Richard Bruton (Dublin North Central, Fine Gael)

I absolutely agree that we need to reform many areas in order to create employment. The Government is committed to reforming the legal system and introducing legislation on upward-only rent reviews. We have already cut employers' PRSI and VAT. In addition, we are committed to many other reforms that will facilitate employers to create jobs. We need to examine rates and the previous Government's study indicated that costs can be taken out of the local authority system, which can be used to bring down rates. We have to become more competitive as a community. However, the Deputy seems to overlook the fact that experts in this field, such as Mr. Kevin Duffy and Professor Frank Walsh, have reviewed this system and found it is undermining our competitiveness in these areas. There is evidence that if one can reduce labour costs and be more flexible in responding to opportunity, one can create employment. They have singled out areas where there are difficulties in this system, including where compliance is too high and they are too inflexible to changing circumstances, or are based on an antiquated view of the working week. They have identified many areas where this system is not serving the need to create employment. That is what we have set as our priority and there is ample evidence in that regard.

This has got nothing to do with the Croke Park agreement, so I do not know where that question came from. The Government is examining the delivery of the Croke Park agreement and there will be a report on that matter from the Minister for Public Expenditure and Reform. Under the IMF-EU memorandum of understanding there is action which the Government needs to take to deliver certain cost commitments. They are part of the Croke Park agreement and the Minister will be returning to Government to say how much has been achieved in that area. That is clear.

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