TRANSFORMING OUR INDUSTRIAL LANDSCAPE AND CREATING JOBS

MACGILL SUMMER SCHOOL, GLENTIES, JULY 26^th 2011

SPEECH BY MINISTER FOR JOBS, ENTERPRISE AND INNOVATION RICHARD BRUTON T.D.

INTRODUCTION & HISTORICAL CONTEXT

The past, we are told, is a foreign country.

Fifty years ago so much was different. The Everly Brothers were top of the charts, Spurs were league champions and a new broadcasting service called Teilifis Eireann was just turning on.

On the other hand, Tipperary held the Liam McCarthy cup and another Irish American was in the Oval Office……!

Tragically however, years of poor public policy left 1960s Ireland isolated, impoverished and ill-prepared for the challenges of a rapidly changing international marketplace.

Maybe the past isn’t such a foreign country after all.

LEMASS & WHITAKER RESPONSE

It is well known that the key to transforming this bleak and miserable economic landscape was an axis of innovation forged between political, public and private stakeholders in our economy. This axis of innovation during this period of our country’s reinvention is most readily recognised and embodied by Sean Lemass and TK Whitaker.

Politician and public servant, working together and driving change. Reinventing a new Ireland out of the ruins and wreckage of years of misguided policy. They abandoned failed policies and stood up to those who would resist. They recognised obstacles holding back sectoral opportunities and removed those obstacles to let ambitions be realised.

More than that, they set out a vision of what could be achieved and inspired confidence and support for their plan.

TODAY’S BURNING PLATFORM

Unemployment today is a staggering 14.1%. More worrying again, 60% of the 300,000 job losses in recent years are people under the age of 25. More than half of those out of work are already over a year unemployed and are now at serious risk of marginalisation.

Our net emigration is around the same as the 40,000 that in 1961 capped off a tragic lost decade.

While Lemass and Whitaker inherited a sluggish economy we inherited an economy which has suffered a catastrophic decline of 12% in the last three years.

And unlike Lemass and Whitaker, we live in a country which has suffered a humiliating loss of economic sovereignty for the first time in our independent history and the scale of our collapse is unprecedented in modern economic analysis.

In the midst of this crisis, we must make some fundamental choices about our future and how we imagine it, plan for it and then realise it.

That vision of our economic future can’t sears of misguided policy. They abandoned failed policies and stood up to those who would resist. They recognised obstacles holding back sectoral opportunities and removed those obstacles to let ambitions be realised.

More than that, they set out a vision of what could be achieved and inspired confidence and support for their plan.

TODAY’S BURNING PLATFORM

Unemployment today is a staggering 14.1%. More worrying again, 60% of the 300,000 job losses in recent years are people under the age of 25. More than half of those out of work are already over a year unemployed and are now at serious risk of marginalisation.

Our net emigration is around the same as the 40,000 that in 1961 capped off a tragic lost decade.

While Lemass and Whitaker inherited a sluggish economy we inherited an economy which has suffered a catastrophic decline of 12% in the last three years.

And unlike Lemass and Whitaker, we live in a country which has suffered a humiliating loss of economic sovereignty for the first time in our independent history and the scale of our collapse is unprecedented in modern economic analysis.

In the midst of this crisis, we must make some fundamental choices about our future and how we imagine it, plan for it and then realise it.

That vision of our economic future can’t simply be built on a perpetuation of the policies of our past. As I have said before, the biggest mistake after an earthquake is to build again over the same fault lines using the same design.

MINISTER’S RESPONSE TO BURNING PLATFORM

But the aftermath of an earthquake is also an opportunity. We must use this opportunity to create entirely new foundations for the Irish economy.

It is my view that today, like 50 years ago, we need to reimagine our country’s future with a daring vision of how we want our economy to operate so that it can support the type of society we aspire to.

In short, I am persuaded now more than ever before that if we are to transform our industrial landscape and create the type and number of jobs that we need then we need nothing short of a revolution. That revolution is not just a political one, or a technological one or even a financial one.

It is a revolution of mindset. It is a revolution in thinking and attitude. It is a revolution where new ideas and change are embraced, championed and realised.

THE INNOVATION REVOLUTION

Put another way, the revolution we need is an Innovation Revolution. We need a revolution in our economic planning; a revolution in our public service and political system; a revolution in how our communities and people engage and interact with our political and economic systems of governance.

But who will lead this revolution?

You see, when I speak of an Innovation Revolution I am talking about all walks of Irish life. I’m talking about innovation in how we deliver public services, how we improve our communities, how we educate our children, how we prepare for the challenges of the next 50 years in all facets of our economy. Innovation can be a small change in a community or a small business that improves life quality or productivity; or it can be a new discovery in a lab that spawns a new industry.

Innovation must become the norm across our political and economic system, not just an occasional add-on to the tried and tired policies of the past. It is this innovation revolution that will drive the productivity growth that will push our economy to new levels and create the new jobs are our people demand. The crucial thing is that everyone can play a role.

You see, for me, people like Mickey Harte, Moya Doherty, Sebastian Barry or Rory McIlroy are leading innovators that have transformed and improved the world around them with their passion, their ingenuity and their courage to break new ground in the fields they operate.

Steve Jobs once said that innovation distinguishes between leaders and followers. I agree. All the people I mentioned above are leaders, not followers.

The time is right for Ireland Inc to start planning to lead rather than waiting to follow.

ELECTION an OPPORTUNITY to START AFRESH

The election has created a watershed – the chance to plan ahead for a vigorous comeback. Too much time has been spent trying to shore up the failed policies of the past. Now is the time to start creating a new future.

There is no reason why we can’t aim high and hit our targets. Other small countries have faced adversity and turned it into the foundation for unprecedented success.

After a severe crisis in the 1990s Finland took radical action, developed strong indigenous industries, including the world’s largest telecommunications company, and achieved average growth rates of over 4% in the decade from 1994.

Israel has faced little but adversity since its foundation but at every point has turned difficulty into strength. It now boasts the highest number of start-up companies and the largest venture capital industry per capita in the world and has achieved strong and sustained growth rates since the mid-1990s.

Adversity and necessity drove the invention and the innovation that transformed these small economies and it can do the same here.

The truth is, Ireland has every reason to be confident for the future because we have real strengths and a vigorous innovative new generaThe time is right for Ireland Inc to start planning to lead rather than waiting to follow.

ELECTION an OPPORTUNITY to START AFRESH

The election has created a watershed – the chance to plan ahead for a vigorous comeback. Too much time has been spent trying to shore up the failed policies of the past. Now is the time to start creating a new future.

There is no reason why we can’t aim high and hit our targets. Other small countries have faced adversity and turned it into the foundation for unprecedented success.

After a severe crisis in the 1990s Finland took radical action, developed strong indigenous industries, including the world’s largest telecommunications company, and achieved average growth rates of over 4% in the decade from 1994.

Israel has faced little but adversity since its foundation but at every point has turned difficulty into strength. It now boasts the highest number of start-up companies and the largest venture capital industry per capita in the world and has achieved strong and sustained growth rates since the mid-1990s.

Adversity and necessity drove the invention and the innovation that transformed these small economies and it can do the same here.

The truth is, Ireland has every reason to be confident for the future because we have real strengths and a vigorous innovative new generation with a proven record. We have a strong export sector; we have made significant strides in competitiveness; we are the location of choice for many of the most ambitious companies in the world and we have a proven research base for harnessing creativity.

If we can build on these strengths and add some more I don’t see why, by 2020, we should not aspire to:

Create 200,000 new jobs and have over two million people at work;
· Be the best small country to run an enterprise;
· Double the value of our indigenous exports;
· Return to and stay in the top five countries for cost-competitiveness in the EU.

These are the type of targets and outcomes that a revolution in our thinking can achieve.

THE CHALLENGE FOR A NEW PLAN

In planning for that new future any new plan will need to address 6 key issues.

Role of Government

First, every enterprise needs a competitive location, a supportive environment, a good management team and a market to sell its goods.

The reality is that Government, in its many different guises and agencies, is a critical player in every one of these. No part of government can be a detached onlooker.

If the winds of our Innovation Revolution can blow through the corridors of every legislator, regulator and educator then the natural ingenuity of Irish people can be unleashed.

Role of FDI

Second, FDI has been, and will remain, a key element of our economic model and we must create the conditions where ambitious leaders of these businesses in Ireland can win strategic new elements of their global operations.

However, the challenge for tomorrow is not just whether we can attract the next Google, Microsoft or Intel to our shores.

The challenge for tomorrow is, can we grow our own Google, Microsoft or Intel here in Ireland?

Where is Ireland’s answer to Apple going to emerge from in the next 10 or 20 years?Fostering Entrepreneurs

Third, in transforming our industrial landscape, we must seek to create an indigenous engine of economic growth. We have one of the highest percentages of entrepreneurs in the OECD with 8.6% of the population established as entrepreneurs. Yet our indigenous enterprises struggle to increase value added and gain foothold in export markets. We must find smarter ways to enable our enterprises realise their full potential.Linking in with Social Programmes

Fourth, in this type of environment we also need to reconnect our social programmes to developing potential and opportunity. That means making engagement with training and education a condition of support; developing programmes where talent can volunteer to contribute to worthy work at home or abroad and expecting people to fulfil their side of the bargain by testing themselves in these new opportunities.

Targeting Winning New Industries

Fifth, if Ireland is to have a real opportunity of early-mover advantage in key sectors we must be willing to make choices in our investment and to become the catalyst for clearing obstacles and backing the innovators.

That means supporting new industries like Cloud Computing, Lifesciences, Cleantech, Digital Content and Digital Gaming and a small group of others. We have shown our commitment to date in some of these sectors and I am determined to champion the cause of the others through policy and further promotion.

Innovation and Productivity Growth

Finally, and most fundamental, is the transformation of productivity or value added in both public and private and welfare sectors and at individual, corporate and community levels. Without a transformation in productivity we cannot create the competitiveness we need and release resources for investment in development of both public and private sectors. Without competitiveness and investment there will be no jobs. The type of productivity growth to drive the sustainable jobs of the future can only be underpinned by constant innovation of products and processes and a coherent strategy to foster just such an environment.

THE PLAN SET OUT

Now is the time to pull these strands together into a coherent plan.

This Plan will have as its one mission a determination to get our people back to work. It will rebuild our communities around sustainable, innovating and exporting new enterprises. It will be driven by a new generation of Irish entrepreneurs supported by a new generation of thinking in public policy.

The Government has made a start on this since being given a mandate last February. In just five months we have:

Recapitalised and resolved the structures of the two pillar banks and have advanced plans to launch a loan guarantee scheme and microfinance fund later in the year;

Launched a targeted Jobs Initiative that cut job taxes and put money in to high tech sectors of R&D like Cloud Computing;

Embarked on a comprehensive review of expenditure designed to weed out and eliminate any waste or excessive burdens from the system;

But this is just the beginning.

Passed reforms of the JLC system, started merging and consolidating agencies and bodies all with a view to reducing costs.

It is my determination having taken on the massive task of tackling the jobs crisis facing our country to now prepare a 21^st century version of Economic Development, the plan that Whitaker built and that Lemass drove.

Building on the actions of the first five months in office I intend pursuing more of the policies that can help prepare the ground for this Plan in the run up to the Budget for 2012. While that Budget has stringent fiscal targets to meet it would be, I believe, a missed opportunity if we did not use that Budget to again re-orient our economy away from the failed dependencies and policies of the past and towards supporting the Innovation Revolution I’ve spoken of today.

Following on from the Budget in December I plan to publish my Economic Plan for the 21^st Century in the New Year and seek to chart a course for a transformation of the economy unlike anything we have seen for 50 years or more.

CONCLUSION

Tearing down barriers, whether physical, intellectual or cultural, will be at the heart of this next phase of our development.

It is appropriate then, on a day that we talk about an Innovation Revolution that will tear down barriers to our future economic success, we look back to that foreign country that is the past. Fifty years ago today, on a visit to East Berlin Nikita Khruschev gave the go ahead to Walter Ulbricht for the building of one of the 20^th Centuries most iconic of barriers – the Berlin Wall.

In an Irish context, from a very different starting place, it is time to start tearing down the walls that are holding us back.

As Whitaker wrote in Economic Development;

“Readiness to adapt to changing conditions is a sine qua non for economic success”

I view this Innovation Revolution as the beginning of a drive towards a self sustaining higher productivity economy underpinned by a pioneering skills and enterprise base.

But the Innovation Revolution is not about men and women in lab coats, though they will play their part. It is not about politicians and public servants, though they too will have a crucial role. And it is not about business people, bankers and industrialists, though they most certainly will be at the heart of the change that I want to see in our economic future.

The Innovation Revolution is about our people, our communities and our children’s future. It is about leading rather than following so that we are masters of our own destiny. It is about Irish people realising their full potential in their own land and creating a future for their children to grow up in and their parents to grow old in.

To paraphrase O’Casey, I believe that the time is rotten ripe for this type of revolution.

The Taoiseach’s speech to the Dáil on the Cloyne report :

I move the motion.

The revelations of the Cloyne report have brought the Government, Irish  Catholics and the Vatican to an unprecedented juncture.

It’s fair to say that after the Ryan and Murphy Reports Ireland is, perhaps, unshockable when it comes to the abuse of children.

But Cloyne has proved to be of a different order.

Because for the first time in Ireland, a report into child sexual-abuse exposes an attempt by the Holy See, to frustrate an Inquiry in a sovereign, democratic republic…as little as three years ago, not three decades ago.

And in doing so, the Cloyne Report excavates the dysfunction, disconnection, elitism….the narcissism …….that dominate the culture of the Vatican to this day.

The rape and torture of children were downplayed or ‘managed’ to uphold instead, the primacy of the institution, its power, standing and ‘reputation’.

Far from listening to evidence of humiliation and betrayal with St Benedict’s “ear of the heart”……the Vatican’s reaction was to parse and analyse it with the gimlet eye of a canon lawyer.

This calculated, withering position being the polar opposite of the radicalism, humility and compassion upon which the Roman Church was founded.

The radicalism, humility and compassion which are the very essence of its foundation and purpose.

The behaviour being a case of Roma locuta est: causa finita est.

Except in this instance, nothing could be further from the truth.

Victims
Cloyne’s revelations are heart-breaking. It describes how many victims continued to live in the small towns and parishes in which they were reared and in which they were abused… Their abuser often still in the area and still held in high regard by their families and the community. The abusers continued to officiate at family weddings and funerals… In one case, the abuser even officiated at the victim’s own wedding…

There is little I or anyone else in this House can say to comfort that victim or others, however much we want to. But we can and do recognise the bravery of all of the victims who told their stories to the Commission.

While it will take a long time for Cloyne to recover from the horrors uncovered, it could take the victims and their families a lifetime to pick up the pieces of their shattered existence.

Papal Nuncio
A day post-publication, the Tánaiste and Minister for Foreign Affairs and Trade met with the Papal Nuncio to Ireland, Archbishop Giuseppe Leanza.

The Tánaiste left the Archbishop clear on two things: The gravity of the actions and attitude of the Holy See. And Ireland’s complete rejection and abhorrence of same.

The Papal Nuncio undertook to present the Cloyne Report to the Vatican.

The Government awaits the considered response of the Holy See.

I believe that the Irish people, including the very many faithful Catholics who – like me – have been shocked and dismayed by the repeated failings of Church authorities to face up to what is required, deserve and require confirmation from the Vatican that they do accept, endorse and require compliance by all Church authorities here with, the obligations to report all cases of suspected abuse, whether current or historical, to the
State’s authorities in line with the Children First National Guidance which will have the force of law.

Clericalism
Clericalism has rendered some of Ireland’s brightest, most privileged and powerful men, either unwilling or unable to address the horrors cited in the Ryan and Murphy Reports. This Roman Clericalism must be devastating for good priests…. some of them old… others struggling to keep their humanity….even their sanity……..as they work so hard…..to be the keepers of the Church’s light and goodness within their parishes…… communities… the human
heart.

Church & State
But thankfully for them, and for us, this is not Rome. Nor is it industrial-school or Magdalene Ireland, where the swish of a soutane smothered conscience and humanity and the swing of a thurible ruled the Irish-Catholic world.
This is the ‘Republic’ of Ireland 2011.

A Republic of laws…..of rights and responsibilities….of proper civic order….. where the delinquency and arrogance of a particular version….. of a particular kind of ‘morality’….. will no longer be tolerated or ignored.

As a practising Catholic, I don’t say any of this easily. Growing up, many of us in here learned we were part of a pilgrim Church.

Today, that Church needs to be a penitent Church. A church, truly and deeply penitent for the horrors it perpetrated, hid and denied.

In the name of God. But for the good of the institution.

When I say that through our legislation….. through our Government’s action to put Children First…….those who have been abused can take some small comfort in knowing that they belong to a nation…..to a democracy where humanity, power, rights, responsibility, are enshrined and enacted …..always….always…. for their good.

Where the law – their law – as citizens of this country, will always supercede canon laws that have neither legitimacy nor place in the affairs of this country.

State/Society
This report tells us a tale of a frankly brazen disregard for protecting children. If we do not respond swiftly and appropriately as a State, we will have to prepare ourselves for more reports like this.

I agree with Archbishop Martin that the Church needs to publish any other and all other reports like this as soon as possible.

I must note the Commission is very positive about the work of the National Board for Safeguarding Children, established by the Church to oversee the operation by Dioceses and religious orders. The Commission notes that
all Church authorities were required to sign a contract with the National Board agreeing to implement the relevant standards and that those refusing to sign would be named in the Board’s Annual Report. Progress has been in no small measure to the commitment of Ian Elliott and others.

There is some small comfort to be drawn by the people of Cloyne from the fact that the Commission is complimentary of the efforts made by the Diocese since 2008, in training, in vetting personnel and in the risk
management of Priests against whom allegations have been made. Nevertheless, the behaviour of Bishop Magee and Monsignor O’Callaghan show how fragile even good standards and policies are to the weakness and willful disregard of those who fail to give the right priority to safeguarding our children.

But if the Vatican needs to get its house in order, so does this State.

The Report of the Commission is rightly critical of the entirely unsatisfactory position which the last Government allowed to persist over many years. The unseemly bickering between the Minister for Children and the HSE over the statutory powers to deal with extra-familial abuse, the failure to produce legislation to enable the exchange of soft information as promised after the Ferns Enquiry, and the long period of confusion and disjointed responsibility for child protection within the HSE, as reported by the Commission, are simply not acceptable in a society which values
children and their safety.

For too long Ireland has neglected its children.

Just last week we saw a case of the torture of children, within the family, come before the courts. Just two days ago, we were repulsed by the case of a Donegal registered sex offender…and school caretaker…

Children and young adults reduced to human wreckage. Raising questions and issues of serious import for State agencies.

We are set to embark on a course of action to ensure the State is doing all it can to safeguard our children.

Minister Shatter is bringing forward two pieces of legislation – firstly, to make it an offence to withhold information relating to crimes against children and vulnerable adults; and secondly, at long last, to allow for the exchange of ‘soft information’ on abusers.

As Taoiseach, I want to do all I can to protect the sacred space of childhood and to restore its innocence.

Especially our young teenagers, whom I believe to be children. Because regardless of our current economic crisis, the children of this country are, and always will be, our most precious possession of all.

Safeguarding their integrity and innocence must be a national priority. This is why I undertook to create a Cabinet ministry for Children and Youth Affairs.

The legislation ‘Children First’ proposes to give our children maximum protection and security without intruding on the hectic, magical business of being a child.

Conclusion
Cardinal Josef Ratzinger said “Standards of conduct appropriate to civil society or the workings of a democracy cannot be purely and simply applied to the Church.”

As the Holy See prepares its considered response to the Cloyne Report, as Taoiseach, I am making it absolutely clear, that when it comes to the protection of the children of this State, the standards of conduct which
the Church deems appropriate to itself, cannot and will not, be applied to the workings of democracy and civil society in this republic.

Not purely, or simply or otherwise.

CHILDREN…. FIRST.

21st July 2011

Government  Chief  Whip,  Minister  Paul  Kehoe  TD, has today introduced a
package  of  Dáil  Reforms designed to make the Dáil Chamber more efficient
and effective.  This is the first phase in a programme of Dáil Reform to be
introduced over the lifetime of this Government.

Speaking during the debate on the Dail Reform today Minister Kehoe stated:
“Dáil  Reform  is  the shared responsibility of every member of this House.
In  the  just  over  four  months since the change of Government the Deputy
Government  Whip,  Emmet Stagg TD, and I have worked closely with the three
Opposition Whips to progress the Dáil Reform agenda.

“When  TDs return to the Dáil on the 14th September, after a reduced summer
recess,  they  will return to a different Dáil, with new rules and improved
procedures.   They  will  return to a Dáil where TDs can play a more active
and  meaningful  role  in  the legislative process and where the members of
this  House  will have more opportunity to raise issues with Ministers in a
more  effective manner.  They will return to a Dáil better equipped to hold
the executive to account.”

Deputy Labour Whip John Lyons TD speaking in the Debate on behalf of the
Labour Party stated:
“There is a long history of work done on Dáil Reform with no firm outcome.
This time it is different.  This time we have real positive proposals for
change in how we do business in this house.”

Outline of Reforms
This  first  phase  of  the  Dáil  Reform  Programme,  to  take effect from
September, will involve:
The  introduction  of  Topical  Issue  Debates to replace the current
Adjournment Debates
Extra  Dáil  sitting  days  – on the first Friday of every month – to
provide time for TDs to introduce their own Bills
Providing  for  Leaders  Questions  to  be  taken  by the Tánaiste on
Thursdays
A  procedure to allow Dáil Deputies raise issues regarding replies to
Parliamentary Questions
The Dáil commencing earlier on Tuesdays at 2pm
Reform of the Standing Order 32 procedures for raising urgent issues
Establishing a time limit for the Order of Business
Changes to Taoiseach’s PQs on Tuesdays and Wednesdays

Topical Issue Debates
The  current  Adjournment Debates will be replaced by a new system to
be titled Topical Issue Debate and taken earlier in the day.
Each  item  selected  for  the  Topical Issue Debate will be given an
allocation of 12 minutes.
Time  will  be allocated for 12 Topical Issue Debates during the full
sitting week.
o  Tuesday – 4 Topical Issue Debates at 5:06pm
o  Wednesday – 4 Topical Issue Debates at 3.45pm
o  Thursdays – 4 Topical Issue Debates at 3.42pm.
The format of the debate will allow
o  the proposer introduce the debate for 4 minutes
o  the Minister/Minister of State will have 4 minutes to reply
o  the proposer will have 2 minutes for a supplementary
o   the  Minister/Minister  of  State  will  have  2 minutes for a
concluding statement.
It  is a Government commitment that the Minister or Minister of State
for   the   relevant   Department   will,   except   in   exceptional
circumstances,  be  the one to respond to the Debate on behalf of the
Government.

Friday Sittings for TDs to introduce their own legislation
The Dáil will sit on the first Friday of every month.
This Dáil Sitting will be designed to provide time to consider second
stage of Bills introduced by Private Members.
All TD who are not holders of Ministerial Office who have published a
Bill  can submit it to be debated in the Dáil Chamber on one of these
Friday sittings.
Bills submitted will be selected by a lottery system a minimum of two
weeks before the sitting day on which the Bill is to be debated
No vote will be held during these Friday sittings. Votes will be held
on the next Dáil sitting day after the Order of Business.

Leaders Questions to be taken by the Tánaiste on Thursdays
21 minutes will be allocated on Thursday at 10.30 am before the Order
of  Business  for  a Leader’s Questions format to be taken, except in
exceptional circumstances, by the Tánaiste on Thursdays.

Standard of Information provided in response to Parliamentary Questions
Procedures  will  be  introduced  for  TDs who have an issue with the
details  of a reply they have received to a Parliamentary Question to
refer  the  matter  to  the  Ceann  Comhairle to decide if reasonable
information has been provided.
The  Ceann Comhairle can refer the matter back to the Minister with a
request  for  further  information. In the event that the information
provided  is  still  insufficient  the  matter  can be scheduled as a
Topical Issue Debate.

Earlier Sitting time on Tuesday
The Dáil sitting on Tuesdays will commence at 2pm instead of 2:30 pm.
The  first  item  on  the  agenda  on  Tuesday  will  be  an extended
Minister’s Questions (one hour and 15 minutes)

Reform of Standing Order 32 procedures
The  procedures under which a Deputy can raise an issue of importance
requiring urgent consideration under Standing Order 32 will no longer
be  read out in the Dáil Chamber unless the request is granted by the
Ceann Comhairle.

Streamlining of the Order of Business
Time limits for the daily Order of Business will be introduced.

Changes to Taoiseach’s PQs on Tuesdays & Wednesdays
Taoiseach’s  PQ  on  Tuesdays will be extended from 45 minutes to one
hour and will no longer be held on Wednesdays

The Accounting Officer for the Department of Finance appeared before the PAC today to discuss the the bank stabilisation process and the flow of money in and out of the Exchequer including commitments that have been entered into.

To watch the proceeding click here, to watch my contribution scroll to 03. 10.50

Statement made during the Adjournment of the Dáil, 19 July 2011:

I had hoped to address this issue this evening with the Minister for Enterprise but I do very much appreciate the Minister for Edcucation taking this matter as it is of course relevant to his Department also.

I have spoken about this area on a number of occasions. I know the government is fully aware of the importance of the high tech sector to the Irish economy. Indeed the attention the government has given it, be it on the gaming side, the r&d side, internet services, cloud computing – the list goes on – is testament to the government’s interest and understanding in this area.

As someone who has an avid interest in this field it is great to see. I know the sector is encouraged too. It certainly is ‘a new government, a new approach’.

I was at the recent DublinWebSummit held in June. My colleague Paschal Donohue was there too. There was a very successful international entrepreneur there, along with 1000 Irish people working in this space who had come along to listen and to network, maybe even to attract some investment. He was taking questions from the floor and one of the questions was: “how do you decide where you set up, what’s your first consideration?” And he answered “I go where the developers are”. When he said this a friend of mine turned around and gave me a knowing look.

I have spoken already in this House about the need for us to make ourselves more accessible to foreign entrepreneurs to come and start their companies here. Particularly in the high tech sector.

But we can cut away all the red tape in the world, they still won’t come here if they can’t get the relevant staff.

At the beginning of July we heard that one our bigger, if not biggest foreign operators here, had briefed the cabinet on a potential and possibly quite significant emerging skills gap amongst Irish graduates, and a problem with domestic recruitment as a result.

This is worrying.

The secondary effect of course is that when they do get graduates, they’re taking valuable talent away from smaller and emerging companies. Who can’t afford to recruit staff from abroad, compounding the problem further.

I don’t want to overstate the case but it is important that we address it. Because the previous government never did, when we know they should have – and when they had ample time to do so. But of course, as we now know to all our cost, that government didn’t do future-proofing.

Last week the Irish Internet Association (IIA) told us that there are 2,500 unfilled jobs in the high tech sector. If the Government keeps on going the way it intends to, helping to grow this sector of the economy, as it should – if it plans to see Ireland as the high tech capital of Europe, then the number of jobs being created will only grow. This is a good thing. But let’s not turn this positive in to a negative.

Yes we have to look at the education system. Yes we have to get more people in to maths and science at an earlier age, get them sticking with the subjects at a high level until leaving cert, and then get them in to the right college courses and hope they stick it out and come through the other end as skilled graduates. But frankly we can’t wait that long.

The battle to establish ourselves as European leaders – be it in IT, the internet, communications, gaming, development – will be fought and won in the next five years. We need to act now.

In the nearer term, people are already discussing (and in a few cases implementing) programmes that are converting our unemployed architects and engineers in to developers. It’s an exciting possibility that warrants more attention.

What I would like to raise now though is an idea coming from the IIA that I would ask the Minister to consider in the wider context of the government’s existing jobs initiative – which is using tax incentives and other mechanisms to target particular sectors for employment.

I will be brief, because I know you are up to speed on the initiative and I have passed the details to your office.

The IIA are proposing a programme that will:

– identify the critical skills required;

– identify the areas of greatest skills shortage;

– identify the number currently available in the marketplace.

This information would then be used to target the gaps, by rewarding people financially (perhaps in terms of credits, PRSI waivers or repatriation grants if they are abroad) so that those gaps are then filled.

Essentially we are encouraging those with the relevant skills to stay, to stay in the country, and we’re trying to attract some of our graduates who have already emigrated to return home in to this sector.

It’s not the only solution. But it is a first step in underlining our commitment to making this sector a cornerstone of our future economy, a first step in rebuilding our hard won reputation for producing top class highly skilled graduates. And another step in getting people back to work here in Ireland.

Thank you.

The Government today approved changes to the Fuel Allowance and Household Benefits schemes that will bring annual savings of €65 million.  Minister for Social Protection, Joan Burton TD, said: “While we want to protect the basic social welfare payments which have very positive economic and social effects, regrettably there is an ongoing necessity to achieve savings due to our commitments with the IMF/EU/ECB Troika.  The savings arising from this measure were provided for last December in Budget 2011 but were not specified or announced by the Government at that time.”

From September 2011 the Fuel Allowance is to be standardised at €20 per week, the rate currently received by the majority of customers, with no additional allowance for living in a smokeless area.  The cost of the Telephone Allowance will be reduced following negotiations with Eircom which will ensure that customers receive €26.86 of value on their bills, at a cost to the State of €22.22 per month.  The number of free units provided under the Electricity and Gas Allowance will be reduced to the 2007 level: this reduction may be offset to some extent if customers switch to other companies in search of better deals.  These three measures will generate savings of €17 million in 2011 and €65 million annually.

Minister for Social Protection, Joan Burton TD, said: “Assistance with the cost of fuel, electricity, gas and telephone bills has always been an important element of social welfare provision and will continue. My Department will spend over €530 million, over half a billion euros, in 2011 on these schemes which benefit over 630,000 people. Help will also continue to be available for vulnerable people with special or additional heating needs through the Heating Supplement and Exceptional Needs Payment Scheme under the Supplementary Welfare Allowance scheme.”

The Fuel Allowance is a means-tested weekly payment of €20 available for people on long term welfare schemes; it is paid for 32 weeks from September to April each year and this element of the scheme remains unchanged. The additional Smokeless Allowance, which is being removed from September 2011, is a top-up of €3.90 a week payable only to Fuel Allowance customers in the towns where the sale of bituminous fuel is banned.

Minister Burton noted: “The Smokeless Fuel Allowance was introduced at a time when many more people used coal and there was a big price difference between the types of coal.  This situation has changed radically, with far fewer people using coal.  Also, smokeless fuel is estimated to be more than 50% more energy efficient than conventional coal which more than offsets any increase in cost.”

The Telephone Allowance will be set at €22.22 per month (from €25.91 per month) from September 2011. However, the Department of Social Protection has negotiated with Eircom, the main supplier, to ensure that all Eircom customers will get a value of €26.86 towards their telephone bill.

Commenting on this change Minister Burton said: “I welcome this new ‘social benefits’ deal with Eircom to obtain maximum value for the State and for our customers.  We’ll no longer pay a monthly rental for handsets, but customers will be able to keep their set at no charge.  It just makes more sense.” The amounts paid in respect of customers of other companies or to customers  who receive the allowance on a cash basis will also be reduced to €22.22 per month.

The contribution provided annually under the Electricity and Gas Allowances is to be reduced from 2,400 to 1,800 units with effect from 1 September 2011 in the case of the Electricity Allowance.  The equivalent rate of the electricity cash payment will be adjusted from €43.80 a month to €35.80 a month from Tuesday 6^th September 2011 and the equivalent annual value of the Gas Allowance will also be adjusted from €489 to €393 from the same date.  This will restore the allowances to the levels paid in 2007.  The annual savings will be €29.8 million with a saving in 2011 of €5 million.

“We are looking carefully at all our schemes and I will continue to negotiate with suppliers to ensure we get the best value for money with the least impact on our customers”, concluded the Minister.

Further information on the Household Benefits package (Electricity/Gas and Telephone Allowances) and the Fuel Allowance is available:

• at ‘www.welfare.ie’,
• from all Social Welfare Offices and
• at LoCall 1890 500 000 (from the Republic of Ireland only) 9.30 a.m.- to 5.00 p.m. Monday to Friday.

To watch today’s proceedings of the PAC click here

Today the Chief Executive of the HSE came before the Committee. To watch the proceedings click here

An Irish parliamentary delegation will attend the 20^th annual session of the Organisation for Security and Co-operation in Europe (OSCE) Parliamentary Assembly which takes place in Belgrade, Serbia from today 6^th July to 10^th July.

The delegation is led by Eoghan Murphy, TD and includes Heather Humphreys, TD, Arthur Spring, TD and Ann Phelan, TD.

Speaking ahead of the meeting, Deputy Murphy said: “Members of Parliament from more than 50 OSCE countries are expected to attend the OSCE Parliamentary Assembly’s annual session in Belgrade. There is a packed programme of events planned for this meeting. Members will vote on three committee resolutions and 26 supplementary items covering food security, disaster planning, nuclear safety, human organ trafficking, cyber security and Mediterranean political transition. Parliamentarians will consider 159 amendments to the resolutions. All of these issues will impact on Ireland in various ways and it is important that we are the heart of any discussions and decisions that may be made at this meeting.

There has been much commentary on the need for all of us as parliamentarians to re-energise our relations with our partners in Europe and the wider world as part of efforts to restore growth to the Irish economy. Meetings like this one in Belgrade provide Irish parliamentarians with a unique opportunity to engage with fellow politicians from other parliaments and demonstrate our determination to be a committed member of the EU and the wider European community.”

Commenting on the launch this morning of the Government’s new National Internship Scheme, Fine Gael TD Eoghan Murphy asked for the Minister for Social Protection to make the scheme available to members of the Oireachtas.

Deputy Murphy had requested this in the Dáil but was told that it would not be possible as TD’s are not legal entities. He is now hoping that something can be arranged through the Oireachtas itself and is asking the Minister to help in this regard.

Murphy currently has one intern through a separate programme and would like to use the new internship programme to avail of another.

“As new members of Dáil  Éireann  and at a time when more and more is expected of TD’s – and rightly so- any additional resources would be very welcome. Obviously public money cannot fund this but the new internship programme offers a real opportunity to fill that gap.

“I currently have one intern and he is doing excellent work; I could do with another. There’s also a great opportunity here for someone to gain valuable experience where they otherwise would not be able to, in my case in helping with my work on the Public Account Committee.

“The Minister for Social Protection has launched a fantastic scheme and I’m hoping that TD’s will be able to avail of it so that we can give greater time and effort to matters of national importance.”