Mr. Tony Donohoe:

I thank the joint committee for the opportunity to address it on the issue of Ireland’s skills needs, and the role of the expert group on future skills needs, EGFSN, which I have the privilege to chair, in anticipating and addressing these needs. I am accompanied by Mr. Kevin Daly, who heads up the group's secretariat.

The EGFSN, which was established in 1997, is an independent body, which advises the Government on the current and future skills needs of the economy. Its membership comprises Ireland’s chief skills policy stakeholders, namely, the Departments of Education and Skills and Business, Enterprise and Innovation, the Higher Education Authority, HEA, SOLAS, Enterprise Ireland, EI, IDA Ireland, IBEC and the Irish Congress of Trade Unions, ICTU. The group carries out research, analysis and horizon scanning into emerging skills requirements at both thematic and sectoral levels. This work is based on extensive engagement and consultation with the enterprise sector, as well as relevant domestic and international trends.

On foot of this research, the EGFSN makes recommendations on how these skills needs can be addressed. Recent reports have included studies on sectors as diverse as food and drink, biopharma, hospitality, marine and freight transport, distribution and logistics. In each of these, the group has made recommendations relating to the establishment of, or support for, new apprenticeships, as well as the attraction of international talent, including through the employment permit system. Its recent reports have highlighted apprenticeships and employment permits as essential interventions required to address the skills needs of the Irish economy.

Since 2017, the EGFSN has been part of the broader national skills architecture, established as part of Ireland’s National Skills Strategy 2025. Along with the skills and labour market research unit in SOLAS, and the network of regional skills fora, the expert group's work is overseen, considered and approved by the National Skills Council, which advises on the prioritisation of identified skills needs and the allocation of resources across the education and training system. The council is chaired by the Minister for Education and Skills.

The new skills architecture reflects the responsive and flexible skills infrastructure that has been established in Ireland over recent years. This responsiveness and flexibility will be key to addressing the skills challenges Ireland will face. These include, the labour supply implications of the economy reaching full employment; the UK’s departure from the European Union, and other international uncertainties, which will require greater agility amongst workers and enterprises in engaging with international markets; and the impact of rapid and continuous technological change on jobs, business models and sectors. The EGFSN’s work programme for 2017 and 2018 has sought to reflect and advise on the Government’s response to these challenges. We have published studies on design thinking and skills, which will facilitate firms in being innovative and competitive in global markets, and on the trade-related skills needs arising from Brexit, such as those related to customs clearance, logistics and supply chain management as well as international business development, financial management, foreign languages and cultural awareness. These studies seek to support the trade diversification agenda, which has been given further impetus by Brexit.

The group will also shortly publish two five-year forecast studies, one on the demand for high-level ICT skill sets across the economy to 2022, a key input into the development of the new ICT skills action plan, which is due to be published in the coming weeks, and the other on the impact of digitalisation on job roles and sectors across the economy in the years to 2023. Our ability to service our high-level ICT skills needs will determine the continued growth and competitiveness of the economy by supporting our ability to exploit these technologies that are transforming the world of work internationally and leading to digitalisation across all sectors of the economy. By identifying the impact of these high-level ICT functions on Ireland's workforce, the group has also set out to facilitate the education and training sector in targeting its supporting measures for those workers and sectors most at risk from automation, and so help transition them to the future world of work.

Through its evidence-based research and findings, the expert group, therefore, seeks to support the national skills agenda and wider economic and enterprise growth, by ensuring the emerging skills needs of enterprise can be identified and their provision fully anticipated and met by education and training providers.

I welcome any questions on the group's work, and thank the committee again for the opportunity to discuss these important skills issues.