Dáil debates

Thursday, 12 May 2011

Jobs Initiative 2011: Statements (Resumed)

 

1:00 pm

Photo of Dominic HanniganDominic Hannigan (Meath East, Labour)

I am delighted to speak on the jobs initiative, which is one of the first pieces of good news this House has had with regard to jobs for some time. During the recent general election campaign, I encountered at first hand the consequences of unemployment in this country. Almost 12,000 people in County Meath are without work. Many people have emigrated to find work elsewhere. Some unemployed people are not registered as being unemployed. Each of them represents a loss of potential to this country and to themselves. We need to get them back to work.

My own background is in business. When I established a small business in the early 1990s, I learned that a good business environment is vital if small and medium sized enterprises are to survive. Some 90% of businesses in County Meath employ fewer than nine people. They are not global brands - they are local, family-run businesses. Over half of the workforce of County Meath works for such companies. If we are to get out of the recession, we need to make sure that such companies - new and existing ones - can create new jobs. It is important for the Oireachtas to stimulate a climate that is friendly to enterprise. The jobs initiative that was published this week provides for policies like the reform of the PRSI system and a programme for graduate internships. I know that these targeted sectoral initiatives will help to create a positive business environment because many of the measures in the jobs initiative were suggested by small businesses.

Before the election, I held a series of seminars across County Meath with business people from various sectors including green energy, arts and crafts, artisan foods and tourism. At the seminars, I asked them to highlight to us the obstacles and problems they face as they run their businesses and to suggest some solutions and improvements. Some of the suggestions that were made should be easy to implement. It was proposed that we should make it easier to get planning permission to erect signs for rural businesses. Many such businesses find it hard to generate business because people simply cannot find them. Other suggestions were made as well. The issue of access to credit was raised at every seminar. The establishment of a partial credit scheme that was announced in the jobs initiative will allow some businesses to expand their operations.

Many business people have told me they are positive about the possibility of further growth in the export market. The US, the UK and other EU countries are all set to enjoy significant economic growth over the coming years. I would like to refer specifically to five countries. It is estimated that Brazil will enjoy economic growth of 4% this year and that Russia will have 4.5% growth. Both India and China will experience economic growth of 9% this year. The relevant figure for South Africa is estimated at 6%. These countries represent 40% of the world's population and 15% of its economy. Each of them has a growing middle class with an increasing amount of discretionary spending power. There is ample opportunity for Ireland to develop a marketing strategy to ensure our small, medium-sized and large Irish firms can sell their products in such countries. Our embassies and consulates in these countries have good links in the local economies. The Minister for Foreign Affairs recently met our ambassadors from our EU embassies. I suggest he should call our ambassadors to Brazil, Russia, India, China and South Africa to ask them to transmit the message that Ireland needs jobs and is open for tourism.

On that note, the creation of a tourism VAT rate of 9% is positive news. I think it will lead additional tourists to come to Irish shores from traditional and newer markets. Restaurants, hotels and travel companies can expect to benefit from this measure. I have no doubt that it will lead to the creation of thousands of jobs. We are realistic about the jobs initiative. We know the measures that have been proposed will only go so far. This is not the end of the story as far as we are concerned. We see the initiative as the beginning of a process that will get this country back to work.

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