Seán Ó Fearghaíl (Kildare South, Fianna Fail) | Oireachtas source

I thank the Ceann Comhairle. Notwithstanding my agreement with some of the points made by Deputy Higgins, on the whole area of labour activation, this is not the first Government to use it as a way of dealing with an unemployment crisis and Members should not underestimate its importance because in terms of society, labour activation is playing an important role.

However, it can be only a short-term response, and it can only seek to address the short-term social problems that confront us. Competitiveness in the economy was a challenge that existed for this Government, and it has acted successfully in reducing VAT on the hospitality sector. I welcome the employment that is supported by that measure, with many of those jobs being good and worthwhile. However, there is a developing view in Irish society that the Fine Gael Party element of the Government has as its mission, in tackling the issue of competitiveness, to continue to drive down wages to the point that many of the jobs being created are in yellow pack, low-paid employment. That is not what any of us on this side of the House wants.

I note with concern that 46% of those persons who emigrated in recent times were in employment before they left. What does it say about the current employment and taxation regime if such a large cohort of young people with jobs are leaving the country? When we look to Spain, Italy and Greece, we see frightening levels of youth unemployment of 50% or more. The reality, however, is that our youth unemployment level has been disproportionately distorted by the emigration situation. If we did not have the tradition of emigration we have in this country, I do not know if the problem would not be far greater. Will the Minister of State address these concerns?

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