Written Answers Nos. 21-40
21. Deputy Cathal Crowe asked the Tánaiste and Minister for Enterprise, Trade and Employment if he will provide an overview of the composition and terms of reference for the new Shannon Estuary Taskforce. [25010/22]
Amharc ar fhreagraThe Deputy will be aware that the Shannon Estuary Economic Taskforce was recently established following a commitment in the Programme for Government to ensure that local development plans are put in place to stimulate sustainable economic activity for those areas that had been expecting economic development arising from new fossil-fuel infrastructure.
The Terms of Reference for the Taskforce are to:
1. Assess the strategic strengths and comparative advantages of the Shannon Estuary from an investment and enterprise development perspective, in a national and international context;
2. Scope potential areas of opportunity for the Shannon Estuary and specify policy and investment requirements to exploit those areas of potential, with particular focus on renewable energy, transport and connectivity, manufacturing, and tourism;
3. Assess the current connectivity of the region and make recommendations as to how this could be enhanced;
4. Specify the actions required from national and local government, as well as from other stakeholders, to exploit those areas of potential; and
5. Produce a Report and associated Action Plan with specific steps in areas of potential.
Mr Barry O’Sullivan, formerly of Johnston and Johnston, and a current board member of the IDA has been appointed Chair of the Taskforce which is comprised of nine other experts in the areas of research, academia and industry. The membership, including the Chair were selected following an open call for Expression of Interest.
The Taskforce held its first meeting on the 6th of May, and the Tánaiste met with the Chair, Mr O’Sullivan, after that meeting to receive an update from him on their initial discussions, and to discuss next steps. Two further meetings of the Taskforce are planned over the coming weeks.
The Chair has also begun a programme of engagement with the local authorities and has met with the Chief Executives of Limerick City and County Council, Clare County Council, Kerry County Council, and Tipperary County Council. Further engagement with the local authorities, as well as with officials from the relevant Government departments, and other stakeholders is also planned.
In accordance with its Terms of Reference, the Taskforce will conclude its work by the end of this year and I very much look forward to receiving its final report and action plan at that point.
22. Deputy Aodhán Ó Ríordáin asked the Tánaiste and Minister for Enterprise, Trade and Employment if his attention has been drawn to the practice in which employers that pay top-up to maternity benefit can force an employee who moves employment to repay their maternity pay; his views that this practice should be banned; and if he will make a statement on the matter. [25356/22]
Amharc ar fhreagraThe Payment of Wages Act 1991 regulates how wages and salaries are paid and what deductions may be made from same. Under this Act, an employer is not permitted to make deductions from an employee's wages unless the deduction is authorised under the contract of employment, required by statute, or is made with the prior written consent of the employee.
Special restrictions are placed on employers in relation to deductions from wages that arise from any act or omission of the employee. For example such deductions, in addition to being authorised by a term in the employee's contract, must be fair and reasonable having regard to all the circumstances including the amount of the wages of the employee. Further, the employee must be given particulars in writing of the act or omission and the amount of the deduction at least one week before the deduction is made.
If an employee believes that his/her employer has made an unlawful deduction from his/her pay, then s(he) may refer a complaint to the Workplace Relations Commission, where the matter can be dealt with in the manner described above.
23. Deputy Louise O'Reilly asked the Tánaiste and Minister for Enterprise, Trade and Employment if he will provide an update on his Department’s working group on the determination of employment status; the persons or bodies that are the members of the group; the remit of same; and the expected date for completion of its work. [25346/22]
Amharc ar fhreagraThe Tánaiste agreed to convene a consultative working group on the Determination of Employment Status, which I Chair.
The first meeting of this group took place on Wednesday 13th of April 2022 and the second meeting is scheduled to take place on Tuesday 21st of June.
The group consists of representatives from ICTU, Ibec, the Construction Federation of Ireland and ISME as well as officials from the Department of Enterprise, Trade and Employment; the Revenue Commissioners and the Department of Social Protection.
The purpose of this working group is to examine issues around employment status, consider the scale of misclassification, and to discuss the potential to improve systems by which correct employment status is determined.
This is a complex area and the group will report on progress as appropriate.
24. Deputy Cormac Devlin asked the Tánaiste and Minister for Enterprise, Trade and Employment if he will provide an update on the number of jobs supported by the IDA and Enterprise Ireland in Dublin during 2021. [25245/22]
Amharc ar fhreagraThe Dublin region is home to 905 IDA client companies employing 123,708 staff. The region has repeatedly attracted significant investment across all sectors and activities with prominent investment in ICT, International Financial Services, Pharmaceuticals and Global Business Services. FDI in Dublin also has a high concentration of R&D investment particularly in the Tech sector. The number of jobs supported by Enterprise Ireland in Dublin in 2021 was 66,704.
As the Deputy will be aware, last month I published a new Enterprise Plan for Dublin. As I said at the time, Dublin has its own unique challenges. This plan has been put together with buy-in from the local community to look at what businesses in the region need and want in the years ahead.
Dublin is a region: a city region of European and international scale. Dublin competes internationally and often, what’s lost to Dublin is lost to Ireland.
One of my priorities as Minister for Enterprise, Trade and Employment, is to have 2.5 million people employed in the country by 2024. We’re investing up to €180 million in these nine regional enterprise plans to help reach that target.
25. Deputy Brian Stanley asked the Tánaiste and Minister for Enterprise, Trade and Employment when we can expect to see his Department's legislation to provide hospitality workers with a legal right to their tips, service charges and other gratuities. [25011/22]
Amharc ar fhreagraThe Payment of Wages (Amendment) (Tips and Gratuities) Bill 2022 (No 5 of 2022) was published on 24 January 2022. The Bill completed Seanad 2nd Stage on 1st February last, at which session it was undertook to reconsider the treatment of service charges in the Bill.
The relevant issues and potential implications including legal matters related to any regulation of service charges are currently being examined. When this exercise has been completed the appropriate amendments, if any, will be brought forward in the legislation.
The Bill will provide clarity on the meaning of tips, gratuities, and service charges; place tips and gratuities outside the scope of a person’s contractual wages; oblige employers to display prominently their policy on the distribution of both cash and card tips; and oblige employers to distribute fairly and in a transparent manner, tips that are received in electronic form i.e., through debit or credit cards or smart phones.
However, there will be no other regulation of ‘cash tips’ as this is, according to the Workplace Relations Commission, ‘’unenforceable’. Cash tips are not always under the control of the employer.
26. Deputy Catherine Connolly asked the Tánaiste and Minister for Enterprise, Trade and Employment the engagement his Department has had in 2021 and to date in 2022 with the Department of Foreign Affairs with regard to the second National Action Plan on Business and Human Rights; when he expects the plan to be completed and published; and if he will make a statement on the matter. [25367/22]
Amharc ar fhreagraIreland's first National Plan on Business and Human Rights 2017-2020 was launched by the Department of Foreign Affairs towards the end of 2017. Ireland was the 19th country in the world to publish such a plan in response to the endorsement of the United Nations Guiding Principles on Business and Human Rights by the Human Rights Council in 2011.
The implementation of this whole-of-government plan was overseen by an implementation group comprised of representatives of Government, civil society and business. Both the plan itself and the programme for Government committed to a review of implementation. This review was undertaken by the Department of Foreign Affairs in consultation with stakeholders during 2021. A draft report was considered at the special session of the multi-stakeholder implementation group on 31 May 2021. This forum included participation by a member of the UN working group on business and human rights, a business and human rights expert from the Danish Institute for Human Rights, and officials from three EU member state Ministries.
The Government noted the finalised review at its meeting on 3 December 2021. It is published on the Department of Foreign Affairs website: www.dfa.ie/media/dfa/ourrolepolicies/humanrights/Review-of-Implementation-of-National-Plan-on-Business-and-Human-Rights-2017-2020---for-website.docx.pdf.
Discussions have commenced about how to bring a new plan forward. Officials in my Department will proactively engage with colleagues in the Department of Foreign Affairs to provide necessary input into a new plan. No date for the completion and publication of the new plan have been set at this stage.
27. Deputy Donnchadh Ó Laoghaire asked the Tánaiste and Minister for Enterprise, Trade and Employment his plans to support businesses that have been impacted by the increasing energy prices; and if he will make a statement on the matter. [25293/22]
Amharc ar fhreagraAs the Deputy is aware, Government have responded with up to €2.1 billion in measures to date to mitigate the rising cost of living including a personal income tax package worth €520 million, a social welfare package of €550 million and we have reduced VAT from 13.5% to 9% on gas and electricity bills from the start of the month until the end of October.
The Government has also implemented several measures to help ease the impact on enterprises of energy price increases including reductions in VAT and excise on some fuels, as well as a temporary grant scheme to hauliers.
The Government recently announced the extension of the 9% Value Added Tax (VAT) rate for the tourism and hospitality industry for a further six months; a measure for which €250 million is the estimated cost to the exchequer.
My Department’s Enterprise Forum met most recently on 16th March 2022 and was convened at the request of the Tánaiste to hear first-hand how the war in Ukraine is affecting businesses in Ireland. One of the main issues raised at that meeting was concern over energy security and prices.
The agencies under my Department’s remit also continue to implement a range of programmes open to SMEs to increase their energy and other efficiencies thereby reducing costs with a view to maintaining and improving their competitiveness.
Enterprise Ireland also regularly survey impacted clients which helps to inform our thinking on how best to help these companies remain resilient to current and future shocks and disruptions. Enterprise Ireland continues examine any necessary measures to help companies respond to the current business pressures. In particular, they are considering how the EU's Temporary State Aid Crisis Framework could be used to assist companies which are vulnerable but viable.
The Climate Enterprise Action Fund currently being administered by Enterprise Ireland which helps firms to plan climate action will be further built upon with additional funding for a range of initiatives launching later this year. These will fund investment in carbon measurement and abatement technologies for manufacturing enterprises and will be open to clients, or potential clients, of Enterprise Ireland, IDA Ireland and Údarás na Gaeltachta.
LEOs also support clients to reduce costs with initiatives such as Green for Micro, Lean for Micro and the Trading On-Line Voucher programmes.
The recently launched Climate Toolkit for Business also provides a useful resource to firms seeking to better understand their carbon footprint and plan.
The Energy Supply Emergency Group is an inter-departmental and inter-agency group with responsibility for informing the Government response to the impact of rising energy costs on business.
Under the aegis of this Group, my Department has established the Business Energy Users Sub-Group to lead on consultations to learn about the specific impacts on Irish businesses, and to hear their concerns and perspectives on the appropriate and most effective tools for policy action. The work of this sub-group, as part of the wider Energy Supply Emergency Group has informed the National Energy Security Framework which was launched by the Government on 13th April 2022.
The Government has provided clear and practical guidance to business users on ways of maximising their energy efficiency and thus helping to manage overall levels of demand across our energy networks. This guidance is available on gov.ie - Reduce Your Use (www.gov.ie).
In the long term the Government are working towards having up to 80% of our electricity from renewables by 2030, which will make a significant difference in protecting Ireland from similar energy price shocks in future.
We are encouraging and supporting firms to make investments in increased energy efficiency and a reduced carbon footprint, for example, SEAI, provide direct grants such as the support scheme for renewable heat, project assistance grants, the EXEED grant scheme, tax incentives available through the Accelerated Capital Allowance, and funding for energy audits.
28. Deputy Imelda Munster asked the Tánaiste and Minister for Enterprise, Trade and Employment his plans to put the Digital Services Act on a legislative footing in this jurisdiction; and if he will make a statement on the matter. [22465/22]
Amharc ar fhreagraThe Council and European Parliament reached a political agreement on the proposed Digital Services Act on 23 April 2022. There are still some technical points to be resolved and other work to be done on the text before the Council and Parliament give their final approvals. As things stand, I expect that the Digital Services Act will be adopted into EU law in October or November of this year. If so, it is planned to apply in Ireland from mid 2023 for the very large online platforms and from 1 January 2024 for all other internet service providers that are in scope.
As the Digital Services Act is an EU Regulation, it will have direct effect in Ireland. That said, there may be some provisions that will need national measures in order to be operative here. My Department is assessing the DSA's text with a view to identifying which provisions will need to be effected by national law.
The DSA includes an obligation on the State to designate a competent authority for implementing and enforcing the DSA in Ireland, known as the Digital Services Coordinator. The Government decided on 1 March 2022 that the new Media Commission will be the Digital Services Coordinator. National legislation will be needed to give effect to that designation. My Department is working on preparing that legislation with a view to having the Digital Services Coordinator in place by the time the DSA applies here.
29. Deputy Brian Stanley asked the Tánaiste and Minister for Enterprise, Trade and Employment his Department's plans for a living wage to be introduced. [25012/22]
Amharc ar fhreagraI have spoken previously about how the pandemic has caused many of us to reconsider and re-evaluate what an essential worker is. We now understand it is a much broader group of workers than people would have originally described, many of whom are on low pay and in the private sector.
The Government has been clear that a legacy of the pandemic should be better pay, terms and conditions for everyone, but particularly those currently on low pay. We are committed, therefore, to honouring the programme for Government commitment to progressing a living wage over the lifetime of this Government.
In 2021, I asked the Low Pay Commission to examine the programme for Government commitment to progress a living wage over the lifetime of the Government and to make recommendations to me on how best we can achieve this commitment. Following this request, the Low Pay Commission commissioned a team of researchers in the National University of Ireland, NUI, Maynooth, to conduct research on the living wage. This research was to consider the policy, social and economic implications of a move to a living wage and the process by which Ireland could achieve it. The research was to also examine international evidence on living wages, different calculation methods available, the policy implications of moving to a living wage and ultimately outline options for moving to a living wage in Ireland. In January of this year, the Low Pay Commission received the living wage supporting research report from the researchers at NUI Maynooth.
The Low Pay Commission submitted its Living Wage Report to me at the end of March 2022, along with the accompanying research report from NUI Maynooth. Along with my officials, I am currently reviewing the Commission’s report and recommendations. I am considering the next steps required in the progression to a living wage and intend to bring proposals to Government shortly, including the publication of the Commission’s report and the accompanying research report.
I am committed to progressing to a living wage over the lifetime of this Government. In doing so, we need to recognise that many businesses have been badly affected by the pandemic and are also facing rising costs. We need to make sure that we proceed in a way that does not adversely affect inflation or cause jobs to be lost, either in terms of the numbers of people employed, or the numbers of hours worked. To do so would be counterproductive.
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. The Low Pay Commission is required to submit its annual recommendation on the National Minimum Wage to me on or before the third Tuesday in July.
31. Deputy Éamon Ó Cuív asked the Tánaiste and Minister for Enterprise, Trade and Employment the progress made with the development of a comprehensive policy in relation to a basic income for all; and if he will make a statement on the matter. [25233/22]
Amharc ar fhreagraThe programme for Government includes a commitment to "request the Low Pay Commission to examine universal basic income, informed by a review of previous international pilots, and resulting in a universal basic income pilot in the lifetime of the Government". In 2021, I formally requested that the Low Pay Commission examine this commitment.
To inform its considerations, the Low Pay Commission asked the ESRI to conduct background technical research on a universal basic income under the terms of the Low Pay Commission-ESRI Research Partnership Agreement.
The study was to examine the universal basic income pilots that have taken place in other jurisdictions in order to identify what has been learned and what might be relevant to a pilot in Ireland. It was also to identify which policy objectives a universal basic income pilot could address and the associated risks and financial implications. It was to conclude with recommendations on how a pilot in Ireland might be designed and how it could be run.
The Low Pay Commission intends to provide a report to me on this research and its recommendations by the end of June 2022. I will work with my officials to examine the Low Pay Commission’s findings and recommendations. I expect to be able to publish both the ESRI report and the LPC's report shortly after receiving them.
32. Deputy Alan Dillon asked the Tánaiste and Minister for Enterprise, Trade and Employment if he will report on progress following the launch of the West Regional Enterprise Plan to 2024 with specific reference to County Mayo; and if he will make a statement on the matter. [25291/22]
Amharc ar fhreagraRegional enterprise development and sustainable local job creation continues to be a key policy priority of mine and this Government. Throughout 2021, my Department oversaw the development of nine new Regional Enterprise Plans to 2024, including for the West, which covers Counties Roscommon, Galway – and Mayo.
A key feature and strength of the Regional Enterprise Plans is that they are developed using a ‘bottom-up’ approach, developed by regional stakeholders who are keenly aware of the growth opportunities and vulnerabilities in their region, and of the benefits of working collaboratively.
Along with the Tánaiste, I was pleased to launch the West Plan in Castlebar on the 4th of March. The new Plan contains seven strategic objectives and related actions to be delivered by end 2024, which include:
- Advance the development of the regional entrepreneurship and innovation ecosystem;
- Strengthen and harness the Cultural and Creative Sector;
- Realise the Atlantic West region’s potential for enterprise and job creation in the Renewable Energy sector;
- Drive the Global Competitiveness of the Life Sciences sector;
- Grow the AgTech and Food sector in the West;
- Expand prospects for sustainable entrepreneurship, employment and upskilling in tourism;
- Facilitate an equitable digital and green transformation in the West.
As we now move to the implementation phase of the Plan, the first Regional Steering Committee has been scheduled. The Committee is chaired by Evelyn O’Toole, founder and CEO of Complete Laboratory Solutions, and includes members from the Local Authorities, the Enterprise Agencies, LEOs, Regional Assemblies, Higher Education bodies and others, all of whom are focused on creating and sustaining employment opportunities for Mayo and the wider region.
Up to €180 million in funding is being made available over the coming months and years to underpin and drive the implementation of the Regional Enterprise Plans. This includes €5 million for a new competitive ‘priming scheme’ to help create a strong pipeline of projects for future funding calls. This scheme closed on 18 May 2022 and successful projects will be announced shortly.
Substantial funding will also be made available up to 2027 for regional enterprise projects under funding from the European Regional Development Fund and the Shared Island fund.
Mayo and the entire West region is full of potential and is very well positioned to compete for the new funding schemes. I strongly encourage all stakeholders to take advantage of the new funding to develop quality projects in the region.
34. Deputy Thomas Gould asked the Tánaiste and Minister for Enterprise, Trade and Employment the status of the implementation of legislation to prevent, in the future, a situation similar to that of a company (details supplied). [25372/22]
Amharc ar fhreagraFollowing extensive engagement with the social partners, the 'Plan for Action on Collective Redundancies following Insolvency' was published in June 2021. This sets out several commitments to safeguard further the rights of workers in these circumstances including:
1. amendments to company law and employment law,
2. establishing a new Employment Law Review Group, and
3. the provision of an accessible guidance document.
The Guidance Document was published in December 2021 and provides clear and accessible information in relation to the rights and remedies available to employees facing a collective redundancy situation following a company insolvency.
Work has commenced on the General Scheme of a Bill to amend the Protection of Employment Act 1977, in line with the changes set out in the “Plan for Action”. Once completed, it is intended to bring the General Scheme to Government before the summer recess.
Work has also commenced on the drafting of the Terms of Reference for the Employment Law Review Group and organising suitable membership. The immediate focus is to get the Group up and running, initially on a non-statutory basis, also before the summer recess.
Turning to Company Law:
Three recommendations were progressed in the Companies (Rescue Process for Small and Micro Companies) Act 2021, which was commenced in December 2021. These recommendations relate to:
- the liquidator’s power to defend proceedings before the Workplace Relations Commission and Labour Court.
- the liquidator or director’s obligation to make creditors aware of their right to form and participate in a Committee of Inspection, and
- the requirement for a Committee of Inspection, where appointed, to include at least one employee creditor member.
Further amendments in respect of the consequences of certain corporate liquidations and restructuring practices, including splitting of corporate operations from asset holding entities in group structures, were considered by the Company Law Review Group last year. It submitted its report on the matter in December 2021.
The issues considered in the report are complex and required extensive discussion and analysis by the Company Law Review Group. The Group ultimately concluded that the incidence of abusive practices in corporate restructuring, while attracting significant attention, is in fact low. This conclusion is supported by the Office of Director of Corporate Enforcement which notes that its reviews of liquidations indicate that in over 90% of all liquidations, company directors had acted honestly and responsibly.
Notwithstanding this, the Group made eight recommendations for potential amendment to the Companies Act which are intended to further enhance the regulatory framework. The Report has been considered by officials from my Department in the context of the “Plan for Action”. Minister Troy has considered their analysis and proposals, and intends for proposed amendments reflecting the consequences of certain corporate liquidations and restructuring practices to be carried through a Companies (Miscellaneous Provisions) Bill.
35. Deputy David Stanton asked the Tánaiste and Minister for Enterprise, Trade and Employment if there will be a public consultation on the living wage; the approach to be taken for its introduction; and if he will make a statement on the matter. [25013/22]
Amharc ar fhreagraI have spoken previously about how the pandemic has caused many of us to reconsider and re-evaluate what an essential worker is. We now understand it is a much broader group of workers than people would have originally described, many of whom are on low pay and in the private sector.
The Government has been clear that a legacy of the pandemic should be better pay, terms and conditions for everyone, but particularly those currently on low pay. We are committed, therefore, to honouring the programme for Government commitment to progressing a living wage over the lifetime of this Government.
In 2021, I asked the Low Pay Commission to examine the programme for Government commitment to progress a living wage over the lifetime of the Government and to make recommendations to me on how best we can achieve this commitment. Following this request, the Low Pay Commission commissioned a team of researchers in the National University of Ireland, NUI, Maynooth, to conduct research on the living wage. This research was to consider the policy, social and economic implications of a move to a living wage and the process by which Ireland could achieve it. The research was to also examine international evidence on living wages, different calculation methods available, the policy implications of moving to a living wage and ultimately outline options for moving to a living wage in Ireland. In January of this year, the Low Pay Commission received the living wage supporting research report from the researchers at NUI Maynooth.
The Low Pay Commission submitted its Living Wage Report to me at the end of March 2022, along with the accompanying research report from NUI Maynooth. Along with my officials, I am currently reviewing the Commission’s report and recommendations. I am considering the next steps required in the progression to a living wage and intend to bring proposals to Government shortly, including the publication of the Commission’s report and the accompanying research report.
I am committed to progressing to a living wage over the lifetime of this Government. In doing so, we need to recognise that many businesses have been badly affected by the pandemic and are also facing rising costs. We need to make sure that we proceed in a way that does not adversely affect inflation or cause jobs to be lost, either in terms of the numbers of people employed, or the numbers of hours worked. To do so would be counterproductive.
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. The Low Pay Commission is required to submit its annual recommendation on the National Minimum Wage to me on or before the third Tuesday in July.
36. Deputy Louise O'Reilly asked the Tánaiste and Minister for Enterprise, Trade and Employment the steps his Department is taking to minimise redundancies resulting from the pandemic, war in the Ukraine and spiralling inflation; and if he will make a statement on the matter. [25348/22]
Amharc ar fhreagraI am acutely aware of the employment challenges arising from the Pandemic, war in Ukraine and global inflation as identified by the Deputy.
The Government’s Economic Recovery Plan (ERP), published on 1 June 2021, set out renewed supports, investments and policies to underpin Pandemic economic recovery and transition, to support the full resumption of economic activity, and get people back to work as quickly as possible. While the ERP was developed in the context of a post-Pandemic Recovery, its actions are directly relevant to our response to the employment threats that may arise from the War in Ukraine and global inflation.
The ERP outlined supports to help businesses deal with the direct impacts of the COVID-19 pandemic, as well as setting out the Government’s medium-term approach to creating the right environment for a jobs-led recovery and, crucially, to ensure that these jobs are more productive, innovative, resilient and in new areas of opportunity.
Since the beginning of the pandemic, Government has invested heavily to help the sectors and workers most impacted by the pandemic and to stabilise the labour market. Schemes such as the Employee Wage Subsidy Scheme (EWSS), the Covid Restrictions Support Scheme (CRSS) and the Pandemic Unemployment Payment (PUP) were introduced to support the changing needs of industry through the various stages of the public health crisis, as well as to support industry through the transition back to the full reopening of the economy. Since its introduction, the EWSS, an economy-wide support for enterprise, has made €6.7billion in payments to support over 50,000 employers and nearly three quarters of a million employees. Under the CRSS €727million was paid to 25,700 businesses impacted by COVID-19 restrictions. As of the beginning of February 2022, over €9.1billion had been paid out through the PUP.
Moreover, "Pillar 3" of the ERP outlines how the Government intends to rebuild sustainable enterprises as the economy recovers. The Plan adopts a two-pronged recovery approach to rebuilding sustainable enterprises - supporting the domestic SME sector, which is critical to broad-based jobs-led economic growth, whilst leveraging the enormous strength of the Foreign Direct Investment (FDI) sector. It aims to create an environment for a jobs-led recovery through a focus on expanding sectors and by helping business become more resilient and agile.
Projects funded under the National Recovery and Resilience Plan (NRRP) are integrated into the Economic Recovery Plan, and reinforce the Government’s approach, which is focused on supporting recovery and job creation, advancing the green transition, and accelerating and expanding digital reforms and transformation.
Progress on the wide range of deliverables and workstreams across the four pillars of the Economic Recovery Plan is being overseen by the Cabinet Committee on Economic Recovery and Investment with a high-level progress report due to be published in early June. This Report will enable Government assess what further actions may be required and I will also remain engaged with the Enterprise community in that regard.
The latest iteration of the national employment strategy – Pathways to Work 2021-2025 – will help unemployed people get back into employment through intense activation, upskilling and reskilling opportunities, and engaging with employers. It will have an overall target of over 100,000 additional caseloads per year, by expanding the caseload capacity of the Public Employment Service, reducing the risk of labour market scarring and long-term unemployment. There will be a particular focus on youth unemployment and working intensively with young people at greater risk of long-term unemployment, in recognition of the disproportionate effect of the pandemic on young people.
In addition to the work already underway, the Government is looking to prepare for the economy of the future. On 1 March 2022, Government agreed to the development of a White Paper on Enterprise Policy in 2022, led by my Department. The White Paper will set out set out an ambitious medium- to long-term direction for enterprise policy in response to challenges, opportunities and new drivers of growth catalysed by the Covid-19 pandemic, new economic and geopolitical realities, including the War in Ukraine and global inflation, and an increased urgency to accelerate the decarbonisation of industry.
In so doing, the White Paper will articulate what needs to be done differently to realise this vision and to set out clearly the risks to be faced and the policy choices and trade-offs that will arise in order to maintain high-quality jobs, to protect the elements which make Ireland’s economy globally attractive for investment and to ensure a competitive Irish economy into the future.
The invasion of Ukraine has exacerbated the inflationary pressures that Ireland and other economies were already experiencing in the wake of the supply chain disruptions brought by the pandemic. The war, and the necessary introduction of sanctions against Russia, is also disrupting supply chains and leading to large rises in international prices for energy, food and other commodities. The Government recognises the additional challenge these rising prices are bringing for households and businesses, as many are still trying to recover from the effects of COVID-19.
For example, the Government has already implemented several measures to help ease the impact on enterprises and households of energy price increases in the areas of temporary reductions in excise duties on petrol and diesel, particular supports for hauliers and supports for the agricultural sector.
I convened a meeting of my Department's Enterprise Forum earlier this year to hear first-hand how the war in Ukraine is affecting businesses in Ireland. The three main issues raised at that meeting were difficulties in supply chains in Europe and around the world, recent increases in the cost of raw materials and foodstuffs, and energy security and prices. Of course, all of these impacts could have employment implications and we remain engaged with the Enterprise community in that regard.
The European Commission launched a Temporary State Aid Crisis Framework for businesses affected by the Russian invasion of Ukraine. This opens the way for Member States to consider if specific instruments might be needed in the near term, in order to help vulnerable but viable businesses to overcome the acute impacts of the current crisis. As part of the Framework, access to low-cost loans and grants may be made available in order to meet liquidity needs and facilitate necessary investment. This should also assist in mitigating the risks to jobs arising from the war in Ukraine.
As I informed the House previously, there are already effective support schemes in place in response to Brexit and Covid-19. The Government will consider whether, and to what degree, such schemes might be pivoted to firms impacted by the Ukraine crisis in particular.
38. Deputy Colm Burke asked the Tánaiste and Minister for Enterprise, Trade and Employment the status of the online retail scheme; the amount of funding that has been allocated to the scheme since its inception; and if he will make a statement on the matter. [24912/22]
Amharc ar fhreagraA new round of the Online Retail Scheme was opened for applications on 05 May and closes on 01 June 2022. I expect that the successful applicants for this Call of the Online Retail Scheme with a total fund size of €9.3m will be announced by early Q3 2022.
In 2020, my Department launched the COVID-19 Online Retail Scheme in response to the COVID-19 crisis and the urgent need for retail companies to increase their online capability.
The COVID-19 Online Retail Scheme helped companies in the indigenous retail sector who had already started an online journey, to enhance and strengthen their existing online presence. Under the COVID-19 Online Retail Scheme €18.2m in funding was provided to over 500 applications.
Prior to the COVID-19 Online Retail Scheme, 40 retailers across Ireland were provided €894,634 in funding over two calls of the Online Retail Pilot Scheme. The Pilot Scheme was introduced to enable retailers to increase their customer base and build a more resilient business.
The success of the Online Retail Scheme is evident from the broad spectrum of retailers right across the country who have received funding to date to make the digital transition. Successful applicants in the past include retailers in jewellery, fashion, sports, homeware, furniture, healthcare, hardware, electrical goods and equipment. Case studies from previous recipients of the Online Retail Scheme can be found on Enterprise Ireland’s website.
I urge all eligible retailers to apply for this scheme.
To support retailers applying for the Online Retail Scheme, Enterprise Ireland held a webinar on the 06 May outlining the application and evaluation process of the Scheme. There was good attendance at the webinar, indicating a strong appetite for the Scheme and included both repeat applicants and first-time attendees. Enterprise Ireland are due to hold a final webinar on the 24 May at 11am.
Further information about the scheme, webinars and Enterprise Ireland’s Starter Guide to building a successful digital strategy and omnichannel presence can be found on www.enterprise-ireland.com/en/funding-supports/Online-Retail/Online-Retail-Scheme/.
39. Deputy Fergus O'Dowd asked the Tánaiste and Minister for Enterprise, Trade and Employment if he will report on the operation of the Right to Disconnect code of practice since its introduction in April 2021; and if he will make a statement on the matter. [25226/22]
Amharc ar fhreagraThe Code of Practice on the Right to Disconnect is a best practice guide and template to remind employers of the statutory obligations around record keeping, the maximum average weekly working hours permitted for employees, and employees statutory rest period entitlements. The Code is also aimed at ensuring employees are aware of their statutory entitlements and how to raise concerns in relation to non-compliance.
The Code has been operational since 31 March 2021. I understand that the Tánaiste wrote to the WRC to requesting an update on the Code's first anniversary. In reply, the WRC has advised that the matter has not arisen as a core issue in terms of complaints submitted to the WRC nor is it arising over the course of inspections carried out by the WRC.
However, as employee work arrangements are currently in transition to a pattern where employees are likely to spend more time working in locations other than their homes, the delineation between home life and working time may come into sharper focus. Accordingly, it is imperative that both employers and employees are aware that the obligations and protections of the Organisation of Working Time Act 1997 and the Safety, Health and Welfare at Work Act 2005 apply no matter the location.
To address this issue the WRC has developed a social media campaign to coincide with the anniversary of the Code’s implementation.
40. Deputy Aindrias Moynihan asked the Tánaiste and Minister for Enterprise, Trade and Employment the policy solutions or mitigation measures that his Department is considering to ease the impact of current supply chain issues whilst awaiting the establishment of the Expert Group on Global Value Chains and Supply Chains; and if he will make a statement on the matter. [24962/22]
Amharc ar fhreagraThe invasion of Ukraine has exacerbated the economic pressures that Ireland and other economies were already experiencing in the wake of the supply chain disruptions brought by the pandemic. The war, and the necessary introduction of sanctions against Russia, is also disrupting supply chains and leading to large rises in international prices for energy, food and other commodities.
In the short term, Ireland, as a trading nation, is heavily invested in easing the burdens caused by the current supply chain issues. As such, the Government has already implemented several measures to help ease the impact on enterprises and households alike including:
- Steps already taken in relation to work permits for specific sectors such as the removal of HGV driver quota in October 2021 as well as approving a quota for employment permits of 2000 workers for Meat processing and 1000 for Horticulture.
- Extensive ongoing engagement and coordination between Government and relevant agencies in relation to energy issues is taking place, including in relation to short and medium term planning.
- A temporary reduction in the excise duties charged
- For hauliers, a temporary grant scheme will provide a payment of €100 per week to help mitigate the rising price of fuel. The scheme will operate for a period of eight weeks and is valued at €18 million.
- A temporary, targeted intervention package for the tillage sector to the value of €12.2 million in response to the impact on farming.
Furoperational thermore, the European Commission also recently launched its Temporary State Aid Crisis Framework for businesses affected by the Russian invasion of Ukraine. This opens the way for Member States to consider if specific instruments might be needed in the near term, in order to help vulnerable but viable businesses to overcome the acute impacts of the current crisis. As part of the Framework, access to low-cost loans and grants may be made available in order to meet liquidity needs and facilitate necessary investment.
In March 2022, I launched Ireland’s Trade and Investment Strategy 2022-2026: Value for Ireland, Values for the World. One of the priority actions of this strategy is the Establishment of an Expert Group on Global Value Chains and Supply Chains which will build upon the work undertaken by Government during the pandemic on immediate risks to Ireland’s supply chain ecosystem.
The Expert Group on Global Value Chains and Supply Chains will engage in strategic foresight relevant to Ireland’s trade and investment business model, including identifying global supply chain opportunities and threats. It will take a comprehensive approach and examine the opportunities available from relevant EU policies and instruments in trade and industry which can be combined and used in a coherent manner. Themes such as economic nationalism, open strategic autonomy, ‘re-shoring’ initiatives in the US and Europe all require further scrutiny in terms of the global integrated supply chain model that Ireland currently promotes and within which Irish exporters and multinationals in Ireland operate successfully.
