Joe Costello (Dublin Central, Labour)

I thank Deputies Shortall and Penrose for tabling the motion. They have articulated a number of ideas which would allow the Minister for Enterprise, Trade and Employment to address the current crisis. I hope she has been listening to their contributions.

The unemployment figure increased from 327,000 in January to 350,000 at the end of last month. It has increased by 200,000 in two years and the rate of increase is accelerating. The average increase in unemployment of 12,000 per month has almost doubled in the past two months and unemployment will almost certainly reach 450,000 by the end of the year, the figure cited by the Taoiseach.

We would not be going down the road of introducing a mini-budget next month to plug a hole of €4 billion in the Exchequer figures if the number of unemployed had not increased so substantially. The cost of 200,000 unemployed people in tax foregone, social welfare payments and secondary benefits roughly equates to the €4 billion being sought in the forthcoming budget. Clearly, therefore, job creation, retention and support are key in the economy and it is in these areas that the hole must be plugged and initiatives taken.

As Deputy Shortall noted, the Government does not have a coherent national jobs plan. This is outrageous given how long the crisis has lasted. The priority must be to prevent job losses. I will not repeat the many suggestions made in this regard, except to add one proposal, namely, the need to adopt "flexicurity", a new concept which forms a major part of the European Union's Lisbon strategy. Flexicurity is a flexible approach to work practices, which includes options that are family friendly while also providing security. The European Union provides supports for such initiatives.

The initiative I propose to emphasise most also emanates from the European Union. This is the need to ensure cashflow for small and medium enterprises. As the Tánaiste will be aware, at their summit in October 2008, EU Heads of State and Government put together a €30 billion fund which member states could access to inject funds into small and medium enterprises. As far as we can gather, however, the Irish financial institutions have not called down one cent of this fund. Six months after the event, we are informed they will establish structures for this purpose. Why are we starving these enterprises of cashflow, which is, as Deputy Penrose noted, the lifeblood of employment? Without cashflow, how will companies continue to function?

We have guaranteed the banks and invested large sums in recapitalisation but are unable to put a penny into cashflow. Perhaps the recently nationalised Anglo Irish Bank could be used as a vehicle for calling down this money and injecting it in the economy where it is much needed by small and medium enterprises. Something must be done in this regard. Given that money is available, the Minister must grab it and use it to try to ensure jobs are not lost.

A survey of all businesses, large and small, should be carried out and the State should have a database to enable intervention to take place where and when it is needed to prevent companies such as SR Technics and Waterford Crystal from going to the wall, leaving the State to carry the can. Given that many other companies are threatened, it is important to have information well in advance. We need to know what supports such companies need and what intervention mechanisms are necessary to try to keep them going in this time of crisis.

I am aware my time is running out. I heard on the radio today that the National College of Ireland is providing 300 places for the unemployed. I do not think many people in this House know that the NCI's capacity is capped at 8,500. The Government will not allow it to accept more students and it recruits largely from the local area. This would be ideal. Deputy Penrose mentioned DIT, whose colleges and faculties are out there waiting to be used if the Minister wishes to use them.

Jervis Street training centre, which is in my constituency, along with the centre in D'Olier Street, provides 30% of all employment services in this country, yet the Minister is closing down the Jervis Street centre. There will be no new training services because of a row with the landlord. The landlord has made an offer to the Department with very good terms, but it is not prepared to accept it. Why can the Minister not work on this and make sure there are adequate employment and training services?

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