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Gnáthamharc

Thursday, 19 May 2022

Written Answers Nos. 61-80

EU Directives

Ceisteanna (61)

Paul Murphy

Ceist:

61. Deputy Paul Murphy asked the Tánaiste and Minister for Enterprise, Trade and Employment his views that due diligence obligations under the EU Corporate Sustainability Due Diligence Directive should be extended along the whole value chain with no loopholes. [25231/22]

Amharc ar fhreagra

Freagraí scríofa

A proposal for a Directive on Corporate Sustainability Due Diligence (CSDD) was published by the European Commission on 23rd February 2022. The proposal aims to address the adverse environmental and human rights impacts arising from the operations of companies and those of their subsidiaries and value chains. There will be due diligence obligations on such companies and company directors, when fulfilling their duty to act in the best interest of the company, will be required to take into account the consequences of their decisions on sustainability matters, including, where applicable, human rights, climate change and environmental impacts. Larger companies will be required to adopt a plan to ensure that their business model and strategy is compatible with the transition to a sustainable economy and the limiting of global warming to 1.5 °C, in line with the Paris Agreement. The proposed Directive also requires companies to establish procedures to handle complaints from those adversely affected by company operations and from other key stakeholders. The proposal also provides for the designation of supervisory authorities at national level and a civil liability regime in relation to companies who fail to meet their obligations.

Ireland is supportive of the objective of the proposed Directive which should promote responsible business conduct and we will seek to ensure that the proposals strike the right balance by providing effective protections whilst ensuring that the measures to be implemented by companies are clear, proportionate, and enforceable.

Consideration of the proposals is at an early stage and is ongoing across EU Member States. My Department is engaging at EU working party level to clarify the practical implications for stakeholders.

I am aware that concerns have been expressed by some stakeholders about the perceived shortcomings of the proposal. I look forward to hearing the views of all those with an interest in this area. In this regard, I have recently met with the Irish Coalition for Business and Human Rights and my officials have also met with key stakeholders including representatives of business and civil society organisations. I intend to have further engagement with stakeholders over the coming months and will also launch a public consultation to help inform Ireland's position on the proposal.

Small and Medium Enterprises

Ceisteanna (62)

Richard Bruton

Ceist:

62. Deputy Richard Bruton asked the Tánaiste and Minister for Enterprise, Trade and Employment the top competitiveness challenges for small businesses; and if he will make a statement on the matter. [25378/22]

Amharc ar fhreagra

Freagraí scríofa

One of the main competitiveness challenges facing small businesses today is the high inflation environment and rising input prices. This is damaging to the enterprise sector as the costs of doing business may rise too quickly for some firms to absorb, resulting in the closure of otherwise viable enterprises. Small, domestically-focused firms can also be negatively impacted by lower discretionary consumer spending, as Irish consumers are forced to allocate more of their household budget to cover higher energy prices. Many small businesses around the country are seeing their margins squeezed by the rising costs of doing business, and in particular the significant increases in energy costs. Ireland is highly import-dependent for its energy needs, importing over 70 per cent of the energy we use.

The rapid recovery in the domestic economy, along with rising energy prices, international supply chain bottlenecks and base effects relating to weak price trends in 2020, have been driving a rise in prices since mid-2021. Russia’s invasion of Ukraine has sparked further energy price increases and brought unprecedented volatility to energy markets.

The Government has been helping to mitigate the effects of energy price increases but, unfortunately, cannot fully compensate people and businesses for the increases in cost. The Government has approved a temporary reduction in the excise duties charged by 20 cent per litre of petrol, 15 cent per litre of diesel, and 2 cent in the excise duty charged on marked gas oil. 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. The agriculture sector has been particularly impacted by inflation in the price of almost all farm input prices. The Government agreed a temporary, targeted intervention package for the tillage sector to the value of €12.2 million in response to the impact on farming. The agriculture package will support the production of more native grain and protein crops, and crops with a low demand for chemical fertiliser, which will contribute towards the expected deficit in these crops and help farmers to deal with challenges related to the availability and price of animal feed and fertilisers.

The Government has established a new Energy Emergency Security Group chaired by the Secretary General of the Department of the Environment, Climate and Communications to advise Government on how to respond to the developments in energy markets, to ensure that our emergency plans are up-to-date and to examine impacts on consumers including businesses. My Department is represented on this Group.

The Government will keep the energy situation under close and active review, and we will continue to examine what measures are possible to manage the impact of rising energy prices for households and businesses. My Department is engaging with industry to understand the issues and the business impacts.

The Government will explore what additional options to help businesses may be available based on the European Commission’s Temporary State Aid Framework for businesses affected by the Ukraine crisis possibly by pivoting schemes that were put in place to deal with Brexit and Covid.

It is also important to take a holistic view of the enterprise ecosystem and ensure that areas such as adequate labour supply, appropriate skills base, adequate access to finance and historically non-competitive domestic markets are not overlooked when an acute issue such as the current surge in inflation arises.

We must also be conscious of the extra costs Government is imposing on small businesses through initiatives such as Statutory Sick Pay and the living wage. These reforms are worthwhile but it's important we strike the right balance.

My Department continues to engage with the Expert Group on Future Skills Needs to ensure that Ireland can attract and retain a talented workforce to meet the current and future skills needs of the economy. The Department of Finance continues to coordinate the Retail Banking Review to ensure that Ireland businesses have access to affordable financing.

The National Competitiveness and Productivity Council is responsible for identifying the key competitiveness and productivity issues facing the Irish economy and offers recommendations on policy actions required to enhance Ireland’s competitive position. In the NCPC’s latest annual report, Ireland’s Competitiveness Challenge, the Council recommended that the Government take action to ensure Ireland has a dynamic business environment, to boost productivity growth, and to deliver key housing and associated social and economic infrastructure, together with other critical infrastructure projects, in order to ensure a balanced and sustainable economic recovery. The Government is currently actioning these recommendations and we look forward to the Council’s next annual report which is expected to be published in September 2022.

Joint Labour Committees

Ceisteanna (63)

Aodhán Ó Ríordáin

Ceist:

63. Deputy Aodhán Ó Ríordáin asked the Tánaiste and Minister for Enterprise, Trade and Employment if he will ensure that the decision to reduce the VAT rate for the hospitality sector to 9% until 2023 is conditional on obliging employers in this sector to engage in collective bargaining for pay rises through the Joint Labour Committees ensuring the benefits of the VAT cuts are shared with employees; and if he will make a statement on the matter. [25354/22]

Amharc ar fhreagra

Freagraí scríofa

The conditions of the decision to announce an extension of the 9% Value Added Tax (VAT) rate for the tourism and hospitality industry are as outlined by Minister for Finance, Paschal Donohoe T.D. who is the Minister with responsibility for VAT. This extension until February 2023 is very welcome and should assist the sector greatly as one of the sectors which was most impacted by public health restrictions.

Joint Labour Committees (JLCs) are bodies established under the Industrial Relations Acts to provide a process for fixing statutory minimum rates of pay and conditions of employment for particular employees in particular sectors. A JLC is made up of equal numbers of employer and worker representatives who act autonomously in any negotiations. Any JLC is independent in its functions and no party can be compelled to commit to any terms and conditions as part of this process.

Enterprise Support Services

Ceisteanna (64)

Joe Carey

Ceist:

64. Deputy Joe Carey asked the Tánaiste and Minister for Enterprise, Trade and Employment if he will report on the disbursement of the trading online voucher scheme for 2021; the amount of funding and number of recipients per county; and if he will make a statement on the matter. [24911/22]

Amharc ar fhreagra

Freagraí scríofa

The Trading Online Voucher Scheme (TOVs) offers a voucher of up to €2,500 (50% co- funded by the applicant) to help businesses develop their online trading capability and includes training sessions that cover various topics, including developing a website, digital marketing, social media for business and search engine optimisation.

The information provided is impartial and will assist applicants in deciding what trading online options are right for their business. Funding can be used towards adding payment facilities or booking systems to their website or developing new apps for their customers. The voucher can also be used towards subscriptions to low cost online retail platform solutions, to help companies quickly establish a retailing presence online.

This scheme is demand led and the annual targets and allocations provided to each Local Enterprise Office to meet this demand are based on historical uptake and anticipated demand.

The Local Enterprise Offices are units within each of the 31 Local Authorities and the below table shows the number and value of approvals for each of these for 2021.

LEO

Approvals

Value of Approvals €

Carlow

74

€ 160,624.00

Cavan

52

€ 107,476.00

Clare

120

€ 300,000.00

Cork City

236

€ 510,143.00

Cork N/W

191

€ 415,985.00

South Cork

82

€ 159,871.00

Donegal

133

€ 284,646.00

Dublin City

636

€ 1,449,148.00

South Dublin

155

€ 387,500.00

Dun Laoghaire

251

€ 512,559.00

Fingal

335

€ 736,485.00

Galway

307

€ 767,500.00

Kerry

183

€ 373,923.00

Kildare

125

€ 221,578.00

Kilkenny

88

€ 193,892.00

Laois

70

€ 153,747.00

Leitrim

31

€ 77,500.00

Limerick

127

€ 257,037.00

Longford

32

€ 69,750.00

Louth

109

€ 227,956.00

Mayo

161

€ 336,318.00

Meath

165

€ 324,316.00

Monaghan

27

€ 52,565.00

Offaly

40

€ 90,184.00

Roscommon

42

€ 74,923.00

Sligo

62

€ 122,357.00

Tipperary

88

€ 158,893.00

Waterford

97

€ 197,609.00

Westmeath

132

€ 292,526.00

Wexford

163

€ 330,747.00

Wicklow

128

€ 268,059.00

TOTAL

4,442

€ 9,615,817.00

EU Directives

Ceisteanna (65)

Paul Murphy

Ceist:

65. Deputy Paul Murphy asked the Tánaiste and Minister for Enterprise, Trade and Employment his views that human rights defenders should be named stakeholders in Irish national mandatory human rights and environmental due diligence legislation. [25229/22]

Amharc ar fhreagra

Freagraí scríofa

A proposal for a Directive on Corporate Sustainability Due Diligence (CSDD) was published by the European Commission on 23rd February 2022. The proposal aims to address the adverse environmental and human rights impacts arising from the operations of companies and those of their subsidiaries and value chains. There will be due diligence obligations on such companies and company directors, when fulfilling their duty to act in the best interest of the company, will be required to take into account the consequences of their decisions on sustainability matters, including, where applicable, human rights, climate change and environmental impacts. Larger companies will be required to adopt a plan to ensure that their business model and strategy is compatible with the transition to a sustainable economy and the limiting of global warming to 1.5 °C, in line with the Paris Agreement. The proposed Directive also requires companies to establish procedures to handle complaints from those adversely affected by company operations and from other key stakeholders. The proposal also provides for the designation of supervisory authorities at national level and a civil liability regime in relation to companies who fail to meet their obligations.

Ireland is supportive of the objective of the proposed Directive which should promote responsible business conduct and we will seek to ensure that the proposals strike the right balance by providing effective protections whilst ensuring that the measures to be implemented by companies are clear, proportionate, and enforceable. It is important that measures such as those proposed are on a cross EU basis in recognition of the complex, international nature of many supply chains and to ensure harmonisation, promote policy coherence, and avoid the risk of fragmentation within the EU single market.

The proposal contains a definition for stakeholder which is broadly defined and encompasses a company’s employees, the employees of its subsidiaries, and other individuals, groups, communities or entities whose rights or interests are or could be affected by the products, services and operations of the company, its subsidiaries or its business relationships. My Department remains committed to ensuring the interests and rights of all stakeholders are protected under the proposals.

Consideration of the proposals is at an early stage and is ongoing across EU Member States. My Department is engaging at EU working party level to clarify the practical implications for stakeholders. Given the complexity of the issues being addressed, negotiations at EU level may well continue through the remainder of this year and into 2023. Decisions on how the proposals will be legislated for in an Irish context will be taken once the Directive has been finalised.

I look forward to hearing the views of all those with an interest in the proposal. In this regard, I have recently met with the Irish Coalition for Business and Human Rights and my officials have also met with key stakeholders including representatives of business and civil society organisations. I intend to have further engagement with stakeholders over the coming months and will also launch a public consultation to help inform our position on the proposal.

Enterprise Support Services

Ceisteanna (66, 76)

Jennifer Murnane O'Connor

Ceist:

66. Deputy Jennifer Murnane O'Connor asked the Tánaiste and Minister for Enterprise, Trade and Employment if he will detail the number of companies in each of counties Carlow, Kilkenny, Wexford and Waterford that have applied for funding under the Irish Innovation Seed Fund Programme in tabular form; the number that have been successful in each county; and the total funding awarded in each county to date; and if he will make a statement on the matter. [24971/22]

Amharc ar fhreagra

Dara Calleary

Ceist:

76. Deputy Dara Calleary asked the Tánaiste and Minister for Enterprise, Trade and Employment the number of companies in each of counties Mayo, Galway, Roscommon, Sligo, Leitrim and Donegal that have applied for funding under the Irish Innovation Seed Fund Programme in tabular form; the number that have been successful in each county; and the total funding awarded in each county to date; and if he will make a statement on the matter. [24973/22]

Amharc ar fhreagra

Freagraí scríofa

I propose to take Questions Nos. 66 and 76 together.

On February 9th, the Minister for Finance and I announced the launch of the Irish Innovation Seed Fund Programme which has a strategic emphasis on attracting new fund managers to the Irish equity ecosystem and opening new pipelines for finance. This programme is a fund of funds, which is an indirect form of equity financing for SMEs. SMEs will not directly apply for funding through this programme.

The programme, which is being managed by the European Investment Fund (EIF), will provide vital venture capital to innovative Irish companies at seed stage and is an important step in developing and expanding the pool of private capital available to early-stage companies wanting to grow in Ireland.

Totalling €90 million, the programme is made up of a €30 million contribution from the Department of Enterprise, Trade & Employment through its agency Enterprise Ireland (EI), whilst the EIF will match this investment by providing a further €30 million. The Irish Strategic Investment Fund (ISIF) will co-invest a further €30 million. This €90 million, backed by these strong partners, will be an important cornerstone investment and will attract private co-investment.

Essentially, this programme is a pool of funding drawn from multiple sources, that provides capital for specialist fund managers, who will in turn then seek to invest that capital in SMEs from areas that are often less well served across a variety of sectors and regions in Ireland.

The first call for expressions of interest from experienced fund managers was issued in February and closed on April 29th. It is expected that three to four successful funds will receive investment, and they will, in turn, invest in multiple SMEs from different sectors and regions across the State.

The programme partners, EIF, EI, and ISIF, have been processing and screening the applications, in line with the programme’s strategic goals. Once these are fully processed, the plan is to sign at least one fund before the end of 2022 with the remaining agreements to be signed in the first half of 2023. It's not a question of SMEs applying directly to the Irish Innovation Seed Fund Programme. Once an agreement has been signed with a fund, the fund will then seek SMEs in which to invest.

Living Wage

Ceisteanna (67)

Richard Bruton

Ceist:

67. Deputy Richard Bruton asked the Tánaiste and Minister for Enterprise, Trade and Employment the main challenges to be overcome in the development of a living wage; and if this concept includes terms of access to protection and services needed by those at work. [25379/22]

Amharc ar fhreagra

Freagraí scríofa

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. There are many issues to consider in the move to a living wage, including the method for calculation and whether this should be done based on the basket of goods approach or as a percentage of the median wage. Other issues for consideration concern the impact the introduction of a living wage would have on the wage bill and also how it would interact with the existing tax-benefit system.

To assist its work, the Low Pay Commission commissioned a team of researchers in 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, the 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. I understand that in January of this year, the Low Pay Commission received the living wage supporting research report from the researchers at NUI Maynooth. The Commission met with the researchers at NUI Maynooth and also held a consultation with a number of stakeholders and representative groups with an interest in the progression to a living wage where the implications and challenges of moving to a living wage were discussed.

The Low Pay Commission submitted its Living Wage Report to me in March 2022, along with the accompanying research report from NUI Maynooth. While the report and its recommendations address issues such as the interaction with the existing tax-benefit system, I am still 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.

The move to introduce a living wage is just one of a number of measures aimed at ensuring work pays, particularly for those on low pay. The Pathways to Work 2021 - 2025 strategy which forms part of the national Economic Recovery Plan is also aimed at ensuring that work pays. As part of this strategy, each new jobseeker will be provided with access to a Benefit of Work statement using an online Benefit of Work calculator. This strategy builds on the Make Work Pay action plan contained in the Comprehensive Employment Strategy for People with Disabilities (2015 - 2024). The introduction of the Statutory Sick Pay Scheme is another measure that will also help workers in this regard, along with the Right to Request Remote Work Bill which should reduce commuting costs for workers which for some may also act as a disincentive to work.

Work Permits

Ceisteanna (68)

Pádraig O'Sullivan

Ceist:

68. Deputy Pádraig O'Sullivan asked the Tánaiste and Minister for Enterprise, Trade and Employment if a minimum time can be achieved for the processing of applications for work permits for non-European Union workers particularly in the healthcare sector in which there are so many staff shortages; and if he will make a statement on the matter. [25016/22]

Amharc ar fhreagra

Freagraí scríofa

The employment permits system is designed to facilitate the entry of appropriately skilled non-EEA nationals to fill skills and/or labour shortages, in circumstances where there are no suitably qualified Irish/EEA nationals available to undertake the work and that the shortage is a genuine one. The system is managed through the use of lists designating highly skilled and ineligible occupations.

From the outset of the Covid-19 pandemic all employment permit applications for medical personnel have been expedited in order to assist the State to respond to the threat of Covid-19.

On 14 June 2021, following a review of the employment permit occupation lists, changes to the employment permit system were announced, to address skills and labour shortages in the healthcare and nursing home sector. Following this review the occupation of Nursing Auxiliary or Assistant (Health Care Assistant) in hospital/nursing home settings became eligible for an employment permit from that date.

My Department experienced a significant increase in applications for employment permits in the past year, impacting on processing times. In 2021 27,666 applications were received, representing a 69% increase over the same period in 2020 (16,293) and a 47% increase on 2019 (18,811), which itself represented an 11 year high in applications. 16,275 employment permits were issued in 2021, and a total of 17,968 applications processed.

The increased demand was partially driven by the extension of categories of employment permits following the Review of the Occupational Lists in October 2021. Processing times were also impacted as a result of the HSE cyber-attack which had a direct effect on employment permit applications associated with the July 2021 Doctors rotation, which had to be processed manually.

My Department has since worked with the Department of Health, the Health Service Executive and the Department of Justice to streamline and extend the time period for General Employment Permits (GEP) issued to doctors. A new two-year multi-site GEP for Medical Doctors in Public hospitals and Public health facilities was introduced in respect of the January 2022 Doctors rotation. This will result in significant benefits for applicants, as well as efficiencies for the Employment Permits Section, by eliminating the necessity to apply for additional employment permits when moving to a different Public hospital or Public health facility within this two year period. This should see a substantial reduction in applications for the next Doctors rotation in July 2022

My Department advise that any application for any employment permit should be submitted at least 12 weeks before the proposed employment start date. However, my Department & I recognise the impact delays in the processing times for employment permits has for businesses and their workers. An internal plan of action has been implemented which has increased resources and implemented more efficient methods of processing applications in the permits system. The processing team has trebled in size and daily output has more than tripled compared to 2021 levels.

Since the implementation of this plan, the Employment Permits Unit has made positive progress by reducing the number of applications awaiting processing from about 11,000 in January 2022 to about 6,000 today, despite further strong growth in demand in 2022. As new Departmental staff were trained initially on Critical Skills Employment Permits applications, which include Doctors and Nurses roles, processing times have fallen from 21 weeks to 6 weeks for this cohort. My Department plans to maintain processing times for all CSEP applications at approximately this current level for all of Q2, on the assumption that demand remains at current levels.

The Employment Permits Unit is now coming to the end of processing the bulk of the 3,000 additional General Employment Permits applications made available to the meat and horticultural sectors, following the latest review of the Occupational Lists last year, in addition to the normal processing workload. Last week processing times for General Employment Permit applications for Trusted Partners fell from 22 weeks to 16 weeks. Processing times for General Employment Permit applications from Standard applicants is at 22 weeks but should begin to fall from now on, with processing times considerably reduced by the end of Quarter 2.

Data Centres

Ceisteanna (69)

Denis Naughten

Ceist:

69. Deputy Denis Naughten asked the Tánaiste and Minister for Enterprise, Trade and Employment the steps that he is taking to implement the Government statement on the role of data centres in Ireland’s enterprise policy; and if he will make a statement on the matter. [23492/22]

Amharc ar fhreagra

Freagraí scríofa

A review of the Government Statement on the role of Data Centres in Enterprise Strategy is one of the actions for my Department under the Climate Action Plan 2021 as part of our commitment to reach a 51% reduction in emissions by 2030. I intend to publish the revised statement by the end of Q2 this year.

There has been ongoing and regular engagement with many stakeholders including the Department of Environment, Climate and Communications (DECC), Department of An Taoiseach, Department of Public Expenditure and Reform, Eirgrid, ESB Networks, Commission for Regulation of Utilities (CRU), IDA Ireland and Enterprise Ireland, as we revise the Government’s statement on the role of data centres in our overall enterprise strategy.

Foreign Direct Investment

Ceisteanna (70)

Bernard Durkan

Ceist:

70. Deputy Bernard J. Durkan asked the Tánaiste and Minister for Enterprise, Trade and Employment the extent to which foreign direct investment continues to be a stable feature of our economy; and if he will make a statement on the matter. [25395/22]

Amharc ar fhreagra

Freagraí scríofa

Retaining and strengthening Ireland’s reputation as a destination of choice for foreign direct investment remains fundamentally important to our economic model. Efforts in this area are guided by IDA Ireland’s Strategy, Driving Recovery & Sustainable Growth, which is framed through five interlinked pillars – Growth, Regions, Transformation, Sustainability, and Impact.

Though competition is intense, with countries around the world actively vying for new FDI investments, IDA Ireland has tailored its approach to reflect this increased competition, continuously refining its offering to ensure that Ireland offers the most competitive, innovative, and relevant elements that targeted investments seek. This focus on the sectors that underpin a modern economy is key to our success.

IDA Ireland continues to emphasise the core elements of Ireland’s value proposition for foreign direct investment, which includes our pro-enterprise policy environment, our highly educated and English-speaking workforce, and our membership of the European Union. Taken together, these factors all combine to mark Ireland as a stable and reliable location for investment.

Investors’ confidence in Ireland remains strong, as evidenced by the flow of investment projects over recent months and years. 2021 was a record year for FDI in Ireland. IDA Ireland won 249 investments, increasing Ireland’s market share of investment into Europe in the face of global declines in FDI. The number of people directly employed in MNCs in Ireland grew to over 275,000, with over 29,000 new jobs being created by the sector in 2021.

My Department, with the support of IDA Ireland, will continue to build on Ireland’s 70-plus year track record of attracting and maintaining FDI by strengthening our value proposition to ensure that FDI continues to be a stable feature of our economy.

Employment Rights

Ceisteanna (71)

Ruairí Ó Murchú

Ceist:

71. Deputy Ruairí Ó Murchú asked the Tánaiste and Minister for Enterprise, Trade and Employment the steps he will take to address Irish citizens living in Northern Ireland being frozen out the the job market in the south with some remote working positions stipulating an address in the south as a requirement; and if he will make a statement on the matter. [25340/22]

Amharc ar fhreagra

Freagraí scríofa

The Employment Equality Acts 1998 to 2015 prohibit an employer from discriminating against an employee or prospective employee in relation to access to employment, conditions of employment, training or experience for or in relation to employment, promotion or regrading or classification of posts.

Employers are required to operate fair recruitment procedures from the outset that are free from discrimination in order to be compliant with their obligations under the Act. For example, job advertisements, interview questions, job application forms etc, must be free from discrimination on any (or all) of the nine discriminatory grounds provided for in the Act, including race and nationality. The Employment Equality Acts 1998 to 2015 fall under the remit of the Minister for Children, Equality, Disability, Integration and Youth.

In the context of Pillar 1 of the National Remote Work Strategy, published in January 2021, a commitment was made to legislate to provide employees with the right to request remote work. This is one of the key actions of the Strategy.

In line with that Strategy, on 25th January the Government approved the priority drafting of the Right to Request Remote Working Bill 2022. This will provide employees with a right to request remote work and provide a legal framework around which requesting, approving or refusing such a request can be based. It will also provide legal clarity to employers on their obligations for dealing with such requests. The draft legislation provides that any employee with 6 months service can nominate a location from which they wish to work remotely and the employer must consider that application.

Pre-legislative scrutiny of the General Scheme by the Joint Oireachtas Committee on Enterprise, Trade and Employment commenced on 9th February and Departmental officials are scheduled to attend a further meeting on the 18th of May.

Human Rights

Ceisteanna (72)

Catherine Connolly

Ceist:

72. Deputy Catherine Connolly asked the Tánaiste and Minister for Enterprise, Trade and Employment if he raised human rights with his Colombian counterparts, or any other stakeholders, during his March 2022 visit to Colombia; and if he will make a statement on the matter. [25368/22]

Amharc ar fhreagra

Freagraí scríofa

During my recent visit to Colombia, human rights was discussed as part of a programme designed to explore all aspects of our bilateral relationship, including regional issues, trade relations and peace process implementation. I raised the issues around human rights in Colombia throughout my visit with various stakeholders, including in meetings with President Duque and Vice President Ramirez.

I discussed peace process implementation with President Duque and also expressed Ireland’s concern at the threats to social leaders in the country and the levels of armed violence and its negative impacts, including in the context of this year’s elections. In addition, I discussed peace implementation and the issues around human rights with Vice President and Foreign Minister Marta Lucia Ramirez. The visit by Vice President Ramirez to Dublin at the start of April offered a further opportunity to discuss these issues at a political level with the Colombian Government.

Furthermore, while in Colombia I met with UN Special Representative, Mr. Carlos Ruiz Massieu, to discuss peace agreement implementation and security, and I separately spoke with the Presidents of Colombia’s Truth Commission and the Unit for the Search of Disappeared Persons on their work. I also had the opportunity to visit an income-generating project established by ex-FARC combatants, as well as a HALO Trust demining project that is supported by funding from Irish Aid. These issues were discussed as part of a programme designed to explore all aspects of our bilateral relationship, including regional issues and trade relations.

Ireland, including through the Department of Foreign Affairs and our Embassy in Bogota, closely monitors the human rights situation in Colombia and has been consistently active, in co-ordination with our EU partners, in responding to human rights concerns.

The situation with regard to human rights in Colombia is closely linked with implementation of the Colombian Peace Agreement, and Ireland has long been a supporter of the comprehensive implementation of the accord. Between 2016 and 2021, Ireland provided just under €17 million in funding to Colombia, focusing on the implementation of the agreement, as well as human rights, broader conflict prevention and peacebuilding, and supporting Venezuelan migrants. Ireland also operates a lesson-sharing programme with Colombia based on peacebuilding in Northern Ireland. Ireland’s new Strategy for the Latin America and Caribbean region foresees this engagement being continued and strengthened over the next four years as a priority.

In addition, our seat on the UN Security Council has allowed us to deepen our engagement on these issues. In Ireland’s statements to the Council on Colombia this year and last, we have commended Colombia on the progress made in implementation of the Agreement, while consistently calling for its full implementation, particularly the provisions on gender and ethnicity. In addition, we have on each occasion made our concerns clear at the high levels of violence experienced by social leaders, human rights defenders and ex-combatants.

These messages have also been communicated to the Colombian authorities through our Embassy in Bogota and the EU Delegation in-country, with which Ireland works closely on human rights and peacebuilding in Colombia.

I can assure the Deputy that the Irish Government will continue to monitor the human rights situation in Colombia and remain active in our response, and will continue to raise issues of concern with stakeholders wherever appropriate and feasible.

Employment Rights

Ceisteanna (73)

Louise O'Reilly

Ceist:

73. Deputy Louise O'Reilly asked the Tánaiste and Minister for Enterprise, Trade and Employment his views that non-adherence to Employment Regulation Orders are a problem; and if he will make a statement on the matter. [25345/22]

Amharc ar fhreagra

Freagraí scríofa

An Employment Regulation Order fixes minimum rates of pay and conditions of employment for workers in certain sectors and employers in those sectors are obliged to pay wage rates and provide conditions of employment not less favourable than those prescribed.

An employer of workers to whom an ERO applies must keep records of wages, payments, etc., and must retain these records for three years.

The Workplace Relations Commission (WRC) is an office under the remit of my Department and the WRC can provide information to persons with questions or complaints regarding their rights under employment law.

Any breaches of an Employment Regulation Order may be referred to the WRC for appropriate action.

If enterprises that are covered by Employment Regulation Orders are experiencing severe financial difficulties, they can apply to the Labour Court for an exemption from their obligation to pay the rates provided for in the Orders for a specified period of time. The criteria relating to such exemptions is provided for in the Industrial Relations (Amendment) Act 2012.

Health and Safety

Ceisteanna (74, 82)

Paul Murphy

Ceist:

74. Deputy Paul Murphy asked the Tánaiste and Minister for Enterprise, Trade and Employment the progress that is being made in relation to legislation or regulation to give workers the right to clean air at the workplace. [25232/22]

Amharc ar fhreagra

Bríd Smith

Ceist:

82. Deputy Bríd Smith asked the Tánaiste and Minister for Enterprise, Trade and Employment if he will clarify the progress made in enacting the workplace ventilation Bill and its provisions; and if he will make a statement on the matter. [25209/22]

Amharc ar fhreagra

Freagraí scríofa

I propose to take Questions Nos. 74 and 82 together.

As I outlined in my speech to the Dáil during the Second Stage Debate on the Private Members Bill, the Workplace Ventilation (COVID-19) Bill 2021, there were certain legal and practical aspects to the Bill that required more detailed consideration. I asked the Health and Safety Authority, under section 57 of the Safety Health and Welfare at Work Act 2005, to formally review the existing provisions on workplace ventilation in the Safety, Health and Welfare at Work (General Application) Regulations 2007 and to establish what further measures could be considered in relation to workplace air quality. I also asked the Authority to take into consideration the measures that other European Countries have put in place in relation to the use of CO2 monitors in workplaces.

The Health and Safety Authority recently forwarded this comprehensive review and I, and my officials, are examining the various options considered.

I can assure the Deputy that the outcome will achieve the objectives of the Workplace Ventilation (COVID-19) Bill 2021 and will establish a mechanism for workplace indoor air quality standards that can be updated speedily as required and will also incorporate the full enforcement powers of the Health and Safety Authority.

I would add that the existing General Application Regulations create a requirement on employers to make sure that there is an adequate supply of ventilation in enclosed areas of the workplace and the evaluation of ventilation should already form part of an overall workplace risk assessment. Also, the Health and Safety Authority already has enforcement powers to seek improvement in ventilation in workplaces.

However, it is clear that there is scope to strengthen current approaches on foot of learnings from COVID-19 and to bring about wider positive benefits for health and wellbeing beyond the COVID-19 experience.

Enterprise Support Services

Ceisteanna (75)

Brendan Griffin

Ceist:

75. Deputy Brendan Griffin asked the Tánaiste and Minister for Enterprise, Trade and Employment his further plans to assist the self-employed and small business owners; and if he will make a statement on the matter. [25236/22]

Amharc ar fhreagra

Freagraí scríofa

At the outset I would encourage any person looking to start, expand or pivot their business to contact their Local Enterprise Office as they continue to provide a ‘first stop shop’ or signposting for all available Government business supports. The Local Enterprise Offices offer supports to all entrepreneurs, provided they meet the general eligibility criteria.

Local Enterprise Offices can offer direct grant aid to microenterprises (10 employees or fewer) in the manufacturing and internationally traded services sectors which, over time, have the potential to develop into strong export entities.

The Local Enterprise Offices continue to offer Feasibility Grants, which help start-up companies or individual entrepreneurs with the cost of researching their proposed business or new business idea to see if it could be viable and sustainable, and Priming Grants, which aim to help with the associated costs of start-up. However, it should be noted that the Local Enterprise Offices do not provide direct grant-aid to areas such as retail, personal services, local professional services or local building services, as it may give rise to the displacement of existing businesses.

The Local Enterprise Offices also provide a wide range of high-quality business and management development programmes that are tailored to meet specific business requirements. Whether it is starting a business or growing a business there is something suitable for everyone exploring self-employment as an option.

I would encourage any person starting a business to enquire about the Start Your Own Business Programme. The objective is to assist clients in assessing their business idea, its viability and helps them decide if they should proceed or take a step back. The programme covers topics such as Starting up / getting started, Identifying, understanding, and researching your target market, Developing your Business Plan amongst other vital areas of interest to a new business.

In 2022 the LEOs will continue to offer the Trading Online Voucher scheme, to help businesses develop their online trading capability.

The Local Enterprise Office Green for Micro programme is designed to assist micro enterprises to prepare for the low carbon, more resource efficient economy of the future. This support is open to all micro enterprises with fewer than ten employees. Qualifying businesses will access two days of intensive mentoring including a sustainability audit and action plan, designed to help "green" their business.

Scaling and growing the export and start-up businesses continue to be key priorities for my Department. Enterprise Ireland helps entrepreneurs and start-up companies with business planning, mentoring and development advice, feasibility funding and finance.

Enterprise Ireland supports new enterprises through the High Potential Start Up division. If a start-up business has the potential to develop an innovative product or service for sale on international markets and the potential to create 10 jobs or more and €1m in export sales within 3 years of starting up, they may qualify for assistance from Enterprise Ireland through the High Potential Start-up Programme.

The Innovative HPSU Fund allows Enterprise Ireland to offer equity investment to HPSU clients on a co-funded basis to support the implementation of a company’s business plans. First time and follow-on equity investments in HPSUs are supported under this offer.

The SME and Entrepreneurship Growth Plan provides Government with a set of recommendations, directly from the business community, on how to build a better business and regulatory environment for our SMEs and entrepreneurs. My colleague Minister Robert Troy and I chair the SME and Entrepreneurship Implementation Group, which was established last year to examine and take forward these recommendations.

Through this avenue, ten priority areas have been identified that we feel have the most potential to make a positive impact on small businesses and entrepreneurs in 2022. These relate to: access to finance; digital transformation; increasing first time exporters; enhanced assistance for high-potential businesses; clustering and networks; SME management skills; reducing the regulatory burden on SMEs; delivery of a single portal for business information and supports; ensuring comprehensive enterprise supports coverage; and increased public procurement opportunities for SMEs.

My Department is working closely with officials in agencies and Departments across Government to progress actions in these areas in 2022. A progress report on this work will go to Government later this year and will be published thereafter.

Question No. 76 answered with Question No. 66.

Low Pay

Ceisteanna (77)

Louise O'Reilly

Ceist:

77. Deputy Louise O'Reilly asked the Tánaiste and Minister for Enterprise, Trade and Employment his views on the second instalment of the Central Statistics Office’s Personal and Work-Life Balance Survey 2021 which found that nearly a quarter of people in full-time employment are struggling to make ends meet. [25347/22]

Amharc ar fhreagra

Freagraí scríofa

A priority for the Government is that work should always pay and that there should not be any disincentive to work. The Government has taken many steps to achieve this aim while also addressing the challenges that have arisen in relation to the cost of living.

Ireland currently has one of the highest minimum wage rates in the EU. Of the 21 EU Member States that have national minimum wages, Ireland has the second highest national minimum wage in terms of gross monthly rates. When adjusted for purchasing power standards (PPS), Ireland ranks at sixth place. Since the establishment of the Low Pay Commission in 2015, Ireland’s National Minimum Wage has increased from €8.65 per hour to €10.50 per hour between 2016 and 2022. This increase has resulted in a 21.4% increase in the National Minimum Wage. This compares with an increase in consumer prices of 7% in the six years to December 2021 so the National Minimum Wage has increased substantially in real terms over recent years.

Several measures have also been taken to help with recent increases in the cost of living. Budget 2022 contained a large range of measures to protect households from the rising cost of living, including a personal income tax package worth €520 million and a social welfare package of over €550 million. There were also increases in the allocation of Early Learning and Care and School-Age Childcare to ensure childcare prices do not rise. The cost of the Drug Payment Scheme was reduced to €80. The working family payment increase announced on Budget Day was brought forward from 1 June to 1 April, and a reduction in the rate of VAT on gas and electricity from 13.5% to 9% has also been introduced until the 31st of October. A temporary 20% reduction in public transport fares applicable from April until the end of the year has also recently been put in place.

The Government has also acted quickly and decisively to introduce measures aimed at offsetting the increased cost of living for social welfare recipients. In March, a once-off lump sum of €125 was paid to all households in receipt of the Fuel Allowance payment, at a cost of approximately €49 million. A further additional lump sum payment of €100 is being paid to these households from this week – a payment equivalent to over 3 weeks additional Fuel Allowance – costing €37 million. Taken together with the €5 increase in Fuel Allowance announced as part of Budget 2022, this means that low-income households will see an increase of 55% in Fuel Allowance support provided during this fuel season compared to last season.

In response to the effects of the pandemic, the Government also launched the Pathways to Work 2021 - 2025 strategy which is a key part of the national Economic Recovery Plan. This strategy includes employment advice and guidance, job matching, employment programmes, and opportunities for upskilling. In addition to reducing long-term unemployment and reducing the youth unemployment rate, this strategy also aims to improve labour market transitions and to ensure better labour market outcomes for all. As part of this strategy, each new jobseeker will be provided with access to a Benefit of Work statement using an online Benefit of Work calculator. This strategy builds on the Make Work Pay action plan contained in the Comprehensive Employment Strategy for People with Disabilities (2015 - 2024).

There is also a Programme for Government commitment to progress to a living wage over the lifetime of the Government. One definition of a living wage is that it is ‘the average gross salary which will enable full-time employed adults (without dependents) to afford a socially acceptable standard of living.’ This goes beyond the need for workers to earn just enough to cover their basic expenses and to make ends meet but would also enable them to participate and contribute more fully in society by having more discretionary income available to them.

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.

The Low Pay Commission submitted its Living Wage Report to me on 31 March 2021, along with the research report from NUI Maynooth. 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.

Living Wage

Ceisteanna (78)

Aodhán Ó Ríordáin

Ceist:

78. Deputy Aodhán Ó Ríordáin asked the Tánaiste and Minister for Enterprise, Trade and Employment when he intends to publish the report on the introduction of a living wage submitted by the Low Pay Commission; and if he will make a statement on the matter. [25355/22]

Amharc ar fhreagra

Freagraí scríofa

I 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.

Employment Support Services

Ceisteanna (79)

Emer Higgins

Ceist:

79. Deputy Emer Higgins asked the Tánaiste and Minister for Enterprise, Trade and Employment his Department’s engagement with the Department of Social Protection in terms of assisting people with the transition from social welfare support into employment; and if he will make a statement on the matter. [24956/22]

Amharc ar fhreagra

Freagraí scríofa

Under pillar 2 of the Economic Recovery Plan, the Government has committed to helping people back to work as the pandemic unemployment payment is phased out, and to reducing the risk of labour market scarring and entrenched long-term unemployment. This is in the context of the plan’s overarching objective of having 2.5 million in employment by 2024, a target in fact met by the end of 2021, and to supporting the transition of Ireland’s economy and workforce to the new Green and Digital economies.

Pathways to Work, 2021-2025, the national employment strategy for helping unemployed people prepare for, secure and sustain employment is the Recovery Plan’s key delivery mechanism for these ambitions around labour market activation. Its key targets include supporting 75,000 long term unemployed into employment by mid-2023; reducing youth unemployment to below its 2019 average; ensuring better labour market outcomes for those most at risk of poverty, including lone parents and people with disabilities; and improving labour market transitions by reducing the rate at which newly unemployed persons progress into long term unemployment.

The Department of Enterprise, Trade and Employment and its enterprise agencies, Enterprise Ireland and IDA Ireland, as well as the Retail Consultation Forum convened by my Department, are working with the Department of Social Protection to implement Pathways to Work. In particular, the Department and its agencies are working to raise employer awareness and take up of employment supports such as the expanded JobsPlus subsidy scheme and Work Experience Placement Programme, including through support for the strategy’s series of employer roadshows, as well as partnering with the Department of Social Protection on the hosting of 130 job promotion events for jobseekers and employers and two national Intreo Work and Skills Weeks annually.

As committed to in Pathways to Work, the Department of Enterprise, Trade and Employment will also be working with other Departments to increase labour market participation among underrepresented groups. This will include the development and operation of ‘Returner’ programmes, to encourage and support people who have left the workforce to take up employment, as well as the development of a Traveller and Roma Training, Employment and Enterprise Plan. Through its role in informing education and training provision, the analysis of the Expert Group on Future Skills Needs, the Secretariat for which is based in my Department, is also supporting the labour market activation of the unemployed into areas of identified skills needs for Ireland’s economy.

My Department is also represented as an ex-officio member of the Labour Market Advisory Council, which provides advice to the Minister for Social Protection on the efficient operation of the labour market, with a particular view to increasing participation rates, minimising unemployment levels, and reducing average unemployment durations. The Council plays a key role in monitoring the implementation and reporting on the progress of Pathways to Work. The Department and its enterprise agencies also participate on the Labour Market Surveillance Group, chaired by the Department of Social Protection, which meets regularly to share labour market intelligence, discuss the latest policy developments and ensure coordinated responses at both national and regional levels.

Work Permits

Ceisteanna (80)

Mark Ward

Ceist:

80. Deputy Mark Ward asked the Tánaiste and Minister for Enterprise, Trade and Employment if he will request his Department to place psychologists on the critical skills list; and if he will make a statement on the matter. [24868/22]

Amharc ar fhreagra

Freagraí scríofa

Ireland’s employment permit system is designed to supplement the State’s skills and labour supply over the short to medium term by allowing enterprises to recruit nationals from outside the EEA, where such skills or expertise cannot be sourced from within the EEA at that time.

The system is, by design, vacancy led and managed through the operation of the occupation lists, namely the critical skills list in respect of skills that are deemed to be critically important to growing Ireland’s economy, are highly demanded and highly skilled professional roles and in significant shortage of supply in our labour market and the ineligible occupations lists for which a ready source of labour is available from within Ireland and the EEA.

In order to maintain the relevance of these lists of occupations to the needs of the economy and to ensure the employment permits system is aligned with current labour market intelligence, these lists undergo regular, evidence-based reviews which are guided by research undertaken by the Expert Group on Future Skills Needs (EGFSN), the Skills and the Labour Market Research Unit (SLMRU), SOLAS and involves public/stakeholder consultation. Consideration is also taken of the views of the Economic Migration Interdepartmental Group, chaired by my Department and of the relevant policy Departments, in this case the Department of Health.

Changes to the employment permit occupations lists are made where there are no suitable Irish/EEA nationals available, development opportunities are not undermined, a genuine skills shortage exists rather than a recruitment or retention problem, and Government education, training and economic development policies are supported. The lists are subject to bi-annual review to ensure their ongoing relevance to the State’s human capital requirements.

The occupation of Psychologist is not included on the Ineligible Occupations List, and is currently eligible for a General Employment Permit. No submissions were received in recent reviews of the occupations lists in relation to the occupation of Psychologist.

The General Employment Permit is the primary vehicle used by the State to attract third country nationals in occupations with remuneration thresholds of generally €30,000. In accordance with Employment Permit legislation, in order to ensure that job opportunities are made available to Irish and EEA nationals, employers must satisfy a Labour Market Needs Test before a General Employment Permit (GEP) can be issued to a non-EEA national. This policy fulfils our obligations under the Community Preference principles of membership of the EU.

Department officials are actively engaged with the Department of Health in relation to recruitment challenges for a number of healthcare professions. The Department continues to review the employment permits system in light of changing labour market circumstances.

The next review of the occupations lists is expected to commence with a public consultation in Q2 2022.

When open, submissions will be invited from sector representative bodies and interested parties via the Public Consultation Form which will be accessible on the Department’s website.

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