Seanad debates

Tuesday, 2 December 2008

5:00 pm

Photo of Nicky McFaddenNicky McFadden (Fine Gael)

I welcome the Minister; we are glad he has taken the time to come here and have this debate. I congratulate Senator Ross on his tenacity in continuing to pursue this issue along with Fine Gael. Fine Gael consistently warned that the FÁS mismanagement and waste would lead to disaster. Deputy Bruton was tireless in his warnings, which were arrogantly ignored. It is more of the out-of-touch governance of the Fianna Fáil and Green Party Government. Despite the strength of the economy and the near to full employment, when there was very little need to upskill or train unemployed people, FÁS spent more than it is spending this year. It was ensuring there were enough plumbers and electricians to meet the needs of the construction industry and the developers.

Thousands of people are unemployed and, as Senator Ó Murchú said, unemployment has reached 7%, which is a very frightening figure. Most of the lost jobs are in the construction and manufacturing industries. Now more than ever it is vital that FÁS be on the ball and that the poor, unfortunate people who are losing their jobs will have the chance to upskill and get the training they need. I have raised a matter on the Adjournment debate about a study that shows exactly how unskilled our workforce is. There is a very serious, proven need for significant retraining and upskilling.

The reason for this debate is the controversy, but many of my colleagues on both sides of the House have been raising the issue of FÁS for months. What concerns me most is the deafening silence of the board members. Their silence must mean they are guilty, because there is not a word from them. Were they not on the ball? I, like the Cathaoirleach, have been a member of many voluntary boards. One receives financial statements annually, if not biannually. As the responsible, accountable public representative I hope I am, I would be aware of what was going on and how money was being spent. Like the other Senators, I question the make up of these boards and the political cronyism. It is sickening. The senior management and corporate affairs people of FÁS seem to have been hiving off the money and squandering it. In my local community I am aware of the less salubrious offices of my wonderful friends, of whom I have many, in FÁS. I am aware of how they work and fulfil their duties and they do not spend the amounts of money senior management has spent in the past.

It is extraordinary that, as Senator Feeney said, the agency's IT department was bypassed in the setting up of the jobs website, to the cost of €1.7 million. We all have websites and know how little it costs to set one up. The irony of it was that the website did not even work. Why does FÁS, or any Government or public body, need to have its conferences and meetings in places such as the K Club or other very salubrious organisations and hotels? Within a two week period FÁS spent €8,000 or €9,000 on a banquet. Who was invited to these banquets? What was the need? Last year 40,000 people went through FÁS retraining schemes. That seems a very small number of people.

The land for new decentralised headquarters in Birr cost €1.5 million, and since the budget, decentralisation has been stalled. FÁS has leased high-spec offices in a business centre in Birr as temporary headquarters, costing €15,000 per month. Fitting out of the offices cost €1 million and a board room table cost €11,000, yet the headquarters houses only one receptionist. What will happen to the proposed headquarters in Birr?

The Comptroller and Auditor General has been given a mandate to investigate what is going on and I hope that will happen. I am pleased Mr. Molloy has taken up the invitation of the Chairman, Deputy Allen, to attend the Committee of Public Accounts, however the Comptroller and Auditor General needs a new mandate to carry out its duty to ensure no further money is misspent. This begs the question about all the other public bodies that are chaired and managed by boards which are elected through political cronyism. I question how taxpayers' money is being spent in the other organisations.

I also question the Minister and Tánaiste, Deputy Coughlan. The buck stops with her. She has been very quiet and has said very little on the matter. In his speech the Minister said he looks forward to the board's proposals on how Mr. Molloy's position can be filled. I have no faith in a board which has been so silent for so long and which has neglected its responsibility. It has a duty to the people it serves, the vulnerable and unemployed of this country. The Minister said he has faith in the board. He could not possibly have faith. I ask him to re-jig his conscience and think about how he can have faith in a board that has been silent about so much money that has been spent so badly and wasted. This is mismanagement, but not by the people on the ground. FÁS offers a fantastic hairdressing programme, open door and IT upskilling. FÁS is fantastic on the ground, and the staff work in less than salubrious surroundings. It is not fair that we label all those hard-working people with this. It is mismanagement and is down to political guidance. As a Member of the Oireachtas, I have to make sure that money is spent properly. I consider that is our responsibility and I hope that people will be held accountable. I welcome the fact that Mr. Molloy will come before the committee but there must be answers and heads must roll. People will have to be responsible and answer for this mismanagement.

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