Oireachtas Joint and Select Committees

Tuesday, 23 October 2012

Joint Oireachtas Committee on Jobs, Enterprise and Innovation

Micro-Enterprise and Small Business Unit: Discussion with EI, ISME and SFA

2:50 pm

Mr. Richard Murphy:

As regards the robustness of the service level agreement, we will be examining the performance of each individual CEB historically. We will be adding into that what we would expect in terms of performance primarily around job creation. That will then be set out as a target to be delivered by each of the local authorities or the new LEOs. If they do not achieve it, the primary legislation states that a sanction will apply. If it continues not to achieve it, the view is that it will be tendered for private people to come in and deliver what the LEOs are not delivering. However, that is looking at it from a negative perspective. In fairness, it is best to give them the opportunity to see what they can do. I can assure Deputies that they will be given quite stretched targets to achieve as the Exchequer is giving quite a significant amount of money to job creation.

As regards promotion opportunities for people who are transferring, those who elect to remain within the Forfás-EI family will have the right to apply for promotional opportunities within Enterprise Ireland. The others can apply for promotional opportunities within the local authorities should they see fit.

As regards the criteria for exporting, as I said earlier, one cannot apply criteria to companies too early. As long as it is not operating ineligible criteria for financial support, the company would, probably very early on, demonstrate some traits of good management - products that can sell beyond the local area. Those are areas that we would get involved in both from a mentoring and training perspective, offering significant encouragement for them to consider exporting. Exporting is not for everybody obviously. It does come with a significant risk and is demanding in terms of management time. We will seek ways of enhancing the capability of those companies as quickly as possible, either through putting extra resources on a temporary basis through mentors or through advocates in a more focussed manner than heretofore.