Seanad debates

Wednesday, 15 October 2008

Unemployment Levels: Statements

 

12:00 pm

Photo of John CartyJohn Carty (Fianna Fail)

I welcome the Minister of State to the House and compliment him on his speech, regardless of what some Members of the Opposition might have stated. His speech was comprehensive and provides a line on where we are going.

We are in trying economic times and the level of unemployment is high. The construction industry is more than partly relevant in this regard. However, I agree with Senator Bradford that we cannot be overly critical of the construction industry. There was a demand. Perhaps it should have been streamlined to where houses were most needed instead of in small villages and towns where there is an oversaturation and insufficient employment to warrant such a supply.

In bringing the budget forward to yesterday, the Government fully recognised the necessity for further measures. According to the Minister of State, FÁS will be asked to liaise more closely with his Department and the Department of Social and Family Affairs to respond to the increasing numbers on the live register. Will the Minister of State emphasise to FÁS and the latter Department that speed is necessary when dealing with the unemployed and that people should not endure long waits to get their entitlements and money? A provision should be put in place so that people get the payments to which they are entitled within a few weeks of becoming unemployed. Sometimes, the situation can become protracted, leaving people in limbo.

Of concern to me and all rural representatives is the community employment scheme. Although I am not happy that almost 22,500 people are on the scheme, I welcome the Government's investment of €377 million this year to retain overall numbers while maintaining a degree of flexibility to both maximise the number of those successfully progressing to the labour market and to support the work being carried out in local communities.

In recent years, the scheme has been successful. It gives people in a certain age category — the over 55 year olds — who may have lost their jobs or have never been in employment the opportunity to do something constructive in their local communities. It is phenomenal to drive through any village or small town and see the amount of work done under the scheme. It has lifted villages and small towns that, ten or 15 years ago, had grotty entrances. Since the scheme has come on stream, the people it has employed have done significant work. It has given people in villages and towns the initiative to do up their premises. It is worthwhile and I am delighted that the Government will invest so much money in maintaining it.

People of a certain age cannot get employment on other schemes. From a social perspective, the work being done by the scheme's employees is visible. While they are in receipt of social welfare payments, they are giving something back to the community. They are proud and happy to do so.

Major companies such as Allergan, Coca Cola and Baxter Healthcare are providing good employment in this county. While this is welcome, they could do more were they guaranteed power, which is problematic for them. I am sure that the Minister of State is well aware of the problem. He has met the people in question since assuming his position, as has the Tánaiste.

However, most employment in County Mayo and most rural counties is derived from small indigenous industries that employ 20, 25 or 30 people. Each town may have a few such industries, presenting a significant asset. The industries are always complaining that excessive regulation and red tape are crippling their business. They must employ people to answer the questions of the ESRI or other bodies. While this is important, something should be done to alleviate the amount of time that small companies spend on administration. They tell me that the level of detail they must give is incredible and they find it difficult. This could be examined and more help could be given to small companies. These are indigenous and will not run away at the first sign of an economic downturn. They are family-owned businesses in many cases and are there for the long haul. More help and encouragement should be given.

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