John Deasy (Waterford, Fine Gael)

We must examine the unemployment figures for the south east. The national employment rate is 14.8% and the corresponding figure for the south east is 19.7%. Let us call it 20%, which is 25% above the national average. To put it in perspective, the national unemployment rate in Ireland in 1989 was 18.7% and today, in the south east, it is 1% above the 1989 figure. In my constituency, Waterford, 15,000 people are unemployed. The figures are horrific and the latest Investing in Ireland report made the case that Ireland's position as location of choice for foreign direct investment has been consolidated and could yield 20,000 extra jobs over the next three years. Since the start of the year, we have seen a number of significant job announcements, including Allergan Pharmaceuticals Ireland in Westport, Abbott, Big Fish Games, Hewlett-Packard, PayPal in Dundalk, Eli Lilly and Apple in Cork, and Mylan and Cisco Systems in Galway. It is all good news but, in the south east, we are feeling a little left out of the loop and not just because of foreign direct investment this year. We are feeling isolated because the trend has been apparent for many years. A recent study of the national spatial strategy found as many as 82% of jobs created by overseas firms in the past six firms were centred around Dublin, Cork and Galway. The south east of the country is in a slide towards chronic long-term unemployment. Despite some infrastructural additions over the past ten years, the south east has become the regional poor man of Ireland. It is fair to say we are in a crisis situation.

I want to raise a matter I have come across over the years, the perception that Waterford city, in particular, does not attract foreign investors because of the perception of a reputation for militant unionisation. This could put off potential companies coming to the city. It has been raised with me by officials in State agencies like the IDA. I do not know if it is true but the perception exists and it is time the perception is addressed. If it is a factor in Waterford city not attracting a reasonable ratio of foreign direct investment in Ireland, it must be acknowledged. It has been raised with me too many times to ignore it any more.

This brings us to the response of the Government to the 20% unemployment rate in the south east. Following the loss of hundreds of jobs in TalkTalk in Waterford, the south-east unemployment action plan was launched in December 2011. At the time, the Minister for Jobs, Enterprise and Innovation, Deputy Bruton, said "compared to other regions the south east's industrial base has not developed strong clusters in specific sectors that can then help attract future investment. The multinational sector is proportionately smaller than in other regions". Forfás produced a report on the south east but the problem is that Forfás has produced reports like it for every region in the country, including locations I listed earlier that have received the bulk of foreign direct investment in this country over the past ten or 15 years. There would not be much difference if one took the south-east action plan and compared it to an action plan for somewhere else. There is a massive difference in the south east and the gap is widening.

What further action does the Government intend to take regarding the 20% unemployment rate in the south east? Does he agree that, as far as the regions are concerned, we have a major unemployment crisis in the south east? The figures speak for themselves.

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