Billy Kelleher (Cork North Central, Fianna Fail)

In respect of the Social Welfare and Pensions Bill 2011, I was led to believe that the legislative changes required to bring about the proposed jobs initiative were included in this Bill. Unfortunately, the jobs initiative is quite limited in its scope and while I do not wish to be overly negative, it is important to highlight the point that the jobs initiative as announced by the Government recently started out before the general election with an initial figure of 100,000 jobs. It included NewERA and other components in a proposal that 100,000 jobs could be created within a short space of time. This commitment was given before the general election and many Members who have been around this House for a long time will have learned that politicians' promises before general elections quickly recede in their aftermath. That is fine and is done and dusted. The Taoiseach has stated that the recent general election was the ultimate ambush but the only people who were ambushed by the Opposition manifestos were the people of Ireland. Nevertheless, the people have spoken and one must live with the consequences of that decision. However, the jobs initiative undoubtedly was paltry in its efforts to address what is a huge challenge facing this country, namely, the issue of unemployment.

All Members of all hues and colours and none accept this to be the biggest challenge facing the current Government. Equally, however, it is important to be honest with the people and if one analyses the provision of funding made available in the jobs initiative, one finds quickly that it simply comprises the transferring of moneys around the various departmental subheads. It involves measures such as cutting back on capital expenditure, and Members have yet to learn exactly what programmes will not go ahead, to fund the jobs initiative. It will be of critical importance for any serious analysis of the potential impact of the jobs initiative to ascertain what moneys, which originally were intended to be drawn down this year, have been transferred from such programmes to expenditure on the jobs initiative itself. Members still await a response from the responsible Minister, although they are not quite sure whether the relevant Minister is Deputy Noonan or Deputy Howlin. In any event, they wait in anticipation to find out which Minister is responsible for this particular area in the context of public expenditure.

As for the broad thrust of the Bill, obviously Fianna Fáil welcomes aspects of it. Demographic challenges exist at present in respect of the changing age profile as the nation ages and this is a subject about which Members could debate at length. Serious challenges to ensure adequate funding is made for pension provisions in the years ahead are coming down the tracks. In this context, I recall being told some years ago, by Labour Party Members in particular, that the National Pensions Reserve Fund, in which it was proposed to set aside 1% of GNP per annum for a number of years, was a waste of time. Instead it was suggested there should be investment in capital projects, which would have further inflated the economy and would have driven matters even further out of kilter. While it was bad enough as matters stood, to put further fuel on a fire that already was alight would have undermined the economy even further. When the economy ran into trouble and huge problems arose in respect of the bank recapitalisation and the budget deficit, at least a provision was in place that could be accessed to help the economy to get through the current challenging times. However, had the then Government adopted the policies that were being advocated at the time of the fund's inception, the National Pensions Reserve Fund would not have existed in the first place. Moreover, I note that the Government has been quite happy to raid it recently to fund other aspects of its pledges and promises.

While I do not wish to engage in too much rewriting of history today, it is important to highlight that the Government is one of UFOs, that is, U-turns, fudges and obfuscation in almost everything it has pronounced recently. For all these reasons, it is important that Fianna Fáil holds it to account and highlights the promises and announcements it made before the general election. For example, I consider the minimum wage to be one of the greatest stunts of all time.

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