Seanad debates

Wednesday, 28 January 2009

6:00 pm

Photo of Nicky McFaddenNicky McFadden (Fine Gael)

I begin by denouncing the Government's amendment to this motion because I cannot imagine how it can unashamedly commend itself on the doubling of unemployment and our national debt since it took power 18 months ago. The plain people of Ireland will certainly not thank it for its outrageous pomposity and arrogance.

Yesterday, I met in my clinic a building contractor who has been out of work since November. He formerly employed four people, for whom he paid PRSI and taxes, but he has not received a penny since last November because he owns property. He is up to his eyes in debt with the banks but they will not take back his house. What is he supposed to do? He has worked his butt off since the 1980s and has never taken a penny from the State but now he is absolutely penniless. I do not think he will be commending the Government on its mismanagement of the boom.

I commend Senator John Paul Phelan on this thought provoking and positive motion. Ireland was the first country officially to enter recession thanks to our dependence on the construction industry. This is having knock-on effects on all other sectors of the economy. The Construction Industry Federation estimates that as many as 55,000 jobs will be lost by 2010, which is extremely worrying. Yesterday, First Active announced the loss of 750 jobs. I do not see how the policies outlined in the Government amendment will stimulate the economy. We must tread carefully when we introduce stimulus packages rather than follow Senator MacSharry's example of speaking about another great depression. Leadership must be shown in the short and medium term and our central focus must be on the future if we are to return to a sustainable and growing economy. We have to end the see-saw nature of the economy and get it going again rather than tell a different story every day.

The car industry, which is in serious trouble, would benefit from the introduction of a scrappage scheme that bridges the huge gap between trade-in and new cars. Every euro generated for the Government means it has to borrow less. This would be a way of preserving jobs in a struggling sector. Similar schemes have worked in the past and they could work again.

We should examine underperforming areas of the economy because there is wide scope for lasting and profitable improvements. Green initiatives could provide a large number of jobs in all industries. The construction of energy efficient cars, for example, would create jobs and decrease carbon emissions. We should work with FÁS to help those who have lost jobs in the construction industry to return to work. Our motion advocates back-to-education schemes so that people do not have to sign on for one year before they can claim grants. Volunteering should be encouraged because many of the highly trained people, such as architects, who are now unemployed are prepared to give their time to help the less educated.

Attention should be given to the science-based sector which currently employs 30,000 people in Ireland. The incentives for cultivating and expanding this sector are significant. Thousands of young students will graduate in the coming years, many of whom will have to emigrate. Abbey Travel has reported that it received 80,000 applications for 50,000 emigration packages for Australia. I worry for these young people. Pharmaceutical companies continue to maintain a significant presence in Ireland with 16 of the world's top 20 firms operating in this country. One of these companies, Elan, is based in Athlone. We need to encourage the growth of this sector. Fantastic courses are being offered in our colleges, including biology, zoology and environmental studies, to name but a few. By strengthening this under-utilised sector, the Government could achieve significant gains. Athlone Institute of Technology is a gateway to the midlands and if there had not been political interference, Athlone might have been the main gateway town to the region. The institute has established an innovation centre which attracts significant investment and produces a large number of quality people. Sadly, owing to political interference and a lack of leadership, the centre has been diluted. I ask the Minister of State to consider the development of a rail transport link between Athlone and Mullingar as a way to incentivise people to return to work.

Senator MacSharry stated the Government was moving very slowly but it is at a fecking snail's pace. That is unparliamentary language and I apologise for using it. We are acting at a snail's pace so the Government should try to get some spring into its step to get going again.

We are a resilient people who have been through worse. The Minister of State knows we will be able to fight and continue with our lives. There are still many opportunities available if we can just look beyond the construction industry. There are many service industries such as, for example, the tourism sector, which will be a significant contributor to this economy's recovery. We should be able to provide good value packages to people and encourage them to come to Ireland to avail of the very good services here.

This Government seems to be dealing mainly with the unions and has isolated itself from the Houses of the Oireachtas.

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