDA Ireland and the balance by Kilkenny County Council and the Department of the Environment, Community and Local Government.

In accordance with the South East Employment Action Plan, which I initiated following the closure of the Talk Talk Call Centre, all the key State players are actively pursuing initiatives to facilitate development and job creation in the region. I travelled to Waterford in June last to meet the members of the South-East Forum and I was heartened to hear of the progress being made. In addition to the work of the IDA, as listed above, I was pleased to hear of many developments which had been achieved since the publication of the Action Plan.

Foremost amongst these has been that Enterprise Ireland has supported the establishment of the Eishtec Call Centre in Waterford city, where employment had reached 230. This is a very significant achievement and other recent initiatives by Enterprise Ireland in the region included the approval of 14 high quality projects under their competitive feasibility fund, 12 companies being been approved for Graduate Placement. 5 Community Enterprise Centres having been approved for funding for full-time business development managers and a high take-up of the EI Innovation Voucher scheme in Waterford.

The enterprise development agencies will adopt a ‘Spotlight on Waterford and the South East Region ’ to the end of 2012. Other bodies had also made considerable progress, with FAS training services having provided training for about 5,000 people and that Agency also undertaking a wide range of other training initiatives. Several tourist initiatives are underway in the region and Science Foundation Ireland have funded 8 research awards to Waterford Institute of Technology. The two local County Enterprise boards, in the city and county, have created 59 new jobs and the South East Regional Authority has secured EU funding for a number of enterprise and innovation-focussed projects.

I fully appreciate that much needs to be done to tackle unemployment in the Waterford region. On a national basis, the Action Plan for Jobs, introduced earlier this year, sets out a series of clear actionable measures to support the creation and retention of jobs. The objective of the Action Plan is to create the environment where 100,000 net new jobs can be created by 2016 and to have 2 million people at work by 2010.

European Organization for Nuclear Research

Ceisteanna (543, 544, 545)

Mary Mitchell O'Connor

Ceist:

543. Deputy Mary Mitchell O'Connor asked the Minister for Jobs, Enterprise and Innovation if he will confirm the amount it will cost, annually, for Ireland to become a member of CERN; and if he will make a statement on the matter. [37011/12]

Amharc ar fhreagra

Mary Mitchell O'Connor

Ceist:

544. Deputy Mary Mitchell O'Connor asked the Minister for Jobs, Enterprise and Innovation if his Department has plans for Ireland to become members of CERN; and if he will make a statement on the matter. [37012/12]

Amharc ar fhreagra

Mary Mitchell O'Connor

Ceist:

545. Deputy Mary Mitchell O'Connor asked the Minister for Jobs, Enterprise and Innovation if he will confirm the potential benefits to Ireland of becoming a member of CERN; and if he will make a statement on the matter. [37013/12]

Amharc ar fhreagra

Freagraí scríofa

I propose to take Questions Nos. 543 to 545, inclusive, together.

The issue of whether or not Ireland should join CERN was formally reviewed by my Department, through Forfas, which commissioned an expert report by consultants Georgia Tech in 2001 to examine the case for Irish participation in a number of intergovernmental research organisations. That Report concluded that, because of high costs and limited industrial development returns, membership should not be considered a priority. Since then, of course, the severely depleted resources available to the Government has meant that there is an even greater imperative to ensure that publicly funded research and development will yield the maximum benefits for the country – most particularly in terms of downstream jobs. Ireland's membership of international research organisations is reviewed on a regular basis and in the case of the European Space Agency, for example, the value of membership in terms of support to Irish companies and researchers is considered to justify the costs of our membership.

It is important to note, however, that Irish researchers are not precluded from participating in, and benefiting from, the work being done at CERN. In an ideal world, of course it would be desirable to be involved in this major project, based in Europe as it is. The question is whether we should divert very scarce, and in most cases committed, funding away from the areas that we had identified as having the best chance of contributing to our economic recovery.

The costs of full membership of CERN are understood to be over €10m per annum. While other associate membership options may be available involving lesser amounts, the issue remains that a decision about joining CERN must take into consideration the opportunity costs involved, as payment of any fees would mean that less funding is available for our existing research priorities. Should budgetary circumstances change; the matter could be reviewed again but only if there is a compelling business case from a cost/benefit viewpoint.

Work Permit Applications

Ceisteanna (546)

Finian McGrath

Ceist:

546. Deputy Finian McGrath asked the Minister for Jobs, Enterprise and Innovation the position regarding a work permit in respect of a person (details supplied). [37701/12]

Amharc ar fhreagra

Freagraí scríofa

I understand that this person entered the State to undertake a course of studies and was granted permission at that point by the Minister for Justice and Equality to remain in the State as a student. A work permit application in respect of this person was received in my Department on 1 May 2012. This was the first work permit application made by the person named. This application was refused on the basis that new employment permit applications are currently only considered for highly skilled, highly paid positions or for positions where there is an officially recognised scarcity of supply in relation to a particular qualification or occupation type. New and renewal applications may also be considered in respect of non-EEA nationals already legally resident in the State on a valid employment permit. In addition, new employment permit applications are normally only considered where it is established that a minimum salary of €30,000 per annum is on offer based on a 39 hour week and where the position on offer is one of the occupations currently eligible for a new employment permit.

It appeared from the information submitted with the application that the proposed employee's current immigration status, which had not altered since he entered the State, precluded him from entering full-time employment in the State. Finally, supporting information sought in respect of the application itself was not provided within the specified time frame. This decision was upheld on appeal on 19 July 2012.

The Deputy should note that Non-EEA nationals who are granted residence in Ireland under the 2004 Student Probationary Extension, established by my colleague the Minister for Justice and Equality, are entitled to work in Ireland under the conditions that would normally pertain to the academic holidays, i.e. a person may work for up to 40 hours per week. These arrangements allow eligible students to reside in Ireland for a period of 2 years on specified conditions. In addition, at the conclusion of the two year probationary period those students will be eligible to apply for a more permanent status on condition that certain obligations have been fulfilled. It is understood that the person named by the Deputy will shortly renew his immigration status. He may wish to be considered for eligibility under this facility at that point.

Research Funding

Ceisteanna (547)

Charlie McConalogue

Ceist:

547. Deputy Charlie McConalogue asked the Minister for Jobs, Enterprise and Innovation the reason that Ireland performed so poorly in securing funding for science research projects from the European Research Council which recently awarded €800 million to 503 applicants only four of which were Irish; and if he will make a statement on the matter. [39198/12]

Amharc ar fhreagra

Freagraí scríofa

The European Research Council (ERC) is a European funding body set up to support investigator-driven frontier research. It was established to implement the "Ideas Programme" of the Seventh European Union Framework Programme for Research and Technological Development (FP7). Its main aim is to stimulate scientific excellence by supporting and encouraging the very best, truly creative scientists, scholars and engineers to be adventurous and take risks in their research. Being 'investigator-driven', or 'bottom-up', in nature, the ERC approach allows researchers to identify new opportunities and directions in any field of research.

To date Irish researchers have won ERC awards totalling €34m. While this is not insignificant, there is certainly scope for improvement and I am confident that we will see more success in ERC grants by the end of FP7. To get a better appreciation of Irish researchers’ performance in securing EU funding one has to look at the success rate across FP7 as a whole. Funding from the ERC is only one part (14.87%) of the overall FP7 budget of €50bn over the period 2007 -2013. Since the commencement of FP7 in January 2007 to June 2012, Irish researchers have won awards under the Programme totalling €438m, representing a success rate of 21.78%. This is above the EU average success rate of 20.72%. This shows that overall Ireland continues to perform very creditably vis a vis other EU Member States and that we remain on track to secure our target of €600m from FP7.

Foreign Direct Investment

Ceisteanna (548)

Martin Ferris

Ceist:

548. Deputy Martin Ferris asked the Minister for Jobs, Enterprise and Innovation the proportion of jobs in foreign direct investment outside of Dublin and Cork. [37149/12]

Amharc ar fhreagra

Freagraí scríofa

In accordance with its Horizon 2020 Strategy, IDA Ireland is aiming to create 63,000 new jobs in Ireland over the period 2010-2014, with 50% of these investments to be based in locations outside of Dublin and Cork. Central to IDA Ireland’s strategy is to build on existing regional strengths to ensure Ireland’s economic development, while optimising regional spread, in line with the National Spatial Strategy.

In implementing its strategy, IDA Ireland continues to work with existing client companies in order to provide them with the support required to encourage transformation and become more competitive. The majority of foreign direct investment (FDI) secured by IDA Ireland is from the existing base of FDI clients so on-going effective and collaborative engagement with existing clients in areas such as skills and technology enhancement; research, development and innovation in product and process improvements; energy initiatives; and, securing new mandates required to increase the Irish operation’s strategic importance can assist in developing, retaining and growing employment opportunities in these companies.

IDA Ireland’s client companies created over 13,000 new jobs in 2011, up 20% on the previous year’s level of 10,897, increasing the total number of those employed directly by IDA client companies to almost 146,000. There was an overall increase of 17% in the number of investments from IDA client companies in 2011 and, despite the current global economic situation and a strong increase in international competition, there was a record number of 148 new investments won during the year across all industry segments. Of these 148 investments, a record number of 61 were from multinational companies investing in Ireland for the first time while 87 were made by existing client companies.

IDA Ireland has explained that the majority of the 87 investments made in 2011 by existing client companies were primarily based in Dublin and/or Cork and involved either an expansion or transformation of their existing operations. Furthermore, the new name investments secured were primarily in sectors such as ICT, Financial Services, Global Business Services, Online Gaming, Digital Media, etc. which had specific requirements and sought the critical mass that our larger cities, such as Dublin and Cork, offer. This could account for the decrease in the investments made in locations outside of Dublin and Cork from 37% in 2010 to 28% in 2011. IDA Ireland has confirmed, however, that to date in 2012, the percentage rate for winning investments outside of Dublin & Cork is currently c. 50%.

The global economy and in particular the European economy, which is the primary target market for FDI clients in Ireland, is in a low growth phase. The challenge for IDA Ireland is to win FDI in this low growth environment. In addition, there is intense and continual international competition to win this FDI, which is mainly dominated by Metro City Regions with populations in excess of 1 million such as London, Manchester, Singapore, Amsterdam, Boston, Los Angeles etc.

As Ireland competes for high quality investments, the concept of scale is crucial. Leading global corporations require a significant population pool, access to qualified talent, world class physical and digital infrastructure in addition to the availability of sophisticated professional and business support services. Ireland has only one Metro Region, the Greater Dublin area, so, in order to achieve regional economic development, IDA Ireland prioritises the marketing of Gateway locations within each Region as the locations of critical mass (i.e. sufficient scale of population, skills, infrastructure, companies, business services etc.) and highlights the opportunities provided by Hub locations which are within commuting distances of these Gateways. In addition, IDA promotes other locations as part of its marketing efforts in response to specific client requirements.

The following revised reply was received on 14 November 2012.

In accordance with its Horizon 2020 Strategy, IDA Ireland is aiming to create 63,000 new jobs in Ireland over the period 2010-2014, with 50% of these investments to be based in locations outside of Dublin and Cork. Central to IDA Ireland’s strategy is to build on existing regional strengths to ensure Ireland’s economic development, while optimising regional spread, in line with the National Spatial Strategy.

In implementing its strategy, IDA Ireland continues to work with existing client companies in order to provide them with the support required to encourage transformation and become more competitive. The majority of foreign direct investment (FDI) secured by IDA Ireland is from the existing base of FDI clients so ongoing effective and collaborative engagement with existing clients in areas such as skills and technology enhancement; research, development and innovation in product and process improvements; energy initiatives; and, securing new mandates required to increase the Irish operation’s strategic importance can assist in developing, retaining and growing employment opportunities in these companies.

IDA Ireland’s client companies created over 13,000 new jobs in 2011, up 20% on the previous year’s level of 10,897, increasing the total number of those employed directly by IDA client companies to almost 146,000. There was an overall increase of 17% in the number of investments from IDA client companies in 2011 and, despite the current global economic situation and a strong increase in international competition, there was a record number of 148 new investments won during the year across all industry segments. Of these 148 investments, a record number of 61 were from multinational companies investing in Ireland for the first time while 87 were made by existing client companies.

IDA Ireland has explained that the majority of the 87 investments made in 2011 by existing client companies were primarily based in Dublin and/or Cork and involved either an expansion or transformation of their existing operations. Furthermore, the new name investments secured were primarily in sectors such as ICT, Financial Services, Global Business Services, Online Gaming, Digital Media, etc which had specific requirements and sought the critical mass that our larger cities, such as Dublin and Cork, offer. This could account for the decrease in the investments made in locations outside of Dublin and Cork from 37% in 2010 to 28% in 2011. IDA Ireland has confirmed, however, that to date in 2012, the percentage rate for winning investments outside of Dublin & Cork is currently 27%

The global economy and in particular the European economy, which is the primary target market for FDI clients in Ireland, is in a low growth phase. The challenge for IDA Ireland is to win FDI in this low growth environment. In addition, there is intense and continual international competition to win this FDI, which is mainly dominated by Metro City Regions with populations in excess of 1 million such as London, Manchester, Singapore, Amsterdam, Boston, Los Angeles etc.

As Ireland competes for high quality investments, the concept of scale is crucial. Leading global corporations require a significant population pool, access to qualified talent, world class physical and digital infrastructure in addition to the availability of sophisticated professional and business support services. Ireland has only one Metro Region, the Greater Dublin area, so, in order to achieve regional economic development, IDA Ireland prioritises the marketing of Gateway locations within each Region as the locations of critical mass (i.e. sufficient scale of population, skills, infrastructure, companies, business services etc.) and highlights the opportunities provided by Hub locations which are within commuting distances of these Gateways. In addition, IDA promotes other locations as part of its marketing efforts in response to specific client requirements.

Job Initiatives

Ceisteanna (549)

Finian McGrath

Ceist:

549. Deputy Finian McGrath asked the Minister for Jobs, Enterprise and Innovation if he will examine the proposal of encouraging business to allow persons to work shorter hours thus creating more jobs in their organisation (details supplied). [37161/12]

Amharc ar fhreagra

Freagraí scríofa

The Protection of Employees (Part-Time-Work) Act 2001 provides that part-time employees must not be treated less favourably than comparable full-time employees unless there are objective grounds, and where a benefit is determined by the number of hours an employee works, it shall be on a pro-rata or proportionate basis to part-time employees. There is no provision in the Act, or elsewhere in Irish employment law, for a statutory entitlement to part-time work. Rather, the Act makes provision for the Labour Relations Commission to carry out studies for the purposes of identifying obstacles that may exist in particular industries or sectors to access to part-time work, and for the Commission, in consultation with the social partners, to prepare a Code of Practice which would be of practical benefit to employers and employees in addressing such obstacles.

In this context, the Code of Practice on Access to Part-Time Working (Statutory Instrument Number 8 of 2006) aims to encourage employers and employees to consider part-time work and provides guidance on procedures to improve access to part-time work for those employees who wish to work on a part-time basis.

Best practice recommends that employers assess within their own organisations the possibilities of either introducing part-time working or increasing the range/scope of existing part-time working arrangements. The Code recommends that employers should explore, in consultation with their employees and representatives, as appropriate, the possibility of introducing part-time work opportunities and/or maximise the range of posts as suitable for part-time working at all levels in the organisation.

A key element in the consideration of improving access to part-time work - either introducing part-time working arrangements or enhancing existing arrangements - is the operational/business context of the organisation and the need to enhance economic competitiveness. Ultimately, the capacity of an organisation to facilitate part time working is dependent on business and operational factors.

Departmental Bodies

Ceisteanna (550, 551)

Dara Calleary

Ceist:

550. Deputy Dara Calleary asked the Minister for Jobs, Enterprise and Innovation the number of agencies, authorities, boards, committees, working groups, tribunals, council services, task forces, agencies or other quangos set up by his Department since February 2011; the number abolished since then; the extra cost of quangos which were established; the savings from the abolition of quangos; and if he will make a statement on the matter. [37248/12]

Amharc ar fhreagra

Dara Calleary

Ceist:

551. Deputy Dara Calleary asked the Minister for Jobs, Enterprise and Innovation the estimated cost of each quango in his Department; the amount expected to be saved from the mergers of quangos in his Department; the basis for this figure; and if he will make a statement on the matter. [37264/12]

Amharc ar fhreagra

Freagraí scríofa

I propose to take Questions Nos. 550 and 551 together.

In the context of the Government’s Programme of Public Sector Reform, including rationalisation of the number of State Agencies and Bodies, very significant progress has been achieved in relation to a number of the Bodies under the aegis of my Department. The Bodies that are involved in the rationalisation programme are listed in full in Table 1, as well as the staff and financial savings anticipated.

I would like in particular, to point to significant reforms underway in a number of the Bodies listed on which work is being progressed. This includes reforms such as the merging of the Competition Authority with the National Consumer Agency; a major programme of reform in relation to the rationalisation of the employment rights Bodies to reduce these in number from 5 to 2; Government agreement to dissolve the existing County Enterprise Boards and create a “one-stop-shop” micro enterprise support structure; the integration of Forfás into the Department in order to strengthen the Department’s capacity to develop and implement enterprise policy and, the intention, announced by Government to bring forward proposals before year end 2012 for the implementation of the decision on restructuring State Airports and Shannon Development and the re-alignment of tourism and enterprise support functions in the Shannon region.

Table 1:

Name of Body/ Organisation

Current Status

Savings/Reduction in numbers

Competition Authority and

National Consumer Agency

The Government has agreed to merge these two bodies. As both agencies were established under statute, it is necessary to give effect to the newly merged body by way of primary legislation. Government approved the draft Heads of a Bill in July 2011 and these were sent to the Office of Parliamentary Counsel for drafting.

Initial set-up costs will be incurred.

No savings in whole-time

equivalent (WTE) numbers.

Labour Court

National Employment Rights Authority

Labour Relations Commission

Employment Appeals Tribunal

Equality Tribunal

A major reform programme is underway to replace the five existing employments rights bodies with two. Four of the existing bodies – the Employment Appeals Tribunal, the National Employment Rights Authority, the Labour Relations Commission and the Labour Court – are currently within the remit of the Department. One – the Equality Tribunal – is currently within the remit of the Minister for Justice and Equality.

In terms of delivering the reform a number of important priority actions have been successfully delivered, including the development of a:

- Single Contact Portal

A new single contact portal called “Workplace Relations Customer Services” is fully operational since the beginning of 2012 and provides a single point of entry into the system for employment rights and industrial relations information.

- Single Complaint Form

A Single Complaint Form that deals with over 100 first instance complaints was launched on the 4th of January 2012 replacing 30 forms previously in use.

- Workplace Relations Website

The new interim workplace relations website www.workplacerelations.ie went live on 4th January 2012. This website brings together, in one place, information on all aspects of employment rights and industrial relations.

- Early Resolution Service

Delivery of a pilot Early Resolution Service has commenced. This service will assist parties to a dispute to resolve the issue themselves with the assistance of a Case Resolution Officer.

Consultation

The Minister has undertaken two public consultation processes and published two policy papers setting out in detail how the reform will be delivered. He engaged with the Oireachtas Committee on Jobs, Enterprise and Innovation in July 2012.

Legislation

A draft Scheme of the Workplace Relations Bill, which will put the reforms on a statutory footing, has been prepared and the Cabinet approved the priority drafting of the Bill in July 2012.

The annual cost of the Workplace Relations Services amounted to some €20m in 2010. It is expected that significant savings, in terms of both reductions in staff numbers & increased efficiency & productivity, will be generated by the end of 2013 by which time the majority of the Workplace Relations Reform Programme will have been implemented. Work has commenced on identifying and capturing on-going pay and non-pay savings.

County and City Enterprise Boards (CEBs)

Government has approved the establishment of a new “one-stop-shop” micro-enterprise support structure through the dissolution of the existing CEBs and the formation of Local Enterprise Offices (LEOs). An implementation Working Group composed of representatives of the Government Departments and State Agencies involved in developing and rolling out the new model is working under the auspices of the Department to progress the matter.

In conjunction with this, the Department is engaged with the Office of the Attorney General regarding appropriate legislation.

It is to be expected that over time there will be savings resulting from the removal of costs associated with the individual Company status of each CEB, use of shared services, reduced rental costs associated with the relocation of some offices etc. However initial direct savings will be modest as it could take some years to realise these savings due to existing leasing arrangements etc.

Forfás

Last July I announced my intention to integrate Forfas into my Department to strengthen the Department’s capacity to develop and implement enterprise policy. This includes the Advisory Council for Science, Technology and Innovation (ACSTI) which comes under the aegis of Forfás. An Implementation Group, comprising senior management from my Department, Forfás, and the Department of Public Expenditure and Reform, is overseeing the integration project and will consider all of the legislative, financial and staffing implications that arise from the exercise. A project of this nature would typically take up to 18 months for completion.

Integration will improve efficiencies/ synergies between the Department and Forfás, but will not lead to immediate financial savings. Potential initial costs of integration (e.g. ensuring compatibility of IT systems) need to be explored by the Implementation Group.

Integration of Forfás with DJEI will facilitate improvements in the use of existing resources – the objective is not driven by achieving reductions in WTEs. In any event, the scope for further reduction is severely limited following departure of staff of retirement age in February.

Shannon Development

The Steering Group and Task Forces which were established following the Government Decisions of the 8th and 29th May have met throughout the summer and have dealt with a large number of issues which will be relevant in setting up the new entity under public ownership. The Steering Group is also addressing issues relating to the re-alignment of tourism functions in the region and enterprise functions in the Free Zone which are currently being carried out by Shannon Development. The Steering Group will report back to Cabinet by year end.

Companies Registration Office and the

Office of the Registrar of Friendly Societies

The McCarthy Report suggested that a formal merger of the CRO and RFS would secure additional efficiencies. However, the offices have been ‘de facto’ merged for the past nine years, with the officer designated as the Registrar of Companies also designated as the Registrar of Friendly Societies, and the budget for both offices is a common one.

No savings arise.

Discover Science and Engineering (DSE) Programme

As part of the Government’s rationalisation process, the DSE programme with 5 staff transferred from Forfás to Science Foundation Ireland (SFI) with effect from 1st March 2012. There are a lot of synergies and mutual complementarities between DSE and a number of SFI funded activities that support science awareness efforts. The DSE brand is being maintained to be at the forefront of SFI’s science, technology, engineering and mathematics awareness (STEM) activities.

Work is currently underway in SFI to examine how a range of efficiencies can be delivered. This principally involves an international panel review process which is examining how SFI, through DSE and wider STEM awareness/communications activities can contribute further to the strengthening of capacity for future economic growth.

It is too early to quantify precisely the annual cost savings and efficiencies arising as a result of the transfer of DSE to SFI. This will become more apparent after the international panel review completes its work and presents its recommendations in late 2012.

The annual cost for each Agency in 2012 is set out in the Revised Estimates Volume, which can be found on the website of the Department of Public Expenditure and Reform at: http://per.gov.ie/wp-content/uploads/Rev-20121.pdf.

The information in respect of new committees and groups of the type outlined by the Deputy that have been set up since I assumed office is set out in Table 2 below. There are no direct costs associated with the establishment of these Committees / Groups.

Table 2:

Name of Committee / Group of the type outlined by the Deputy

Date Established

Copyright Review Committee

May 2011

Advisory Group on Small Business

June 2011

Cloud Computing Implementation Group

June 2011

Steering Group on Small and Medium-sized Enterprises (SME) Access to Public Procurement

July 2011

Research Prioritisation Action Group

Inaugural meeting 28th March 2012.

Manufacturing Development Forum

June 2012

Implementation Working Group on the dissolution of the County & City Enterprise Boards (CEBs) and the establishment of Local Enterprise Offices (LEOs)

Inaugural meeting 2nd July 2012

Games Industry Clustering Development Team

July 2012

Job Creation

Ceisteanna (552)

Dara Calleary

Ceist:

552. Deputy Dara Calleary asked the Minister for Jobs, Enterprise and Innovation the number of new jobs created by his Department as a result of the jobs initiative; and if he will make a statement on the matter. [37280/12]

Amharc ar fhreagra

Freagraí scríofa

The role of Government is to create the conditions where jobs can be created by the enterprise sector. Supporting the maintenance of existing jobs is also an important objective of the Government. The Jobs Initiative, which was announced in May 2011, was aimed at rebuilding confidence in the economy, providing opportunities for the re-skilling of those who had lost their jobs, and assisting people to get back to work. It was a whole-of-Government initiative, for delivery across a range of Departments. While it is not possible to indicate the exact number of positions which have been filled as a result of the measures introduced under the Jobs Initiative, there is no doubt that they are contributing to both maintaining existing jobs and creating new ones.

The Jobs Initiative introduced a reduction in the VAT rate from 13.5% to 9% from 1 July 2011 on a range of labour-intensive services, with a particular focus on the hospitality sector. The Government also halved employers’ PRSI in respect of those earning up to €356 per annum. These measures helped to support an annual increase in employment of 8,700 people in the Accommodation and Food Services sector in the first quarter of 2102, as reported in the Quarterly National Household Survey published by the Central Statistics Office on 7 June. The Government has also introduced a visa-waiver scheme, which was announced in the Jobs Initiative, to further support the tourism sector. The number of overseas visitors to Ireland increased by 7% in 2011, the first increase since 2007.

The Jobs Initiative targeted €135 million Capital spending at labour-intensive local projects, focussing on school works, local roads, energy efficiency and smarter travel projects. The level of take-up and activity under the domestic energy retrofitting schemes to date is demonstrably supporting employment. The Sustainable Energy Authority of Ireland has reported that over 5,800 full time jobs were supported in 2011 through the Better Energy retrofitting scheme. This represented an increase of some 2,000 jobs being supported under the scheme.

The JobBridge National Internship Programme was announced in the Jobs Initiative and was launched on 1 July 2011. To date, over 10,000 people have participated on JobBridge. Initial feedback received by the Department of Social Protection indicates that approximately 40% of participants have been offered a position on or before completion of their internship. This figure is expected to increase as more detailed data is collected.

From my own Department’s perspective, the Jobs Initiative announced proposals for the introduction of a Partial Credit Guarantee scheme, a Microfinance Fund for small business start-ups, the extension of the 15 day prompt payment arrangements to the wider public sector, improvements to the R&D tax credit scheme, the introduction of a diaspora “job finders” scheme and improvements in access to procurement for SMEs. All of these measures, and many more, have been now implemented under the Action Plan for Jobs which followed on from the Jobs Initiative. These measures, which have been introduced in recent months, will have a sustainable impact on employment.

Job Creation

Ceisteanna (553)

Dara Calleary

Ceist:

553. Deputy Dara Calleary asked the Minister for Jobs, Enterprise and Innovation the number of new jobs created by his Department as a result of the action plan on jobs; and if he will make a statement on the matter. [37296/12]

Amharc ar fhreagra

Freagraí scríofa

As I have pointed out on many occasions, the Government does not create jobs – entrepreneurs and successful businesses do. However, the Government has a key role to play in providing the environment where businesses can start-up, expand and create sustainable jobs.

The Action Plan for Jobs, which was published on 13 February last, sets out a series of clear, actionable measures to support the creation and retention of jobs by improving supports for business and removing barriers to employment-creation. The Plan contains over 270 actions to be implemented across all Government Departments, as well as 36 State agencies.

The Action Plan has set a target of supporting the creation of 100,000 net new jobs over the period 2012 to 2016, with the longer term objective of having 2 million people at work by 2020 as part of our goal of making Ireland the best small country in which to do business.

Although it is only seven months since the Action Plan was published, some very significant objectives have already been achieved across Government. From my own Department’s perspective, I have introduced legislation underpinning the Microfinance Fund and the Partial Credit Guarantee scheme. I have launched a new Development Capital Fund aimed at addressing funding gaps for mid-sized high-growth companies. I have announced a second global call under Innovation Fund Ireland, encouraging top venture capitalists to signal their interest in establishing a presence in Ireland.

Amongst the many actions delivered by Enterprise Ireland to date are the establishment of a new Potential Exporters Division to help more Irish companies to trade in foreign markets. Enterprise Ireland have also launched a Women in Business Initiative and rolled out a new €2 million Clustering programme. IDA Ireland has launched the Succeed in Ireland scheme, aimed at generating 5,000 jobs in the next five years, and has continued to work hard to attract new investments.

It is not possible to indicate the exact number of positions which have been filled as a result of the measures put in place to date from the Action Plan for Jobs. It is also important to remember that the Action Plan is designed to support existing jobs, as well as encouraging new employment. What is clear, however, is that the Action Plan is beginning to show tangible results. Figures published last week by the CSO indicate that our exports for July 2012, at almost €8 billion, showed a 13% increase over July 2011, and a 6% increase on the June 2012 figure. IDA Ireland has also announced the creation of over 3,000 jobs since the start of the year, right across the country. Employment in the tourism sector increased by 8,700 in the period March 2011 to March 2012. The employment created through these developments will also support other jobs in the supply chain.

I am confident that through the continued implementation of the Action Plan for Jobs across Government, we will accelerate the transition to economic recovery and provide a strong foundation for sustainable jobs.

Departmental Expenditure

Ceisteanna (554)

Dara Calleary

Ceist:

554. Deputy Dara Calleary asked the Minister for Jobs, Enterprise and Innovation the total amount spent on taxis by his Department since February 2011; and if he will make a statement on the matter. [37328/12]

Amharc ar fhreagra

Freagraí scríofa

My Department operates a taxi account through National Radio Cabs whereby staff use taxis on account as necessary for business purposes. The amounts paid in respect of the account to National Radio Cabs for the past four years are set out in the following table:

Year

Total €

2009

17,853.00

2010

15,193.52

2011

11,719.94

2012 to date

6,507.64

The data in the above table does not include expenditure where taxis are taken for official purposes outside Ireland or were not taken on the departmental account. In these circumstances, taxi costs are included with other forms of transport costs (e.g. mileage and public transport) on my Department's financial management system and it is not feasible to identify such taxi costs separately for the period in question. My Department recognises that the use of public transport is normally the most economical means of transport available and should be availed of by staff wherever possible. As a general rule, the use of taxis – either in Ireland or abroad – should arise only where no suitable public transport is available, or where the use of public transport is not feasible.

Whether a taxi is being charged to the account or being reimbursed on foot of a receipt, staff are regularly asked to explain the reason why a taxi was required or are asked for an explanation in regard to the cost. My Department is housed in six separate offices in Dublin city and taxis are used by staff to move IT equipment, lodge cash in the bank or to move boxes, crates and in some cases small items of furniture. Staff may also use taxis where there is a perceived risk to personal safety (e.g. when arriving/departing at unsociable hours), or where there is a likelihood of missing a flight or where it is not practical to use public transport due, for example, to the location of the hotel or meeting room.

Departmental Staff Data

Ceisteanna (555)

Dara Calleary

Ceist:

555. Deputy Dara Calleary asked the Minister for Jobs, Enterprise and Innovation the number of press officers in his Department; the number of press officers in each agency under his auspices; the total cost of press officers in his Department and in agencies under his auspices; and if he will make a statement on the matter. [37344/12]

Amharc ar fhreagra

Freagraí scríofa

The Press Officer function in my Department is performed by a Departmental civil servant at Higher Executive Officer level. The salary scale for the officer concerned is: €46,426 - €57,251. In addition, I have a Press Advisor who provides advice to me as Minister for Jobs, Enterprise and Innovation on press and communications matters. The salary scale for this officer is: €80,051 - €92,672. Staffing of the Agencies, under the auspices of my Department, including the posts of Press Officer and associated costs, is a day to day matter for the agencies. I have asked the Agencies to respond directly to the Deputy.

Appointments to State Boards

Ceisteanna (556)

Dara Calleary

Ceist:

556. Deputy Dara Calleary asked the Minister for Jobs, Enterprise and Innovation the total number of board appointees he has made since he came to office; the names, salaries and expenses of each; and if he will make a statement on the matter. [37360/12]

Amharc ar fhreagra

Freagraí scríofa

In line with the requirements of the Code of Practice for the Governance of State Bodies, details of Board members, including remuneration and expenses paid from 2009 onwards, can be sourced from the annual reports of the agencies concerned. However, to the extent that information on remuneration and expenses of these Board members is immediately available to me, I have included it in this reply. In all cases, expenses are set in accordance with Department of Finance guidelines.

Since I came into Office, the following Board appointments have been made:

Health and Safety Authority (HAS)

Mr John Newham, a Principal Officer in my Department, was appointed to the Board of the Health and Safety Authority on 10 April 2012. He does not receive any fees or expenses.

Shannon Development

Mr Stephen Curran, a Principal Officer in my Department was appointed to the Board of Shannon Development on 23 February 2012. Mr Curran does not receive any remuneration in respect of this appointment. Since his appointment, Mr Curran has received expenses amounting to €1,148.87.

Forfas

I have made two appointments to the board of Forfás. Mr John Murphy, Secretary General of my Department, and Professor Mark Ferguson, Director General, Science Foundation Ireland, were appointed on 18 January 2012. No board fees are payable in respect of either of these appointments and no expenses have been paid to date in respect of either appointment.

National Standards Authority of Ireland Board (NSAI)

Ms Barbara O’Leary and Mr Terry Landers were appointed to the Board of NSAI on 6th March 2012. Both appointments were publicly advertised and Ms O’Leary and Mr Landers both applied through the expressions of interest process. Mr Landers has waived his fee and, as a public servant, Ms O’Leary is not entitled to a fee.

Two staff representatives, Ms Anne Clarke and Mr Kierán Cox, were appointed on 14 April 2012 following an open election within the agency. Neither of the two staff representatives is entitled to a fee and no expenses have been paid to date.

Competition Authority

While it does not have a typical board structure, the Competition Authority consists of a Chairperson and up to four other members who act as an executive board. The Competition Acts 2002 to 2010 set out the requirements pertaining to appointments to the Authority.

I re-appointed Mr Declan Purcell as Chairperson of the Competition Authority on 1 July 2011. Following his retirement, I appointed Ms Isolde Goggin as Chairperson with effect from 1st October 2011 following her selection by the Public Appointments Service (PAS) through which the recruitment was administered.

I appointed Ms Noreen Mackey and Mr David McFadden as temporary members of the Authority in July 2011 and I subsequently re-appointed both from 1st October. On 9th August 2011, I re-appointed Mr Ciarán Quigley as a temporary member of the Authority. These temporary members were re-placed by Mr Stephen Calkins on 01 December 2011, Mr Gerald FitzGerald on the 5 December 2011 and by Mr Patrick Kenny whom I appointed on 9 January 2012.

The Chairperson of the Authority is paid at a salary level equivalent to Deputy Secretary General Grade while members are paid a salary equivalent of the Assistant Secretary grade.

Irish Auditing and Accounting Supervisory Authority

Seven appointments were made to the Irish Auditing and Accounting Supervisory Authority (IAASA).

Mr Dave Martin and Mr Kevin O’Donovan were both appointed as nominees of the Prescribed Accountancy Bodies on the 26 May 2011. On 3 January 2012, I appointed Ms Sylvia McNeece of the Irish Pension Board, Ms Deirdre Behan of the Revenue Commissioners, Ms Mairead Devine of the Central Bank, Ms Marie Daly of the Irish Business and Employers’ Confederation and Mr Sean Hawkshaw of the Irish Association of Investment Managers. These appointments were made in compliance with the Companies (Auditing and Accounting) Act 2003.

On 8 March 2012, I appointed Mr Conor O’Mahony of the Office of the Director of Corporate Enforcement. As a public servant, Mr O’Mahony does not receive a fee.

Ms Muireann O'Neill was appointed to the board of IAASA on 1 September 2012. She receives a fee of €7,695 per annum.

National Consumer Agency

In November 2011, Ms Isolde Goggin, Chairperson of the Competition Authority, was also appointed to the Board of the National Consumer Agency. Ms Goggin is Chairperson designate of the new body which will be established on foot of the merger of the Competition Authority and the National Consumer Agency.

Mr Stephen Costello, Chairman and Mr Robin O'Sullivan were both reappointed to the Agency with effect from 1 May 2012 and 6 May 2012 respectively.

Ms Colleen Savage and Mr Eugene Gallagher were appointed to the Board of the National Consumer Agency on 6th May 2012.

As a Category 2 State Body, the NCA Chair is entitled to a fee of €20,520 while board members are entitled to a fee of €11,970. Ms Goggin as Chairperson of the Competition Authority does not receive a fee.

PIAB

Five appointments were made to the Personal Injuries Assessment Board (PIAB) since March 2011. Ms Ann Fitzgerald was reappointed on the 8 September 2011 in her capacity as Chief Executive of the National Consumer Agency.

Ms Breda Power, an Assistant Secretary in my Department was appointed on 26 October 2011 as the Department’s representative. She does not receive a fee.

I also appointed Mr Martin Naughton on 5 April 2012 and Dr Fionnuala O'Loughlin and Mr John Lynch in the 1 August 2012. These appointments followed a request for expressions of interest through the Public Appointments Service.

Fees paid to board members are contained in PIAB’s Annual Reports. No expenses were paid to board members in 2011.

Science Foundation Ireland (SFI)

I re-appointed Prof Rita Colwell and Prof Martina-Newell McGloughlin to the SFI Board with effect from 26 July 2011. Board fees of €11,307 were paid to both in respect of 2011.

Professor Mark Ferguson was appointed to the Board of Science Foundation Ireland on 16th January 2012 on his commencement in the post of Director General of the Foundation. No board fee is applicable.

I also appointed Mr. Dermot Curran, Assistant Secretary at the Department of Jobs, Enterprise and Innovation to the SFI Board with effect from 1 September 2012. As a serving public servant a Board Fee is not applicable to Mr. Curran. The above appointments were each approved by the Minister for Public Expenditure and Reform, and followed consultation with the Minister for Education and Skills.

InterTrade Ireland

The InterTradeIreland Board expired on the 12th December 2011. With effect from 13th December 2011, I appointed Mr Martin Cronin, Mr John Corbett, Mr Kevin Norton and Ms Mairead Sorenson to the Board.

InterTradeIreland Board members receive annual fees. These fees are at levels set by the North South ministerial Council. The fees and expenses paid to date to the current Board members from the Republic of Ireland are set out below.

Board member

Annual fees

Expenses paid to date

Martin Cronin

€11,970

-

Joanne Spain

€9,830

€567.35

Brendan Butler

€7,695

-

Kevin Norton

€7,695

€710.62

Mairead Sorensen

€7,695

€529.96

John Corbett

€7,695

-

Industrial Development Authority

Since I came to Office, I have made the following appointments to Board of the IDA Ireland - Mr Alan Gray (25 January 2012), Ms Mary Campbell (6 February 2012), Peter Cassells (25 May 2012) and Mr Dermot Curran of my Department. Since their appointment, fees paid to Ms Campbell have totalled €6,811 while fees paid to Mr Cassells have totalled €3,218. Fees have not been paid to the other two appointees.

Departmental Expenditure

Ceisteanna (557)

Dara Calleary

Ceist:

557. Deputy Dara Calleary asked the Minister for Jobs, Enterprise and Innovation if he will detail, in tabular form, the total photography costs for his Department since coming to office inclusive of costs incurred from use of the ministerial allowance; the occasions for which photographers were booked; the photographers used; the breakdown of costs associated with each occasion that a photographer was used; if there is a policy regarding the booking of photographers within his Department; and if he will make a statement on the matter. [37376/12]

Amharc ar fhreagra

Freagraí scríofa

I can advise the Deputy that the total photography costs incurred by my Department since coming to office are €5,079. The list of occasions for which photographers were booked, the photographers used and the breakdown of costs is detailed in the following table. No expenditure for photography was incurred from ministerial allowances.

Occasion for which Photographer was booked

Name of Photographer

Breakdown of costs associated with each occasion

Small Business Advisory Group Launch

Mac Innes Photography Ltd

€409

Irish Ambassadors for Female Entrepreneurship

Mac Innes Photography Ltd

€223

One millionth Document Filed Online at the Companies Registration Office

Jason Clarke Photography

€484

ministerial image shot for Repeat use

Mac Innes Photography Ltd

€245

Launch of the Final Report of the Sales Law Review Group

Mac Innes Photography Ltd

€386

Launch of Research, Prioritisation Report

Jason Clarke Photography

€492

Launch of Action Plan for Jobs

Mac Innes Photography Ltd

€438

Action Plan for Jobs Roadshow, Cork

B.L. macGill Photography

€200

Capital Investment Announcement

Mac Innes Photography Ltd

€284

Action Plan for Jobs Roadshow, Limerick

Press22

€312

Launch of the Report of “The Voice of Small Business”

Mac Innes Photography Ltd

€284

Action Plan for Jobs Roadshow, Waterford

Gerry O’Carroll Photography

€298

Launch of I.P. Protocol

Fennell Photography

€301

Launch of Business Regulation Portal

Fennell Photography

€301

Establishment of Clustering Development

Fennell Photography

€331

“Managing out of the Crisis” Guide

Fennell Photography

€91

The Department uses external photographers sparingly and, with a view to keeping costs to a minimum, the Department regularly uses its own facilities and staff to take photographs in-house. My Department is also availing of the panel of photography firms, recently selected following a procurement process undertaken by the Department of Foreign Affairs and Trade and which is generally available for use by all Departments.

County and City Enterprise Boards Funding

Ceisteanna (558)

Dara Calleary

Ceist:

558. Deputy Dara Calleary asked the Minister for Jobs, Enterprise and Innovation if he will provide in tabular form the budget for each county and city enterprise board, the budget in 2012; if funding has changed since the budget; and if he will make a statement on the matter. [37385/12]

Amharc ar fhreagra

Freagraí scríofa

Budget 2012 contains details of the overall funding available to my Department which is not broken down on an individual County and City Enterprise Board (CEB) basis. There has been no change to this figure since the Budget. In Budget 2012, the CEBs received an Exchequer Capital Allocation of €15 million towards the provision of grants and soft supports to the micro-enterprise sector. Individual CEB Capital Allocations were then made by the CEB Central Coordination Unit (CCU) based within Enterprise Ireland early in the first quarter of 2012 in line with established allocation criteria.

In determining the allocations to individual CEBs a systematic approach is adopted by the CCU to ensure the maximum degree of objectivity and equity of treatment. This approach involves the provision of funding on the basis of a standard allocation to each CEB as well as an extra allocation that is determined mainly by population but which also takes account of issues such as local unemployment trends, capacity to spend, existing commitments and regional spread.

As in previous years, should additional funding be required and become available from savings elsewhere in the Department, full consideration will be given to making extra Capital funding available to the CEBs during the course of the year. Individual Budget Allocations requested by the Deputy are set out in tabular format below.

CEB NAME

Capital Allocation

Carlow

€ 346,965.00

Cavan

€ 364,645.00

Clare

€ 407,068.00

Cork City

€ 409,022.00

Cork North

€ 380,316.00

Cork South

€ 526,614.00

Cork West

€ 361,083.00

Donegal

€ 449,521.00

Dublin City

€ 814,462.00

Dublin South

€ 550,008.00

Dun Laoghaire

€ 493,928.00

Fingal

€ 557,601.00

Galway

€ 535,903.00

Kerry

€ 434,215.00

Kildare

€ 496,781.00

Kilkenny

€ 386,320.00

Laois

€ 371,956.00

Leitrim

€ 311,398.00

Limerick City

€ 349,131.00

Limerick County

€ 424,074.00

Longford

€ 331,965.00

Louth

€ 412,777.00

Mayo

€ 420,242.00

Meath

€ 471,795.00

Monaghan

€ 352,712.00

Offaly

€ 368,536.00

Roscommon

€ 355,993.00

Sligo

€ 357,316.00

Tipperary North

€ 362,086.00

Tipperary South

€ 379,643.00

Waterford City

€ 339,461.00

Waterford County

€ 358,944.00

Westmeath

€ 377,260.00

Wexford

€ 434,432.00

Wicklow

€ 425,926.00

Total

€ 14,720,099.00

Job Expansion Fund

Ceisteanna (559)

Dara Calleary

Ceist:

559. Deputy Dara Calleary asked the Minister for Jobs, Enterprise and Innovation the level of funding available for the job expansion fund and the competitive start fund in 2011; if this has changed since the budget; if the conditions have changed since the budget; and if he will make a statement on the matter. [37386/12]

Amharc ar fhreagra

Freagraí scríofa

The objective of the Job Expansion Fund is to assist Enterprise Ireland client companies with significant growth potential achieve increased employment. A company can obtain grant support up to a maximum of €150,000 towards the recruitment of new employees. Under the Fund, commitments of €4.7m were made for 2011. The Job Expansion Fund is continuing along similar lines and so far in 2012, funding of €4.7m has been approved.

The Competitive Start Fund is focused on accelerating the growth of Lifesciences, Cleantech and Industrial start-up companies that have the capability to succeed in global markets. The Fund is designed to enable those companies reach their key commercial and technical milestones. The Fund is a competitive one with 4 calls for applications in 2011 and 3 calls to date in 2012 with a fourth call scheduled for the end of September.

In 2011 €2.75m was available in equity support and €96,250 in mentor support. The full amount was approved with 55 companies supported. In 2012, €3m has been made available in equity support and €105,000 in mentor support. It is expected that 60 companies will be supported under the Competitive Start Fund in 2012.

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