Oireachtas Joint and Select Committees

Thursday, 17 October 2013

Joint Oireachtas Committee on European Union Affairs

Forthcoming General Affairs Council: Discussion with Minister of State

2:40 pm

Photo of Bernard DurkanBernard Durkan (Kildare North, Fine Gael)
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I thank the Minister of State for addressing the committee and his presentation was interesting. I have a few questions related to the Council meeting. The emphasis in the agenda is correct and the issues on it are salient, those of employment, youth employment, banking union and economic and monetary union, all of which are hugely important. Regarding the digital economy, to what extent is the European Union as a body encouraging the universal availability of high-quality technology, such as high-speed, modern, state-of-the-art broadband, throughout all regions of the Union without exception? If the European Union is to prosper it must naturally follow that such technology is equally available in all member states without exception, otherwise a distinct advantage will rest with some member states. We regularly hear negative comment about our alleged preferential corporation profits tax, implying that in some way we have an advantage over other member states but little emphasis is ever placed on the fact that we are a "far-out region", for want of a better description. In other words, we are not in the centre of the European Union and there are costs associated with our peripherality that need to be borne in mind at all times. In order to address those issues, it is hugely important that the modern technology we aspire to have is made readily available throughout member states. If it not available, we should ask why can it not be made available and to what extent can the European Union assist in that respect.

Another reference that was interesting, which has been discussed at this committee and other meetings on several occasions in the past, is the degree to which the modern education system is able to produce a finished product in terms of qualification for the workplace. This issue is increasingly being raised. I attended a seminar recently at which it was suggested that the degree to which apprenticeships are available now is not similar to the number that were available in the past and that many firms in this jurisdiction and in other areas throughout the European Union are finding it difficult to source suitable employees with the required qualifications to fit positions. To what extent is the European Union engaged in making provisions in that area?

The Single Market is interesting. Some would claim that we do not all have the same access to the Single Market that we should have, but again the digital economy is hugely important in that area. If we do not have state-of-the-art technology, we are not at races and neither is the European Union as a whole. At one time the United States was many leagues ahead of the European Union in terms of its ability to provide employment in the services sector. To what extent is the European Union focusing on that sector with a view to maximising job creation possibilities in it using innovation and technology to the extent now anticipated and required?

My last point relates to a debate that I attended sometime ago during which reference was made to the fact that international employers are unable to fill their labour requirements from the European market for a series of reasons. However, those employers have been loth to mention that in moving their operations to South East Asia there is an economic element involved in that respect. They do not always emphasise that to the extent that they should. The question to be borne in mind is whether it is best for the European Union for the relevant labour force to be attracted to the location in the European Union where an enterprise is based or whether it is beneficial or wise to allow such an industry to relocate to cheap labour markets. My analysis on that is that the quality of the product is important but it is equally important that we recognise that 500 million people in the European Union, that market has huge buying power and it also can benefit from the location of manufacturing and services sectors within its own jurisdiction as opposed to relocating industries elsewhere. My apologies for talking at such length.