Government Continues with Efforts to Create Jobs and Assist the Unemployed

The increase in unemployment is regrettable but unfortunately not surprising given the dramatic slowdown in the global and national economy.

The Government continues to make strenuous efforts in seeking out job opportunities and upskilling our unemployed to assist them in benefiting from the creation of new and forthcoming job opportunities.

Actions to assist those who are unemployed

The National Employment Action Plan is the Government’s main welfare to work measure.  Every person who is approaching 3 months on the Live Register is referred to FÁS for interview with a view to assisting them in finding employment.  FÁS is working closely with the Department of Social and Family Affairs so they can together respond quickly to the rising Live Register numbers.  FÁS, with the Local Employment Services provided by Area-Based Partnerships, is currently gearing up its Employment Services to provide increased capacity for the increased referrals from the Live Register.

FÁS will be providing a range of certified, short, flexible, modular programmes designed to upskill redundant workers so that they can enhance their prospect of securing employment. A number of programmes are already in place and the frequency and range of these will be expanded over the coming months.  A range of other actions are also being implemented by FÁS for those affected by the construction slowdown.  This will include retraining in the areas of installation of sustainable technologies, environmental activity, and compliance and regulatory work.

In addition, in recognition of the special difficulties faced by apprentices who are being laid off, the Department of Social and Family Affairs and FÁS are working together to facilitate such apprentices in finishing their apprenticeships.

The Department of Social and Family Affairs has a range of education and employment supports available to people in receipt of welfare payments.  The back to education allowance (BTEA) is designed to encourage people on certain social welfare payments to improve their skills and qualifications and, therefore, their prospects of returning to the active work force. Among the improvements to the back to education scheme in recent times is that people who are awarded statutory redundancy may now access the back to education scheme immediately, provided an entitlement to a relevant social welfare payment is established, prior to commencing an approved course of study.

The back to work allowance scheme (BTWA) is designed to assist the long-term unemployed, and other social welfare recipients to return to work.

The Social and Economic Participation Programme under the NDP involves an investment of €50m in a new initiative specifically targeted at encouraging and supporting those on social welfare to make the transition from passive welfare payments to active participation in employment. This is delivered through the Department of Social and Family Affairs’ facilitator network.  10 additional facilitators have been appointed, a further 20 will be appointed in the coming year to bring the total in place to 70. In the first 3 years €13m will be invested, following which the programme will be reviewed to ensure it is reaching the target groups.

All of these initiatives are being undertaken as the Department recognises that unemployment payments need to be supplemented by activation measures to encourage and support social welfare recipients to reduce their dependency on social welfare payments. The measures build on the co-operation and co-ordination that exists between the Department of Social and Family Affairs and FÁS.

The Department continues to monitor and review the conditionality and operation of the employment support schemes with a view to providing the best possible service to its customers and to targeting limited resources at those who are most in need.

Creating Jobs

Employment creation remains a priority for the government. The creation of quality, well-paid jobs will come predominately from two sources – foreign direct investment and indigenous enterprise.

Given the difficult global economic circumstances, there have been some remarkable successes even this week with welcome news of the commencement of construction at the Merck, Sharp and Dohme state-of-the-art vaccine facility in Carlow town and the announcement that Marriott International Inc. is to establish 220 new high quality jobs in its second operation in Cork.

This shows that Ireland is still an attractive location for foreign direct investment and job creation. However, we must keep ahead of the competition for FDI. With that in mind, the Taoiseach recently led a large trade mission of over 100 companies to China and the Tánaiste is currently in the US for an intensive week-long IDA promotional visit. She will also be leading a delegation to the Gulf later this month. These missions have the objective of expanding business opportunities for Irish companies and help to create employment opportunities.

Enterprise Ireland continues to provide a range of supports for start-up companies, including, financial supports, business and market intelligence, mentoring, innovation and R and D. The Government is committed to providing a highly favourable environment for the development of indigenous enterprises. Indeed, the recent budget contained tax incentives for those starting a company. We must support Irish entrepreneurs in these difficult times as it is they who will provide quality job opportunities for Irish citizens.

As regard the regional distribution of job opportunities, Shannon development continues to play a pivotal role as the regional Economic Development Agency for the Mid West Region. Last week we announced €11million euro in funding and management development support for 39 Community Enterprise Centres spread throughout the country. The Government through Enterprise Ireland has supported 134 communities and the 105 completed centres are now home to approximately 1,000 successful businesses employing approximately 5,000 people. In 2009, the capital allocation for the 35 City and County Enterprise Boards will be 34million euro. This will enable the Boards to be actively involved in the area of economic development and will ensure that available funds are targeted to maximise entrepreneurial development around the country.

5 November 2008

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