Oireachtas Joint and Select Committees

Tuesday, 23 March 2021

Committee on Budgetary Oversight

Pre-Stability Programme Update: Discussion

Dr. Mark Cassidy:

There are two areas in particular. The first is about reducing the scarring effects that could occur through long-term unemployment. There are issues in terms of upskilling, retraining and even other active labour market policies. That is one area referred to by the Deputy. The other is enhancing the productive capacity of the economy. This would involve investment in infrastructure and human capital and also measures that could smooth the adjustment. We will have a reallocation of resources after this crisis. Much will go back to normal but not everything will. Some sectors will be permanently smaller after the crisis. As always, however, there will be new, emerging sectors. We must, first of all, try to ensure that the skills exist for those to develop, whether in the areas of data, IT, management and so on. That type of upskilling is needed. In essence, it is about ensuring there is a supportive environment for the development and growth of new industries and sectors. That is what we have in mind when we talk about those policies.

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