Written Answers Nos. 190-214
190. Deputy Mick Barry asked the Tánaiste and Minister for Enterprise, Trade and Employment if he will report on his engagement with the trade union movement in relation to issues regarding collective redundancy legislation reform. [28813/20]
Amharc ar fhreagraMinisters of State Robert Troy and Damien English jointly met with employer and union representative bodies on the 4th of November to begin a discussion on the legislative provisions that deal with redundancy and insolvency from both a company law and employment law perspective.
I understand that it was a positive and constructive meeting with stakeholders with a view to identifying whether there are gaps or weaknesses in either body of legislation. Officials have requested the views of the stakeholders in relation to specific issues arising, which will further inform our position. I understand that consultations and discussions are ongoing.
Ministers of State Troy and English continue to work with officials on a range of issues to advance matters.
191. Deputy Mick Barry asked the Tánaiste and Minister for Enterprise, Trade and Employment if he will consider increasing the minimum wage beyond the amount announced in budget 2021 to ensure it reflects a living wage; and if he will make a statement on the matter. [40070/20]
Amharc ar fhreagraThe Government accepted the recommendation of the Low Pay Commission to increase the national minimum wage to €10.20 per hour from 1 January 2021.
The Programme for Government includes a commitment to progress to a living wage over the lifetime of the Government.
Consideration is now being given to how best to take forward this initiative and I recently met with the Low Pay Commission to discuss options for progressing the commitment to progress to a living wage and the role the Commission can play in meeting this commitment.
The Programme for Government recognises the importance of the Low Pay Commission in ensuring that those who are in low-paid employment are valued. While the living wage initiative is being considered, the Government will continue to be guided by the recommendations of the Low Pay Commission with regard to any future changes in the minimum wage.
192. Deputy Mick Barry asked the Tánaiste and Minister for Enterprise, Trade and Employment if he will report on measures to implement the Duffy-Cahill report in relation to collective redundancies; and if he will make a statement on the matter. [40067/20]
Amharc ar fhreagraResponsibility for employment rights, redundancy and insolvency recently transferred to my Department from the Department of Social Protection, and the recommendations made in the Duffy-Cahill report, the Terms of Reference of which were quite narrow and specific, are currently being revisited.
I have also asked the Company Law Review Group, as per the Programme for Government, to look again at aspects of Company Law in this area.
Ministers of State Damien English and Robert Troy jointly met with employer and union representative bodies on the 4th of November to begin a discussion on the various legislative provisions that deal with redundancy and insolvency from both a company law and employment law perspective.
I am informed it was a positive and constructive meeting with the stakeholders, where the discussion focused on identifying whether there are gaps or weaknesses in either body of legislation. I understand that consultations and discussions are ongoing on the matter.
193. Deputy Mick Barry asked the Tánaiste and Minister for Enterprise, Trade and Employment the contacts he has had with an airline (details supplied) and other airlines registered here in relation to the terms and conditions of their workforce; and if he will make a statement on the matter. [40072/20]
Amharc ar fhreagraI understand how difficult it must be for Aer Lingus employees facing renegotiations, restructuring and possibly lay-offs. The aviation industry has been devastated by the pandemic and consequently workers in the industry have been severely affected and are facing great uncertainty.
In November, the Government agreed a revised €80 million funding package for Irish aviation. In recognition of the very difficult winter season being faced by the aviation sector the Government decided to provide an extra €48 million in supports for 2021, in addition to those announced in Budget 2021. This year and into 2021 the State will have provided in excess of €180m in supports for the aviation sector.
In terms of the workers' employment rights, the Terms of Employment (Information) Act 1994 provides that an employer must provide their employee with a written statement of the particulars of the employee’s terms of employment. It also provides that an employer must notify the employee of any changes in the particulars given in the statement. Where an employer wishes to change these terms and conditions, further written notification of the change should be provided within one month of the change. The Act provides a right of complaint to the Workplace Relations Commission (WRC) where an employer fails to comply with either of the above
The Payment of Wages Act 1991, amongst other things, protects employees from unlawful deductions from their wages by employers. Non-payment or underpayment of wages has also been deemed to be a deduction from wages for the purposes of the 1991 Act. Where an employee does not receive the wages agreed in their contract of employment or if certain deductions are made from his/her wages by his/her employer, it is open to an employee to make a complaint to an Adjudication Officer of the WRC under the Payment of Wages Act 1991.
Ireland has a very advanced industrial relations framework, which includes the services of the WRC and the Labour Court. For any worker who needs help or advice, the WRC helpline is available at Lo-call: 1890 80 80 90.
194. Deputy Catherine Connolly asked the Tánaiste and Minister for Enterprise, Trade and Employment the funding made available to businesses located in County Galway for Brexit preparations through his Department in 2020; the number of businesses which have benefitted; and if he will make a statement on the matter. [44145/20]
Amharc ar fhreagraMy Department and its agencies have put a wide range of enterprise measures in place to assist businesses in identifying key risk areas and practical preparatory actions to be taken with regard to Brexit.
The Local Enterprise Offices (LEOs) in County Galway offer grants to businesses responding to Brexit challenges including the Technical Assistance for Micro Exporters grant. 5 applications have been approved funding of €2,500 under this grant in 2020. The LEOs are also offering one-to-one Brexit mentoring and training.
The LEOs' social media ‘Countdown Campaign’ got underway in September, marking 100 days to go until January 1st 2021, featuring the ‘change is coming’ message and supported with LEO branded social media cards, website sliders, email signatures and Mailchimp graphics for ezines.
Enterprise Ireland offers an Online Customs Insights Course outlining on key customs concepts, documentation and processes. EI also offers Brexit Advisory Clinics which, taking place nationwide and providing information and practical support through individual meetings across Strategic Sourcing, Financial & Currency Management, Customs Transport & Logistics.
Details of Enterprise Ireland’s financial Brexit supports to companies in Galway is set out below:
EI Brexit Supports Approved to Companies in Galway
|
Support |
Number of Companies Approved |
Value Approved (€) |
|
Agile Innovation |
9 |
885,304 |
|
Be Prepared Grant |
16 |
58,890 |
|
Clear Customs Financial Support |
9 |
78,000 |
|
Market Discovery Grant |
24 |
1,458,918 |
|
Ready for Customs Grant |
14 |
243,000 |
|
Strategic Consultancy Grant |
54 |
723,000 |
|
Grand Total |
126 |
3,447,112 |
Enterprise Ireland also administers some of these specific Brexit supports on behalf of IDA Ireland. IDA Ireland also has a suite of tools that its clients can avail of to assist companies to sustain and grow their businesses for the future.
IDA’s International Marketing Programme, assists companies to expand their marketing efforts to generate new markets and new opportunities. It’s Lean and Agile Programme assists companies in increasing their performance and competitiveness for sustainability and growth of their service or manufacturing site in Ireland.
IDA also offers a Global Sourcing Programme, which assists companies in sourcing their supply chain in Ireland to create more agility and efficiency and decrease over-reliance on the UK market and access. In 2019 a total of €24,794,941 of grants were paid to IDA clients in the Galway region across IDA’s entire suite of the supports.
The Brexit Loan Scheme, which makes working capital lending available to eligible Irish businesses negatively exposed to current or future impacts arising as a result of Brexit is also available to companies. Loans range from €25,000 to €1.5m for terms of up to three years47 eligibility codes, for businesses in Galway, were approved under this Scheme, and 13 loans have been drawn to a value of €3,860,500 as of 30 September 2020.
InterTrade Ireland offer a Brexit Advisory Service and Brexit Planning vouchers which offers 100% financial support up to £2,000/€2,250 (inclusive of VAT) towards professional advice in relation to Brexit matters. In 2020, 14 companies based in Galway have been approved for funding totalling €31,500 to help them prepare for Brexit through ITI’s Brexit Voucher.
I and my Department and its agencies will continue to encourage business to examine their readiness for Brexit and take actions where shortfalls in those plans are evident.
195. Deputy Catherine Connolly asked the Tánaiste and Minister for Enterprise, Trade and Employment the number of IDA Ireland site visits to locations in County Galway to date in 2020; and if he will make a statement on the matter. [44146/20]
Amharc ar fhreagraGalway forms part of the IDA’s West region along with Mayo and Roscommon. The County continues to perform strongly and is a location of choice for investors. There are now over 21,000 people employed across 88 IDA client companies in Galway City and County.
The Deputy will appreciate that the introduction of international travel restrictions related to Covid-19 has, amongst other things, led to the cancellation or postponement of scheduled IDA site visits and client meetings in every region of the country, including Galway. As an alternative to site visits, the IDA has migrated many of its business development and client engagement activities to digital platforms. The Agency has developed new digital content and has also put in place an E-Site Visit experience for potential investors. To date in 2020, there has been a total of 16 site visits to Galway, with E-visits accounting for 10 of those.
196. Deputy Catherine Connolly asked the Tánaiste and Minister for Enterprise, Trade and Employment the additional Covid-19 supports available for businesses in County Galway to help offset the negative impacts of Covid-19; the amounts provided to companies in County Galway under the various schemes; and if he will make a statement on the matter. [44147/20]
Amharc ar fhreagraMy department, through its agencies and implementation partners, has provided more than €56 million to date to assist businesses in County Galway in offsetting the negative impacts of COVID-19. I enclose the exact amount under the various schemes for the information of the Deputy in the table below. Note that this does not reflect the breadth of supports available across Government such as the EWSS, CRSS and PUP.
COVID Business Supports in County Galway
All data up to 11/12/20 unless otherwise noted.
|
Scheme |
Amount |
|
Local Enterprise Office Business Continuity Voucher |
€636,003 |
|
Local Enterprise Office Trading Online Voucher |
€1,520,000 |
|
Local Enterprise Office Micro-Enterprise Assistance Fund |
€8,572 |
|
Restart Grant as of 4/12/20 |
€9,675,109 |
|
Restart Grant Plus as of 4/12/20 |
€23,805,545 |
|
SBCI COVID-19 Working Capital Scheme as of 30/9/2020 |
€1,883,000 |
|
SBCI COVID Credit Guarantee Scheme as of 3/12/20 |
€5,960,174 |
|
Microfinance Ireland COVID Loan Scheme as of 14/12/20 |
€1,050,375 |
|
Intertrade Ireland Emergency Business Solutions |
€15,750 |
|
Intertrade Ireland e-merge |
€30,800 |
|
Enterprise Ireland Online Retail Scheme 1 &2 |
€969,015 |
|
Enterprise Ireland COVID 19 Business Financial Planning Grant |
€289,870 |
|
Enterprise Ireland LEAN Business Continuity Offer |
€57,500 |
|
Enterprise Ireland and IDA Sustaining Enterprise Funds |
€9,280,000 |
|
Enterprise Ireland COVID Products Scheme |
€1,158,148 |
|
Total |
€56,339,861 |
197. Deputy Catherine Connolly asked the Tánaiste and Minister for Enterprise, Trade and Employment the status of the national SME growth plan; when it will be published; and if he will make a statement on the matter. [44148/20]
Amharc ar fhreagraThe Programme for Government – Our Shared Future identifies a number of groups which will be led by Government in shaping the engagement of enterprise and SMEs in the formulation of the policy responses at the different stages of the recovery.
The groups envisaged by the Programme for Government included an SME Taskforce, to design a National SME Growth Plan that will map out an ambitious long-term strategic blueprint beyond COVID-19 and Brexit. I appointed the members of this Taskforce in September, which includes over 20 entrepreneurs and business leaders, contributing expertise from a broad range of sectors.
Within the framework of the overall SME Taskforce, four constituent sub-groups were also established, with the capacity and expertise to develop specific actions in thematic areas, drawing from the recent OECD Review of SME and Entrepreneurship Policy in Ireland. These sub-groups focused on Entrepreneurship; Productivity, Digitalisation and Competitiveness; Internationalisation; and Clustering and Networks.
The proposals developed by the Taskforce include measures to help SMEs to start up, scale up and access foreign markets, as well as recommendations aimed at helping SMEs to become more productive and ready for the transition to a digital, green economy. They also focus on creating and growing local business networks and clusters, which are an important driver of regional development.
On Thursday 3 December I chaired the fourth and final Plenary meeting of the SME Taskforce, at which the final draft of the Growth Plan was adopted by the Taskforce.
The Taskforce also reflected upon the need to recognise the significance and importance of Entrepreneurship in Ireland, and in doing so, suggested the renaming of the SME Growth Plan to that of a National SME and Entrepreneurship Growth Plan. The recommendation to acknowledge the role of Entrepreneurship by way of its addition to the title of the SME Growth Plan is one I fully agreed with.
The work of the SME Taskforce is now complete. I am very appreciative of the time given by each of the Taskforce members to the development of this ambitious programme.
The Government noted the Growth Plan at its meeting on Tuesday 15 December and I look forward to its publication in the near future.
198. Deputy Catherine Connolly asked the Tánaiste and Minister for Enterprise, Trade and Employment the status of plans to transform the Low Pay Commission into a living wage commission; the details of any consultation process initiated by his Department in this regard; and if he will make a statement on the matter. [44149/20]
Amharc ar fhreagraThe Programme for Government includes a commitment to progress to a living wage over the lifetime of the Government.
Consideration is now being given to how best to take forward this initiative.
I previously confirmed that consideration is being given to transforming the Low Pay Commission into a Living Wage Commission.
I recently met with the Low Pay Commission to discuss the role they can play in meeting the commitment to progress to a living wage.
A public consultation will be held in due course to help inform the analysis of the issues and opportunities that may arise in the move to the living wage.
199. Deputy Brendan Griffin asked the Tánaiste and Minister for Enterprise, Trade and Employment if he will address a matter in relation to a restart grant application (details supplied); and if he will make a statement on the matter. [44151/20]
Amharc ar fhreagraIt is important to note that for the purposes of the Restart Grant and Restart Grant Plus Scheme, each Local Authority is the decision maker in relation to initial applications and appeals. The Department has no role in relation to individual applications.
The Restart Grant Plus scheme has closed to new applications since 31 October 2020 and there are currently no plans to reopen the Scheme to late applications as it has been superseded by a number of measures in Budget 2021.
The Restart Grant Plus Scheme was just one part of the wider range of schemes available to firms of all sizes, which includes the wage subsidy scheme, low-cost loans, write-off of commercial rates and deferred tax liabilities, all of which will help to improve cashflow amongst SMEs.
The Revenue Commissioners’ Covid Restrictions Support Scheme, or ‘CRSS’, effectively replaced the Restart Grant Plus as part of Budget 2021. The CRSS offers a targeted, timely and temporary sector-specific support to businesses forced to close or trade at significantly reduced levels due to COVID- 19 of up to €5,000 per week.
200. Deputy Ruairí Ó Murchú asked the Tánaiste and Minister for Enterprise, Trade and Employment the supports that have been made available to artists in the design and crafts industry during the Covid-19 pandemic. [44158/20]
Amharc ar fhreagraThe Design & Crafts Council Ireland (DCCI) is the national body for the commercial development of Irish designers and makers, stimulating innovation and championing design thinking. DCCI's activities are funded by my Department via Enterprise Ireland. DCCI currently has 59 member organisations and more than 3,000 registered clients.
The DCCI budget was increased in Budget 2019 by an additional €1.8m (over three years) to expand marketing and development programmes, which are currently being delivered by the Council for Irish designers and makers. The additional funding assisted the sector to develop and generate additional export sales and online revenue opportunities, increasing market diversification by client companies and underpinning sustainable growth. This is of particular relevance at a time when companies are facing risks from Brexit, arising from both access to the UK market and the potential loss of craft sales to UK tourists. Further challenges are now being faced by companies due to a slowdown in orders arising from the global pandemic.
In addressing the challenges of COVID– 19, the DCCI launched two initiatives this year, the Made Local campaign which was launched in July and more recently the Irish Business Design Challenge competition launched in September.
The Made Local campaign encouraged shoppers to buy Irish designs and Irish made products whilst on their summer staycation. It promoted the work of 981 number of Irish designers and makers and saw over 238 number of retailers join in the campaign. Made Local has been re-launched for the Christmas season with the slogan “Love what you Give” and an increased number of designers makers and retailers taking part.
The Irish Business Design Challenge was a joint venture of the Design and Craft Council Ireland, the Local Enterprise Offices and Enterprise Ireland. The three organisations came together to run the competition and to recognise the resilience and innovation of SMEs in a year which has proven to be so challenging for businesses as a result of COVID-19.
The Irish Business Design Challenge looked for products, services and concepts that had the potential to be game-changing including the development of new products or services to meet current and future needs and new ways of working that help the business become more resilient or efficient. Over 467 enterprises from across Ireland registered to take part in the challenge, of these 187 applications went through the judging process. As part of this, almost 11,000 members of the public voted for their ‘Business Hero’
Showcase plays host to 400 makers and delivers approximately €26million in sales over the 4 days of the exhibition, which normally takes place on the 3rd week of January each year at the Royal Dublin Society. Follow-on orders approximate to €120million, 35% of which is generated by foreign buyers at the physical show. The DCCI is currently recruiting companies for the implementation of a virtual Showcase in January 2021.
DCCI also provides a broad range of advice to clients on the additional Government supports available to craft and design businesses including the Wage Subsidy Scheme, the Pandemic Unemployment Payment and the COVID-19 Illness Payment, as well as details on the Local Enterprise Boards and Enterprise Ireland business supports.
201. Deputy Bríd Smith asked the Tánaiste and Minister for Enterprise, Trade and Employment his plans to resolve a dispute (details supplied); if he has met with the liquidators; if so, the details of the meetings; his plans to introduce legislation in line with the Duffy Cahill report; and if he will make a statement on the matter. [30565/20]
Amharc ar fhreagraI extend my sympathies to the workers in Debenhams who have lost their jobs. I fully appreciate how difficult the situation is for those involved and their families.
The talks facilitated by the Chair of the Labour Court, Kevin Foley have now concluded and he has issued a report reflecting the outcome of that process. I want to thank Kevin Foley for his efforts and encourage all sides to consider his findings carefully.
Negotiations on enhanced redundancy are a voluntary matter between the liquidator and former employees. The Government has been supportive of the best outcome that is possible for the workers, within the legal framework available. There is no legal scope for the Social Insurance Fund to supplement or ‘top-up’ redundancy payments.
While the Government cannot interfere with the High Court-overseen liquidation process, it has always sought to ensure that the concerns of workers are heard, and that the State’s employment and training services are responding to the needs of the ex-Debenhams workers.
Therefore, in recognition of the exceptional circumstances of this case, as reflected in Kevin Foley’s report, the Government is willing to allocate a fund of €3 million to support career guidance, training, education and business start-ups for the former Debenham workers.
This special Fund will be administered by SOLAS on behalf of the Government.
Responsibility for employment rights, redundancy and insolvency recently transferred to my Department from the Department of Social Protection, and the recommendations made in the Duffy-Cahill report are currently being revisited.
I have also asked the Company Law Review Group to look again at aspects of Company Law in this area.
Ministers of State Damien English and Robert Troy jointly met with employer and union representative bodies on the 4th of November to begin a discussion on the various legislative provisions that deal with redundancy and insolvency from both a company law and employment law perspective.
I understand that consultations and discussions are ongoing.
202. Deputy Bríd Smith asked the Tánaiste and Minister for Enterprise, Trade and Employment his plans to intervene with the liquidators of a company (details supplied) that has sought High Court injunctions against former workers; his views on whether such actions will make a resolution of the dispute harder to achieve; and if he will make a statement on the matter. [30566/20]
Amharc ar fhreagraI cannot intervene with a liquidator, who has a statutory duty to realise assets and distribute to creditors in accordance with the law. It would also be inappropriate for me to comment on a decision of the High Court.
Ireland’s system of industrial relations is essentially voluntary in nature. Responsibility for the resolution of industrial disputes between employers and workers rests in the first instance with the employer, the workers and their representatives.
While I have no direct role in these matters, I am grateful for the professionalism of the industrial relations machinery of the State who are always available to facilitate a solution where both parties are prepared to work with those institutions.
The current chair of the Labour Court, Mr Kevin Foley, agreed to mediate in this protracted and ongoing dispute involving the insolvent company and its employees. The mediation has now concluded and Mr Foley issued his report outlining the outcome on Tuesday night.
203. Deputy Richard Bruton asked the Tánaiste and Minister for Enterprise, Trade and Employment if his Department is considering new supports for enterprise start up as Ireland commences to exit the Covid-19 setbacks to employment. [39717/20]
Amharc ar fhreagraThe Programme for Government committed to establishing an SME Growth Taskforce to design a National SME Growth Plan that will map out an ambitious long-term strategic blueprint beyond COVID-19 and Brexit. I appointed the members of this Taskforce in September, which includes over 20 entrepreneurs and business leaders, contributing expertise from a broad range of sectors.
The Taskforce is served by four focused sub-groups with the capacity and expertise to develop specific actions in thematic areas, drawing from the recent OECD Review of SME and Entrepreneurship Policy in Ireland. These sub-groups are focused on Entrepreneurship; Productivity, Digitalisation and Competitiveness; Internationalisation; and Clustering and Networks.
The proposals developed include measures to help SMEs to start up, scale up and access foreign markets, as well as recommendations aimed at helping SMEs to become more productive and ready for the transition to a digital, green economy. They also focus on creating and growing local business networks and clusters, which are an important driver of regional development.
On Thursday 3 December I chaired the fourth and final meeting of the SME Growth Taskforce, at which the final draft of an SME Growth Plan was discussed. The Taskforce reflected upon the need to recognise the significance and importance of Entrepreneurship in Ireland and I am pleased that measures to drive entrepreneurship feature strongly in the report.
The Taskforce also reflected upon the need to recognise the significance and importance of entrepreneurship in Ireland, and in doing so, suggested the renaming of the SME Growth Plan to that of a National SME and Entrepreneurship Growth Plan. The recommendation to acknowledge the role of entrepreneurship by way of its addition to the title of the SME Growth Plan is one I fully agreed with.
The work of the SME Taskforce is now complete. I am very appreciative of the time given by each of the Taskforce members to the development of this ambitious programme.
The Government noted the Growth Plan at its meeting on Tuesday 15 December and I look forward to its publication in the near future.
204. Deputy Louise O'Reilly asked the Tánaiste and Minister for Enterprise, Trade and Employment if he will bring forward legislation this term to change the Low Pay Commission into a living wage commission; and if he will simultaneously expand the membership of the commission to include a representative of the living wage technical group. [30365/20]
Amharc ar fhreagraThe Programme for Government includes a commitment to progress to a living wage over the lifetime of the Government.
Consideration is now being given to how best to take forward this initiative and I recently met with the Low Pay Commission to discuss options for progressing this commitment and the role the Commission can play in meeting the commitment to progress to a living wage.
I recently confirmed that, as part of this initiative, consideration is being given to transforming the Low Pay Commission into a Living Wage Commission.
Issues regarding the legislative basis and the composition of such a Commission are currently being considered.
205. Deputy Louise O'Reilly asked the Tánaiste and Minister for Enterprise, Trade and Employment if he has investigated the impact of the moratorium on redundancies on the workers and employers affected; and if he has considered changes to the primary legislation to allow workers who are on laid off or kept on short-time due to Covid-19, but who cannot claim their redundancy, to re-enter employment or undertake temporary employment with a different employer and still be entitled to their redundancy when the emergency redundancy moratorium is rescinded. [30367/20]
Amharc ar fhreagraThere has been ongoing dialogue with both employee and employer representative groups on the continued operation of the emergency provision which effectively suspends an employee’s entitlement to claim redundancy from their employer following certain periods of lay-off or short time work due to Covid-19.
The decision to extend this provision until 31st March 2021 was a difficult one and I know it will be disappointing for those employees who are experiencing uncertainty and who were hoping to claim redundancy from their employers. But the Government had to consider the need to ensure businesses survive and that permanent job losses are avoided as much as possible.
The extension is also important for employees to ensure that they have a continued link to their job and a pathway to return. The Pandemic Unemployment Payment will remain open until the end of March 2021 in order to support affected employees as will the Employment Wage Subsidy Scheme.
If an employee chooses to take up other employment during lay-off and they remain available to resume their employment with their usual employer, they have an entitlement to claim redundancy from that employer when this emergency measure ends. The employer can then either agree to the redundancy payment if they do not have work to offer the employee, or they can give counter notice by offering the employee not less than 13 weeks unbroken employment.
In situations where the employee chooses not to return to their usual employment a redundancy situation does not arise and the employee does not have an entitlement to claim redundancy. There are no plans to amend primary legislation in this regard.
206. Deputy Cathal Crowe asked the Tánaiste and Minister for Enterprise, Trade and Employment the number of businesses in County Clare that have availed of the Covid-19 credit guarantee scheme; and if he will make a statement on the matter. [43794/20]
Amharc ar fhreagraThe COVID-19 Credit Guarantee Scheme (CCGS) is the largest guarantee scheme in the history of the State. Its function is to add certainty to businesses that liquidity is available for working capital and investment purposes. Loans of up to €1 million are available for up to five and a half years. Loans under €250,000 do not require collateral or personal guarantees.
The Scheme was originally scheduled to run until 31 December 2020 in line with the requirements of the European Commission’s Temporary Framework on State Aid. Following the extension of the terms of this Framework Government approved, on 24 November, the extension of the COVID-19 Credit Guarantee Scheme to run until 30 June 2021. It is available to SMEs, small Mid-Caps and primary producers.
As part of the Commission’s State Aid Temporary Framework, each loan under the Scheme must have reduced interest rates. These are clearly articulated in the documentation businesses sign with their finance providers.
The Government will cover 80 percent of any claims under the scheme. As per State Aid rules set by the European Commission, a premium must be paid to the Irish state which will alleviate some of the costs.
The CCGS has a draw down rate of on average €8 million per week. This is close to guaranteeing in a week what was guaranteed in the full year of 2018 in the standard CGS. The sectors utilising the scheme most prominently are wholesale/retail at 20 percent, accommodation/food services at 14 percent, agriculture at 11 percent and construction at 9 percent. This demonstrates the strong need and utilisation of the CCGS by businesses most affected by COVID 19.
As at 3 December 55 businesses in County Clare have availed of the CCGS and have drawn loans with a value of €2,366,044.
The CCGS which is currently available through AIB, Bank of Ireland and Ulster Bank will see a number of new lenders joining the Scheme early in the new year offering new product-lines. These new lenders will ensure increased regional availability of finance through the CCGS.
I want to assure the Deputy that I and my officials are constantly monitoring the Scheme and its effectiveness. I would also direct the Deputy to my Department’s website which has the details of this scheme as well as other relevant loan and grant supports available to Irish businesses.
207. Deputy Christopher O'Sullivan asked the Tánaiste and Minister for Enterprise, Trade and Employment the number of businesses in County Cork that have received support under the restart grant and the restart grant plus; and if he will make a statement on the matter. [43791/20]
Amharc ar fhreagraThe Restart Grant and Restart Grant Plus schemes were designed to help small and medium sized businesses get back on their feet after what has been an exceptionally difficult time. The Restart Grant scheme was launched on 15 May with a budget of €250 million. The Restart Grant Plus scheme was launched on 10 August with an additional budget of €300m from the Government’s July Jobs Stimulus as a result of the increasing demand for the scheme.
The purpose of the schemes was to help with the cost of reopening or adapting business premises so that normal business could resume. Grant payments were administered by the Local Authorities via the commercial rates system as this was considered the most effective means to get urgent financial assistance to small businesses impacted by COVID-19.
The Restart Grant Plus scheme closed to new applications on 31 October and the COVID Restrictions Support Scheme (CRSS) operated by the Revenue Commissioners is now in place.
In response to the Deputy’s specific question and as at 11 December 2020, Cork City Council has awarded Restart Grant payments to 2170 businesses. 2506 businesses have benefitted from grant payments under the Restart Grant Plus Scheme.
Cork County Council has awarded Restart Grant payments to 3,019 businesses. 3,563 businesses have benefitted from grant payments under the Restart Grant Plus Scheme.
In total, over 118,600 applications have been managed under both Restart schemes. I would like to take this opportunity to thank the 31 local authorities and the Local Government Management Agency for their work in managing the applications under both schemes.
208. Deputy Neasa Hourigan asked the Tánaiste and Minister for Enterprise, Trade and Employment the guidelines and measures in place for the operation of an indoor Santa meet and greet under the level 3 Covid restrictions; and if he will make a statement on the matter. [44211/20]
Amharc ar fhreagraThe Government’s overriding objective during COVID-19 is to ensure the public’s health and safety. The guidelines in relation to retail settings are in place to prevent large indoor gatherings of people while ensuring that as many shops as possible can open. This is to prevent the spread of the virus and protect lives.
Seasonal experiences and initiatives that lead to additional congregation are only permitted outdoors. This is set out in Section 17 of the Failte Ireland’s Guidelines for Re-opening Visitor Attractions which states that ‘...in line with Government Public Health Advice, seasonal experiences should take place outdoors.’
This guidance can be viewed at https://failtecdn.azureedge.net/failteireland/Guidelines-for-Re-opening-Visitor-Attractions.pdf
The guidelines also add that ‘Management must aim to follow the Government’s Public Health advice throughout Seasonal Visitor Experience areas such as Santa Experiences, Christmas markets etc.’
It is important to monitor gov.ie for the latest information, public health advice and guidelines from Government in relation to COVID-19.
209. Deputy Neasa Hourigan asked the Tánaiste and Minister for Enterprise, Trade and Employment the supports and grants in place for new start-up businesses; and if he will make a statement on the matter. [44213/20]
Amharc ar fhreagraThe 31 Local Enterprise Offices nationwide are a ‘first-stop-shop’ for providing advice and guidance, financial assistance and other supports to those wishing to start or grow their own business and act as a ‘signposting’ service for all government supports available to the SME sector and provides information/referrals to other relevant bodies under agreed protocols such as Revenue, Micro Finance Ireland, Fáilte Ireland, LEADER, and Enterprise Ireland.
The LEOs offer direct grant aid to microenterprises (up to 10 employees) in the manufacturing and internationally traded services sector. Subject to certain eligibility criteria, the LEOs can provide financial assistance within four main categories, following the LEO Lifecycle of Pre-Start, Start and Grow. These are:
- Feasibility Grants, for investigating the potential of a business idea.
- Priming Grants, to part-fund a start-up and help with direct business costs such as salary, rental costs, utilities, marketing and consultancy costs.
- Business Development grants designed to assist the business in its growth phase after the initial 18-month start-up period and
- Technical Assistance for Micro Exporters (as businesses begin exploring foreign markets)
The Local Enterprise Offices also offer a comprehensive suite of ‘soft’ supports such as the Start your Own Business Programme, The Mentor Programme, Management Training programmes and Local Enterprise Office LEAN for Micro.
The Local Enterprise Offices administer the Trading Online Voucher Scheme, which has been hugely successful particularly during the COVID-19 pandemic and can help businesses, who have been trading for at least 6 months, to expand their potential customer base by developing their online trading presence.
The LEOs assist clients with applications to Microfinance Ireland for small business loans of between €2,000 and €25,000 (unsecured). Loans for commercially viable proposals can be used to help fund start-up costs, working capital or business expansion and by applying through their Local Enterprise Office, clients can avail of a 1% reduction in the interest rate charged.
Enterprise Ireland provides support to start-up companies to assist with business planning, mentoring and development advice. The agency also provides feasibility funding and finance, often in the form of equity investment, as appropriate to the founder’s ambitions and the company’s potential and stage of growth.
Enterprise Ireland’s New Frontiers Development Programme, the national entrepreneur development programme for early-stage startups, is run in partnership with 14 Institutes of Technology throughout the country.
In 2019 Enterprise Ireland approved 36 new early stage businesses investments of up to €50,000 each through a series of Competitive Start Fund calls to support companies reaching key technical and commercial milestones.
Enterprise Ireland actively works with High Potential Start-Ups (HPSUs), that is companies with the potential to develop an innovative product or service for sale in international markets and the potential to create 10 jobs and €1m in sales within 3 to 4 years of starting up. Enterprise Ireland’s HPSU Team works with these companies to ensure that they can avail of supports that reflect the stage of development of the business and the type of activity engaged in by the business.
210. Deputy John Lahart asked the Tánaiste and Minister for Enterprise, Trade and Employment if an employee can be required to work from the office during the level 3 restrictions if working from home is a feasible option; and if he will make a statement on the matter. [44235/20]
Amharc ar fhreagraThe Government’s Living with COVID-19 Plan recognises the need for an overall incremental approach which take account of the societal and economic impacts of the COVID-19 pandemic and the varying responses required.
The Living with Covid-19 Plan sets out how businesses should operate at five different levels. The country is, at present, at Level 3 and within Level 3 people should work from home unless it is absolutely necessary to attend in person.
While an employer is responsible, in the first instance, for determining what work can be carried out at home, employers must bear in mind that the overarching public health advice is that, where possible, employees should continue to work remotely. Employers should also give due consideration, in particular, to vulnerable workers in this context.
In instances where employees have returned to the physical workplace the employer must ensure that the public health measures set out in the Work Safely Protocol are being fully adhered to. The Protocol operates in parallel with existing workplace health and safety statutory requirements and sets out in very clear terms, for all business sectors, the steps that must be taken on an ongoing basis to mitigate against the transmission of COVID-19 in the workplace.
Any worker with concerns about health and safety standards at their own place of work can contact the Health and Safety Authority’s Workplace Contact Unit (WCU) for detailed advice including advice on compliance with the Work Safely Protocol. The WCU can be contacted by phone at Lo-call 1890289389 (landline) or (01) 6147000 or by email at wcu@hsa.ie.
Employers and workers should seek to resolve any matters relating to remote working at a local level through mutual dialogue and engagement. Where this is not possible a dispute may be referred to the State's workplace relations services for mediation or conciliation. The Workplace Relations Commission (WRC) is providing services on both a face to face and virtual basis. Advice can be obtained from the Information & Customer Service of the WRC at Lo-call: 1890 80 80 90 or 059 9178990 or from its website www.wrc.ie.
211. Deputy Richard O'Donoghue asked the Tánaiste and Minister for Enterprise, Trade and Employment the details regarding protection laws for employees of EU and foreign businesses located here; and if he will make a statement on the matter. [44255/20]
Amharc ar fhreagraIreland has a comprehensive body of employment legislation, in respect of which the Workplace Relations Commission (WRC) is mandated to secure compliance. Ireland’s employment rights legislation protects all employees, including posted and migrant workers, who are legally employed on a contract of service basis. This is specifically set out in Section 20 of the Protection of Employment (Part Time Work) Act 2001.
Where an individual believes they are being deprived of employment rights applicable to employees, they may refer a complaint to the WRC. The matter can be dealt with by way of mediation or adjudication leading to a decision that is enforceable through the District Court. WRC inspectors can also be asked to investigate certain breaches.
The WRC can be contacted at Lo-call: 1890 80 80 90 or via its website www.workplacerelations.ie and complaints can be made on a single online complaint form.
My Department monitors existing employment rights legislation to ensure that it continues to be relevant and fit for purpose and is updated to reflect international developments at European Union, European Court of Justice and International Labour Organisation level.
212. Deputy Louise O'Reilly asked the Tánaiste and Minister for Enterprise, Trade and Employment if his Department has reviewed the correspondence provided by this Deputy to him on 23 November 2020, which was a follow-up in relation to his commitment given in the Oireachtas Committee on Enterprise, Trade and Employment on 18 November 2020 to examine the limitations of the Covid restrictions support scheme and which are excluding many businesses in the events industry as well as upstream suppliers. [44268/20]
Amharc ar fhreagraI thank the Deputy for her correspondence which has added to the information my officials and I have gathered concerning businesses that face difficult trading conditions because of the Covid-19 pandemic, but do not qualify for the COVID-19 Restrictions Support Scheme (CRSS).
Under the Scheme, a qualifying person is one who carries on a business activity that is impacted by COVID-19 related restrictions. This means the person must operate from a fixed premises which allows for access by the public and the the level of turnover of the business must be only a maximum of 25% of the average weekly turnover in 2019.
These criteria, particularly the access by the public to a premises, has meant a number of business who have suffered significant falls in revenue do not quality for CRSS.
It is important to note the significant additional resources the Government allocated in the Budget, excluding CRSS, to provide help to different sectors. I would highlight the €395m provided to the Department of Transport and the €222m allocated to the Department of Tourism, Culture, Arts, Gaeltacht, Sport and Media.
These additional monies will go towards supporting businesses, including those not in receipt of the COVID-19 Restrictions Scheme, such as through the €30m for private bus operators, €55m for a focused business scheme for strategic tourism businesses along with a €50m scheme for the live entertainment sector.
These are in addition to financial assistance and other schemes provided to businesses via Enterprise Ireland, InterTrade Ireland and Local Enterprise Offices.
Notwithstanding these additional resources, I recognise the issue raised by the Deputy on CRSS and I have received similar representations.
I have asked my officials to work with other relevant Departments to identify the type and number of businesses that fall outside the scope of the CRSS and to report back to me with proposals on how to proceed.
213. Deputy Michael Ring asked the Tánaiste and Minister for Enterprise, Trade and Employment the position regarding a general employment permit application by a person (details supplied); the reason an acknowledgement has not yet issued to confirm receipt of the application; and if he will make a statement on the matter. [44400/20]
Amharc ar fhreagraThe Employment Permits section of my Department inform me that a standard application for a General Employment Permit for the person concerned (details supplied) was received on 26th November 2020. An acknowledgement issued by e-mail at 12.06pm on 26th November 2020, to the applicant who in this case is the employer (details supplied). My officials have re-issued this acknowledgement to the applicant. The application will be considered in the coming days.
214. Deputy Cian O'Callaghan asked the Tánaiste and Minister for Enterprise, Trade and Employment if he will engage with the IDA to ensure that a replacement employer is sourced for a site (details supplied); and if he will make a statement on the matter. [44423/20]
Amharc ar fhreagraThe announcement last week by Viatris, that it will be closing its plant in Baldoyle, was very disappointing. I understand that while staff were informed last Friday, the majority of the jobs will remain until late 2022.
As always in these situations, our primary concern is for the workers and families affected. Every State support will be made available to those workers to help them transition and find new employment opportunities, when that need arises. Despite this disappointing decision, Viatris has made it clear that it remains fully committed to Ireland. Even after this announcement the company will employ 1,400 staff across the country, in Galway, Dublin and Cork. IDA Ireland is in close contact with the company and will work closely with them to market the site to other potential investors. We have good reason to be confident that this process will be successful.Obviously, in the current climate, there are many challenges facing us in the pursuit for FDI. Global competition for FDI is intensifying and we are under no illusions that the time ahead will prove more challenging. We will have to fight, harder than ever before, for new investment projects and the jobs that go with them. However, IDA Ireland's results for the first six months of this year demonstrated the resilience of our FDI base. The Agency has secured over 130 investments to date in 2020, which have the potential to create almost 10,000 jobs, with 53 investments from companies investing in Ireland for the first time. Full figures for the year will be available early next month. I believe that these 2020 investments reflect our continuing attractiveness to overseas firms. Overseas companies continue, the evidence would suggest, to value our FDI strengths. These include our talented and flexible workforce, a track record as a successful home to global businesses and a hard-won reputation as a pro-enterprise jurisdiction. Our continued commitment to the European Union, the single market and Eurozone, as well as to free trade and multilateralism, are other key selling points that help us convince multinational companies to establish operations and create jobs here.
