Written Answers Nos. 1-25
11. Deputy Terence Flanagan asked the Minister for Jobs, Enterprise and Innovation if he will ensure the necessary support is provided by his Department to the workers at a company (details supplied) in Dublin; and if he will make a statement on the matter. [28407/15]
Amharc ar fhreagraImmediately after the announcement by the company concerned, I established an inter-agency group to coordinate the response to the proposed job losses.
The group, chaired by Enterprise Ireland, is seeking to secure alternative employment for the area affected and to ensure that departing workers have access to supports they need from State agencies for retraining, access to social welfare supports, access to advice on employment rights and access to advice and support for those workers who intend to start their own businesses. The group includes Local Enterprise Offices, IDA Ireland, Solas, Education and Training Boards, Department of Social Protection, MABS, Northside Partnership and the Citizens Information Bureau.
Enterprise Ireland has been in contact with the company on a continual basis regarding the assistance it could provide for restructuring to minimise job losses. I have also had discussions with Mondelez at senior executive level and the company has committed clearly to me that it will invest in its operation here with the aim of achieving best in class production process.
Enterprise Ireland have met with representatives of the workers and provided information to help them formulate a counter proposal to the company. Officials in Enterprise Ireland also met with Irish management and asked them to give serious consideration to the proposals being put forward by the workers.
I also understand that management and employee representatives continue to discuss various aspects of restructuring at the plant and the Inter-Agency group and the Labour Relations Commission are available to assist in whatever way possible.
I have already directed Enterprise Ireland and IDA Ireland to step up their efforts to find alternative projects for the area affected.
Enterprise Ireland continues to work with the company to sustain its operations in Ireland and support any proposals that the company bring forward that would maintain or increase employment in Ireland.
I continue to monitor this situation very closely.
12. Deputy Thomas Pringle asked the Minister for Jobs, Enterprise and Innovation if he will provide an update on the Regional Action Plan for Jobs 2015 for the Border region, which includes Donegal and which is due for publication this month; and if he will make a statement on the matter. [28658/15]
Amharc ar fhreagraSince the start of the national Action Plan for Jobs process in 2012, employment across the economy as a whole has increased, and has exceeded the Government's initial target of having 100,000 people at work by 2016.
However, we are conscious that not all regions are yet fully experiencing the benefits of the recovery. While the national Unemployment Rate now stands at 9.7%, some areas - including the Border region – still have an Unemployment Rate above that level. The Unemployment Rate for the Border region was 10.2% in the latest Quarterly National Household Survey published by the CSO.
To accelerate progress on the jobs agenda in the regions, last February, along with the Taoiseach and the Tánaiste, I announced details of the Action Plans for Jobs: Regional initiative which will build on the national Action Plan process and produce eight Regional Action Plans at NUTS III level.
An EI or IDA Regional Manager has been designated in each region to lead a Project Delivery Team comprising the public sector bodies in the region. The role of the Project Delivery Team is to help develop actions that can build on the strengths and opportunities of the region and to facilitate engagement with other regional stakeholders.
The Project Delivery Team for the Border region was established in March and two wider Stakeholder events were held in the region – one in Sligo on 26th March, and the second in Carrickmacross on 13th April. In total, over 250 people from the enterprise sector and the public sector attended these two events. Several hundred ideas for job creation emerged from these Stakeholder engagements. My Department, along with the Regional Project Delivery Team, has been working through the proposals to identify those with the greatest potential for inclusion in the Action Plan for Jobs for the Border region. Further follow-up engagement will be necessary with key regional stakeholders and with relevant Government Departments and agencies to finalise the actions and agree a timeline for their delivery.
The first two regional Action Plans for Jobs, covering the Midlands and the South West regions, were published in the last two weeks. My initial objective was that the Action Plan for the Border region would be published by the end of this month. However, as the Deputy is aware, the Border region has a number of unique characteristics which we are keen to ensure are properly addressed in finalising the actions in the Plan. These include the wide geographical spread of the region, the distinct and different offerings of the North West and the North East of the region, and the trading relationship with the economy in Northern Ireland.
It is important that all of these factors are reflected in the Action Pan for Jobs for the Border region. I now expect that the Plan for the Border region will be completed in September.
13. Deputy Richard Boyd Barrett asked the Minister for Jobs, Enterprise and Innovation his views on the ISDS, or investor-state dispute settlement, as part of the transatlantic trade and investment partnership, through which corporations are able to sue governments for passing laws that threaten their profits and do not abide by the same rules as national court systems; his further views regarding the possible cost to the Exchequer; and if he will make a statement on the matter. [28662/15]
Amharc ar fhreagraThe aim of the EU-US trade negotiations is to reduce barriers to trade in order to promote jobs and investment. Because of our close trading links with the United States, Ireland would be a major beneficiary of such an agreement. The independent study commissioned by my Department carried out by Copenhagen Economics estimates that the benefits in Ireland would be proportionally greater than in the EU as a whole, with a boost to GDP of 1.1%, which equates to about €2.4 billion. This would represent a benefit of more than €1,200 per family. The study points to particular opportunities in Pharmaceuticals, Medical devices, Food (especially dairy), Software and Public Procurement.
The EU Commission's mandate to negotiate with the United States provides that a mechanism for settling investor-state disputes could be included in a negotiated agreement, but that it would only be included if it met EU interests.
Investment protection agreements have not been a feature of Ireland's trade and investment policy because of the strong protection for investors under the Irish Constitution. But all other EU Member States have them, and 9 Member States have them with the US. The EU-US agreement would replace these.
The EU views this as an important opportunity to reform the system and to establish a model of arbitration for settling disputes under international investment agreements that would set new high standards, building on the significant reforms included in the EU-Canada agreement. Some of the key principles of this reform include:
- Full protection for the right of Member States and their Parliaments to regulate in areas of public policy such as social, employment, environment, public health and safety issues;
- Cases could only be taken where there is denial of justice, a fundamental breach of process, targeted discrimination on manifestly wrong grounds, or manifest arbitrariness;
- Provision for the prior selection of the arbitrators by the EU and US sides from amongst persons qualified to be judges, with clear rules governing the arbitration process;
- An appeals mechanism; and
- Rules preventing investors from running cases both in the dispute settlement process and in the Courts.
The EU Commission has conducted widespread consultations to ensure that legitimate public concerns will be fully dealt with in any approach adopted.
These improvements are aimed at addressing the concerns with older investor dispute settlement agreements in order to create a new modern system of investment arbitration.
The inclusion of an acceptable model of ISDS would provide a common approach across the 28 Member States and at federal and state level in the US.
14. Deputy Peadar Tóibín asked the Minister for Jobs, Enterprise and Innovation his plans to introduce legislation to prohibit the practice of trade union representative blacklisting by employers. [28667/15]
Amharc ar fhreagraI am not aware that there is a practice of trade union representative blacklisting by employers in Ireland. I would consider blacklisting of workers for whatever reason as an unacceptable practice – particularly if it arose in relation to workers exercising their rights to take part in trade union activities.
The Deputy will be aware that there are already legislative protections in place where workers are victimised by an employer for trade union activity.
Section 6(1) of the Unfair Dismissals Act 1977 (as amended) provides that, in general, a dismissal shall be deemed to be unfair unless an employer can prove that there were substantial grounds justifying the dismissal. In addition, Section 6 also deems certain dismissal situations to be unfair as well as outlining certain criteria on which dismissals may be adjudicated as fair. One of the types of dismissal situations deemed to be unfair is referred to in Section 6(2)(a) of the Act which indicates that a dismissal is unfair where it can be shown that the dismissal resulted wholly or mainly from an employee's trade union membership or activities, either where those activities take place outside working hours or at those times during working hours when permitted by the employer. While, in general, an employee must have been in the same employment for at least a year in order to bring a claim for unfair dismissal under the Unfair Dismissals Acts, one of the exceptions to the one-year service requirement includes dismissals falling under section 6(2)(a) of the Act.
In addition, the Industrial Relations Act 1990 (Code of Practice on Victimisation) (Declaration) Order 2004 provides that where there is a dispute in an employment where collective bargaining fails to take place and where negotiating arrangements are not in place, no person, be they union representative, individual employee or manager, should be victimised or suffer disadvantage as a consequence of their legitimate actions or affiliation arising from that dispute. A procedure for addressing complaints of victimisation in such cases is set out the Industrial Relations (Miscellaneous Provisions) Act 2004. A complaint for breach of this legislation may be presented to a Rights Commissioner who can enforce rights breached.
The Industrial Relations (Amendment) Bill 2015 which is expected to complete its passage through the Houses of the Oireachtas tomorrow and be enacted shortly thereafter provides for enhanced protection for individuals who are victimised as a result of invoking the provisions of the 2001/2001 Industrial Relations Acts through a trade union or for acting as a witness or comparator for those provisions.
If there is evidence that this is a widespread practice – and to date I do not have such evidence on the matter – I will be happy to consider the matter further with both sides of industry.
If the Deputy has any information regarding blacklisting of workers in Ireland, he might bring it either to my attention or to the Data Protection Commissioner.
15. Deputy Peadar Tóibín asked the Minister for Jobs, Enterprise and Innovation if he consulted with his Department's advisory group on small business on the impact of attachment orders on small and micro-businesses. [28665/15]
Amharc ar fhreagraAs the Deputy is aware the purpose of the Advisory Group on Small Business (AGSB) is to give a greater voice in the development of policy to SMEs and to advise me as Minister on issues of relevance to SMEs. In addition to this, the Group provides on-going assistance and advice to relevant Government Departments and Agencies on any issues affecting SMEs by identifying those issues that impact on the growth and development of SMEs, suggesting priorities and examining possible solutions.
The AGSB was reconstituted late last year and now includes members from the farming community and the start-up community, in addition to the SME representative organisations.
The issue of attachment orders has not been raised by any member of the AGSB. However, officials from my Department have recently raised the issue of the enforcement of debt by means of attachment of earnings and the implications for business and employers with Irish Water through the Irish Water Stakeholder Forum, and are currently awaiting a response.
16. Deputy Clare Daly asked the Minister for Jobs, Enterprise and Innovation if he is aware of employers dismissing employees with long service as a cheaper option than giving a severance package; his plans to address this matter; and if he will make a statement on the matter. [28416/15]
Amharc ar fhreagraThe Deputy will understand that I cannot provide legal advice in relation to the law applying to any particular situation, or the interpretation of legislation. Independent legal advice should be sought if an individual has concerns about a specific employment situation.
The National Employment Rights Authority (NERA) provides general information on employment, equality & industrial relations legislation, through the Workplace Relations Customer Service and Information Unit. It can be contacted at Lo-call: 1890 80 80 90 or via its website www.workplacerelations.ie.
The Unfair Dismissals Acts 1977 to 2007 lay down criteria by which the fairness or otherwise of dismissals are adjudicated upon. While the Acts provide for some potentially-fair reasons for dismissal, the onus is generally on the employer to show that there were substantial grounds justifying the dismissal. Under the Unfair Dismissals Acts, each case is adjudicated upon its merits and on the particular facts of the case. Generally, there is a requirement to have at least one year's continuous service in order to take a case under the Acts. The normal time limit of 6 months for submitting a claim for redress for unfair dismissal may be extended to 12 months in exceptional circumstances.
Dismissal in circumstances where a genuine redundancy situation exists is regarded as one of the fair reasons for dismissal under the Unfair Dismissals Acts although unfair selection for redundancy is regarded as an unfair dismissal under those Acts. However, where an employee has been dismissed due to a genuine redundancy situation, an employee who has at least two years' continuous service will be entitled to a statutory redundancy payment under the Redundancy Payments Acts 1967 to 2014. The amount of the statutory redundancy payment is based on the employee's length of service, and is calculated at 2 weeks' pay per year of service plus a bonus week, subject to a wages cap of €600 per week. Where an employer disputes an employee's entitlement to a statutory redundancy payment, an employee may take a case to the Employment Appeals Tribunal under the Redundancy Payments Acts, and the Tribunal will make a determination on the matter.
Any arrangement for a redundancy payment over and above the statutory redundancy amount is a matter for negotiation and agreement between the parties which, where the parties so request, may be assisted by the industrial relations machinery of the State via the Labour Relations Commission or the Labour Court. I would encourage any parties who are in dispute with regard to extra-statutory redundancy terms, and where it is not possible to resolve the matter locally, to avail fully of the services of these bodies.
I should mention that the relevant adjudicatory bodies for cases referred under the Unfair Dismissals Acts and the Redundancy Payments Acts after the commencement of the Workplace Relations Act 2015 will be an Adjudication Officer of the new Workplace Relations Commission and, on appeal, the Labour Court.
17. Deputy Mick Wallace asked the Minister for Jobs, Enterprise and Innovation if he will provide a breakdown of the State funding his Department has awarded to foreign private companies in 2011, 2012, 2013, 2014 and in 2015 to date; if he will provide a breakdown of the State funding his Department has awarded to indigenous private companies in 2011, 2012, 2013, 2014 and in 2015 to date; and if he will make a statement on the matter. [28652/15]
Amharc ar fhreagraThe total grants paid to IDA's foreign owned client companies in each of the years from 2011 to 2014 are as follows: 2011, €96,757,220; 2012, €89,326,201; 2013, €87,951,297; and 2014, €88,439,463.
Grants paid to IDA Ireland companies for 2015 to date will not be available for publication until auditing is complete in due course.
The total grants paid by Enterprise Ireland's client companies, the vast majority of which are indigenous but include a very small number of foreign companies in the food and drink sector, in each of the years from 2011 to 2014 are as follows:
In 2011, €105,577,468 was paid; in 2012, €103,029,340; in 2013 €89,401,304 and in 2014, €91,249, 803. Payments made to date in 2015 amount to €35,526,447.
It should be noted that these payments by Enterprise Ireland exclude payments to Employment Subsidy Scheme recipients, Infrastructural clients, Shannon Free Zone Transfers and Community Enterprise Centres.
Information in relation to the amount of State funding awarded to indigenous private companies by the County Enterprise Boards/Local Enterprise Offices (LEOs) from 2011 to 2014 is as follows:
In 2011, a total of €12,238,911 was paid; in 2012, €12,169,632; in 2013, €11,496,596 and in 2014 a total of €10,931, 992 was paid. Details in respect of LEO payments for 2015 to date are not yet to hand.
In relation to payments by all these bodies it should be appreciated that Grants paid in a particular year are not necessarily linked to either the investments won or the jobs created in that year.
18. Deputy Dara Calleary asked the Minister for Jobs, Enterprise and Innovation if he is aware of the delays in obtaining approval from the National Standards Authority of Ireland for products produced at a company (details supplied); and if he is aware that this company is losing exports to the UK due to the six-week wait for a compliance certificate from the NSAI. [28671/15]
Amharc ar fhreagraThe responsibility for the EU Directive 2007/46/EC governing motor vehicles type approvals lies with the Department of Transport, Tourism and Sport, and its Agency, the Road Safety Authority. The National Standards Authority of Ireland (NSAI) is the Irish approval authority for this and related Directives.
Since the beginning of the year NSAI received 3108 Individual Vehicle Approval (IVA) applications and has completed 2843. As of 9 July 2015, 196 files are in the processing system. The average number of weeks that these applications have been in process is 3.5 weeks.
35 applications were received from the company in question since January 2015. 24 of these have now been approved and 11 are in the process of approval. A number of applications are awaiting responses to queries which need to be addressed before approval can be completed.
The processing time reflects the technical nature of the approvals process, the increased registration of new vehicles at the start of the year and at the mid-year registration cycle and, in that context, the requirement on industry to build in an adequate provision for the automotive approvals timescale. Applications for certification are processed by the NSAI on a first come, first served basis.
In response to the increasing workload, the NSAI tendered in 2014 for an Alternative Service Delivery (ASD) through the provision of external technical assessors, which commenced from January 2015.
Due to the regulatory and technical nature of the assessment process, it was not possible to rapidly increase processing capacity as the sourcing, training and induction of engineers takes a period of approximately 6 months before they become competent in the approvals process.
In recent weeks, NSAI have introduced a new IT system to help manage applications and workloads. The new system will allow tracking of applications through all stages of the application phase to final completion of approval. In addition, the NSAI is carrying out training of appointed test centres (or ATC's) – as agreed with the Department of Transport, Tourism and Sport and the Roads Safety Authority - in order that they can work closely with applicants to clarify the test and inspection requirements which are leading to delays in processing approvals.
By the end of October, the NSAI expects to operate consistently to the two weeks target that the NSAI has set for all vehicle categories and sustain it thereafter, with the possible exception of the January/February surge of new certification applications.
It is important to remember that when incomplete application forms are queried by the NSAI, this can cause long delays in processing times. Another contributing factor is the delay in separate approvals processes for different types of commercial vehicles which is outside the NSAI's control. It is therefore important that companies stay in regular contact and work closely with the NSAI regarding their applications and any queries arising.
19. Deputy Michael Moynihan asked the Minister for Jobs, Enterprise and Innovation his response to the recent family carers' scorecard which claims his Department has yet to engage with the national carers strategy. [28655/15]
Amharc ar fhreagraThe National Carers' Strategy published in 2012 by the Department of Health, sets out the strategic direction for policies, services and supports provided for carers. This strategy, prepared in consultation with carers, established the key priorities to support carers given scarce resources and a Carers' Forum is held annually to continue to give carers a voice at policy level.
The Family Carers' Scorecard refers to the role assigned to my Department under the National Carer's Strategy to support carers who wish to return to work.
The Department of Social Protection is the lead Department in supporting carers in returning to the workforce. That Department actively promotes its services, including the Carer's Benefit Scheme, through its network of Local Offices and Citizens Information Offices. That Department is committed under the National Carer's Strategy to publicise the supports available to carers, and attends events to promote the schemes available. The Department of Social Protection facilitates the annual Carer's Forum and frequently liaises with carers support groups throughout the country. Detailed information on Carer's Benefit and Carer's Leave is available on that Department's website at www.welfare.ie.
My Department's responsibilities in this area are limited to the Carer's Leave Act 2001, policy responsibility for which will transfer later this year from the Minister for Jobs, Enterprise and Innovation to the Minister for Justice and Equality in line with proposals to consolidate all family leave in a single statute.
My Department, through the information and support services for employees and employers available at www.workplacerelations.ie will continue to provide information on employment rights, including the Carer's Leave Act 2001. Further, the reform of the workplace relations structures and procedures, which is provided for in the Workplace Relations Act 2015, aims to deliver a more efficient, cost-effective and user-friendly workplace relations service. The new structures and procedures also aim to provide for improved means of redress and enforcement within a reasonable period to the benefit of all who seek to vindicate their employment rights, including carers.
20. Deputy Dara Calleary asked the Minister for Jobs, Enterprise and Innovation the reason the remit for a study to carry out a report on zero-hour contracts was limited to a consideration of contracts for under eight hours; and if he will make a statement on the matter. [28670/15]
Amharc ar fhreagraIn preparing the Request for Tender for the Zero Hours and Low Hours Study, it emerged that there is no commonly used definition of low hours work, or indeed a common understanding of what constitutes a Zero Hours Contract. This is evidenced by the difficulties which have been encountered in the UK in compiling official data on the prevalence of Zero Hours Contracts. The 8 hour contracts specified in the Request for Tender appeared, from the limited literature available on the subject and from anecdotal evidence, to represent a typical low hours contract. It is not being treated as a limit in the context of the study underway.
In fact, the lack of a common understanding as to what constitutes Zero Hours and Low Hours Contracts was a key driver behind this Government's decision, set out in the July 2014 Statement of Priorities, to commission a study into the prevalence of such contracts and their impact on employees.
As the Deputy is aware, I commissioned the University of Limerick to undertake the Study following a competitive tendering process. The study has a broad scope, covering both the public and private sectors, with a particular focus on the retail, hospitality, education and health sectors. It will fill the gap in knowledge that currently exists in terms of the hard data and information that is available concerning the prevalence of zero hour and low hour contracts in the Irish economy. The study will examine how such contracts operate in practice and assess the advantages and disadvantages from the perspective of employer and employee. It will also assess the current employment rights legislation as it applies to employees on such contracts, and consider recent developments in other jurisdictions, including the UK in particular. The findings will enable me to make any evidence-based policy recommendations to Government considered necessary on foot of the study.
A key element of the study has been stakeholder involvement, as specified in the Request for Tender. I was especially keen to ensure that a wide range of stakeholders would be canvassed to contribute to the study, so as to ensure that a full picture of what constitutes “low hours” in reality will emerge. Without in any way pre-empting the outcome of the study, I am confident that this approach will ensure that the study will provide us with a meaningful picture of low hours contracts “on the ground” which will not be limited by the figure of eight hours specified in the Tender document.
The Deputy will appreciate that I cannot anticipate the outcome of the study, which I expect will be completed shortly, or the Government's consideration of same.
21. Deputy Clare Daly asked the Minister for Jobs, Enterprise and Innovation if he will bring forward legislation to insert a social responsibility clause into the Insolvency Act and the Companies Act, to ensure the rights of workers are protected. [28631/15]
Amharc ar fhreagraIreland has a robust suite of employment rights legislation, which offers extensive protections to employees. The protections enshrined in legislation are underpinned by the National Employment Rights Authority's (NERA) proactive labour inspectorate. In addition, NERA's Information Unit has been restructured and expanded to form a new Workplace Relations Customer Service Section, which provides information in relation to employment, equality and industrial relations rights and obligations, and how to obtain redress where appropriate. NERA information officers are available to meet staff, either individually or collectively, to discuss their employment rights, including matters related to redundancy. The Workplace Relations Customer Service Section can be contacted at Lo-call: 1890 80 80 90. The website www.workplacerelations.ie also provides extensive information on employment rights.
In addition to the protections provided to employees under employment rights legislation, company law provides that the matters to which directors must have regard in the performance of their functions include the interests of the company's employees in general, as well as the interests of its members.
In light of the suite of employment rights legislation already in place, I have no plans to amend the Companies Act 2014 to insert a provision in relation to social responsibility.
Moreover, one of the key principles of Corporate Social Responsibility (CSR) which is shared at European level is that CSR is a voluntary approach by businesses and organisations which goes beyond compliance with regulatory requirements. Increasingly, good CSR practices are distinguishing the best companies from their competitors. CSR practices that are embedded as a genuine part of a company's values and operations can help enhance the company's profile and competitiveness.
I would encourage all companies to embrace the concept of CSR and integrate social and environmental concerns into their mainstream business operations. The Government's National Plan on Corporate Social Responsibility, “Good for Business, Good for the Community”, provides guidance and advice to companies who are interested in embracing CSR principles. The Plan is available on my Department's website, www.djei.ie.
Personal Insolvency legislation is a matter for my colleague the Minister for Justice and Equality and I have no direct function in relation to this legislation.
22. Deputy Michael Moynihan asked the Minister for Jobs, Enterprise and Innovation the progress made by his Department in the role assigned to it under the national carers strategy in supporting working carers and former carers who wish to return to the workforce. [28656/15]
Amharc ar fhreagraThe National Carer's Strategy published in 2012 by the Department of Health, sets out the strategic direction for policies, services and supports provided for carers. This strategy, prepared in consultation with carers, established the key priorities to support carers given scarce resources and a Carers' Forum is held annually to continue to give carers a voice at policy level.
The Family Carer's Scorecard refers to the role assigned to my Department under the National Carer's Strategy to support carers who wish to return to work and is critical of my Department for a lack of engagement.
The Department of Social Protection is the lead Department in supporting carers in returning to the workforce. That Department actively promotes its services, including the Carer's Benefit Scheme, through its network of Local Offices and Citizens Information Offices. That Department is committed under the National Carer's Strategy to publicise the supports available to carers, and attends events to promote the schemes available. The Department of Social Protection facilitates the annual Carer's Forum and frequently liaises with carers support groups throughout the country. Detailed information on Carer's Benefit and Carer's Leave is available on that Department's website at www.welfare.ie.
My Department's responsibilities in this area are limited to the Carer's Leave Act 2001, policy responsibility for which will transfer later this year from the Minister for Jobs, Enterprise and Innovation to the Minister for Justice and Equality in line with proposals to consolidate all family leave in a single statute.
My Department, through the information and support services for employees and employers available at www.workplacerelations.ie will continue to provide information on employment rights, including the Carer's Leave Act 2001. Further, the reform of the workplace relations structures and procedures, which is provided for in the Workplace Relations Act 2015, aims to deliver a more efficient, cost-effective and user-friendly workplace relations service. The new structures and procedures also aim to provide for improved means of redress and enforcement within a reasonable period to the benefit of all who seek to vindicate their employment rights, including carers.
23. Deputy Clare Daly asked the Minister for Jobs, Enterprise and Innovation if he has read the report of the living wage technical group; and whether he proposes to bring forward legislation to deal with this issue. [28630/15]
Amharc ar fhreagraI note that, in its latest report, the Living Wage Technical Group has calculated the Living Wage in Ireland for a single-adult household to be €11.50 per hour. The new figure represents an increase of 5 cent per hour over the 2014 rate.
The Living Wage concept is grounded in the idea that a person's wage should be sufficient to maintain a safe, decent standard of living. Of course, it is not isolated from a State's taxation and social support systems.
So, at an individual level the resources required to achieve a minimum essential standard of living is very dependent on family circumstances and thus the interaction of individual earnings with household income and State-provided supports such as Child Benefit, Family Income Supplement as well as those available in relation to housing, education and health.
In the UK, it is a voluntary code with which some employers, who already pay in excess of the UK national minimum wage, have become associated. The Living Wage concept there draws its strength from the fact that it is a grassroots civil society campaign. At present, around 1,500 separate employers across the country have endorsed the approach. In the UK the Living Wage Foundation has calculated the 2015 UK Living Wage as £7.85 and £9.15 for London.
In its recent Budget the UK Government applied a concept of a National Living Wage by which companies will be required to pay a minimum of £9 an hour by 2020, applying to workers over 25.
The National Minimum Wage (Low Pay Commission) Bill 2015 is expected to be enacted shortly. The Bill provides for the establishment of the Low Pay Commission whose main function will be, on an annual basis, to examine and make recommendations on the national minimum wage, with a view to securing that the national minimum wage, where adjusted, is adjusted incrementally over time having had regard to changes in earnings, productivity, overall competitiveness and the likely impact any adjustment will have on employment and unemployment levels. The Commission was established on an interim basis in February 2015 and I expect to receive its first recommendation on the minimum wage following the enactment of the legislation.
While I am on record as endorsing the concept of a Living Wage I would differentiate between the application of a mandatory National Minimum Wage and a societal movement that would see employers volunteer to pay what might be considered to be a Living Wage.
I intend to hold a Living Wage forum in the Autumn, to which civil society organisations, trade unions and, crucially, employers will be invited to discuss the concept of a Living Wage in Ireland and whether and how it can be applied here.
24. Deputy Thomas P. Broughan asked the Minister for Jobs, Enterprise and Innovation if he will report on the current status of the Cadbury-Mondelez jobs; his plans to boost jobs in Dublin Bay North; and if he will make a statement on the matter. [28410/15]
Amharc ar fhreagraImmediately after the announcement by the company concerned, I established an inter-agency group to coordinate the response to the proposed job losses.
The Inter-Agency group chairman and Enterprise Ireland representatives met with employee representatives of the Coolock plant on 19 May and provided them with information on the supports available to support business development proposals. However, I understand that the company has recently confirmed its rationalisation plans for the plant. I also understand that management and employee representatives continue to discuss various aspects and the Inter-Agency group and the Labour Relations Commission are available to assist in whatever way possible.
I have already directed Enterprise Ireland and IDA Ireland to continue their drive to find alternative projects for the area affected.
Enterprise Ireland continues to work with the company to sustain its operations in Ireland and support any proposals that the company bring forward that would maintain or increase employment in Ireland.
Employment growth continues to be the primary objective of this Government and we have been working hard to create the economic conditions which will support existing jobs as well as the creation of additional new jobs in Dublin Bay North.
Through the series of Action Plans for Jobs, this Government has focussed on creating a supportive environment for businesses operating in Ireland. We have already created well in excess of 100,000 new jobs since the first Action Plan for Jobs was launched in 2012.
The Government on 11 February 2015 announced details of a €250m Regional Enterprise Development Initiative aimed at accelerating economic recovery in every part of the country including North Dublin. Up to €100m of those funds will be made available through Enterprise Ireland (EI) and the LEOs over the next 5 years through a series of competitive funding initiatives in the broad areas of entrepreneurship, innovation, skills, enterprise infrastructure and job creation.
In terms of specific initiatives for job creation, Enterprise Ireland activity is focussed on continuing to work with established companies in its portfolio. The agency is also supporting entrepreneurs in manufacturing and internationally traded services companies who are setting up high potential start-up companies.
The LEOs are the “First-Stop-Shop” service assisting in delivering start-ups and growth in the micro-enterprise sector. As such, they are available to offer advice and support to anyone who wants to consider setting up their own business or to explore their options in this regard. I would urge such persons or anyone who is in danger of losing their job to make contact with their local LEO. Further information can be found on the LEO website at www.localenterprise.ie.
Any start-up or existing business can use the LEOs as a gateway to accessing finance from Micro Finance Ireland (MFI), which offers support in the form of loans of up to €25,000 to start-up, newly established or growing microenterprises employing less than 10 people with viable business propositions that do not meet the conventional risk criteria applied by the banks. The Fund available to MFI has a significant entrepreneurship focus and is open to anyone with a viable business proposal. Applications for the Microfinance Fund should be channelled through the local LEO.
IDA Ireland's Business Development Strategy for the Dublin region includes working closely with existing clients to retain and strengthen their presence through continued company transformation and aligning IDA business sectors with the region and its corresponding strengths to develop sectoral ecosystems as well as pursuing new areas of opportunity for IDA client companies. In this regard there is an increasing trend of foreign direct investment locating in larger urban areas. Dublin is an international-scale city and, as such, has a key role in attracting investment.
Finally, for anyone seeking information on Government supports to business, there are over 80 different Government supports for Irish start-ups and small businesses, which can now be accessed online. The “Supporting SMEs Online Tool” is a cross-governmental initiative to help Irish start-ups and small businesses navigate this range of Government business supports for which they could be eligible. It is available at: www.actionplanforjobs.ie
25. Deputy Mick Wallace asked the Minister for Jobs, Enterprise and Innovation if at any point in the transatlantic trade and investment partnership negotiation process to date, he has had, or has raised, any concerns regarding the widely reported implications of the partnership's investor-state dispute mechanism; and if he will make a statement on the matter. [28651/15]
Amharc ar fhreagraAccording to assessments made by the EU Commission, a comprehensive free trade agreement between the EU and the US could over time boost EU GDP by 0.5% bringing significant economic gains as a whole for the EU. This converts into 400,000 jobs across the EU. A study commissioned by my Department estimates that these benefits in Ireland will be proportionally greater than in the EU as a whole. It suggests a boost to GDP of 1.1%, growth in Irish exports of almost 4%, increases in investment of 1.5% and increase in real wages of 1.5%. It estimates somewhere between 5,000 and 10,000 additional export related jobs.
The EU Commission's mandate to negotiate with the United States on the Transatlantic Trade and Investment Partnership (TTIP) includes in the scope (paragraphs 22 and 23), investment protection and investor-state dispute settlement (ISDS). The stated aim of negotiations on investment is to negotiate investment liberalisation and protection provisions on the basis of the highest levels of liberalisation and highest standards of protection that both sides have negotiated to date. The mandate makes it clear that the inclusion of investment protection and ISDS will depend on EU interests being met and on the final balance of the Agreement. Importantly, the mandate states that the objectives of any investment protection provisions would be without prejudice to the right of EU and the member states to adopt and enforce measures necessary to pursue legitimate public policy objectives such as social, environmental, security, stability of the financial system, public health and safety in a non-discriminatory manner. This means that the type of investment arbitration system under TTIP will be a vast improvement on investment protection in existing Bilateral Investment Treaties, some of which date back to the 1950's. The Commission's Concept Paper, “Investment in TTIP and beyond – the path for reform”, published on 6 May, sets out the context for this reform and, building on the important progress that has been achieved in the investment agreements with Canada and Singapore, sets out four areas for further improvement: Governments' right to regulate, establishment and functioning of tribunals, relationship between national judicial systems and an ISDS system, and an appellate mechanism. These improvements are aimed at addressing the concerns with older investor dispute settlement agreements in order to create a new modern system of investment arbitration. The inclusion of an acceptable model of ISDS would provide a common floor across the 28 Member States and at federal and state level in the US. There have been no negotiations between the EU and the US on this issue since the EU Commission decided early last year to conduct a formal public consultation on ISDS in TTIP. I welcomed the decision in relation to the public consultation, and I have also welcomed the comprehensive work by the EU Commission in following up on the views expressed by stakeholders. Together with other EU Ministers I welcomed the proposed further reform of the system of investor state arbitration set out in the Commission's concept paper which was presented by the Commission at the meeting of Trade Ministers in Brussels on 7 May last.
