Maurice Cummins (Fine Gael)

I wish to share time with Senator Doherty.

I welcome the Minister of State. When Waterford Regional Technical College was upgraded to an institute of technology, the current Minister for Education and Science, Deputy Batt O'Keeffe, was one of the greatest critics and begrudgers and adopted a strictly parochial attitude. Things have moved on significantly over the years. The south-east region is still without a university and recent research publications by the Oireachtas indicate that Waterford and the south east have fewer people attending universities and attaining degrees than all other gateway cities and regions.

When will a decision be made on whether Waterford Institute of Technology will be upgraded to university status? A decision was expected months ago but the project has been stalled by the Government on numerous occasions. Report after report has been commissioned, yet the Government and its predecessor have failed to grasp the nettle, whether through political cowardice or a deliberate attempt to hold back the region from realising its true potential.

According to the Port report submitted to the Department, it is widely accepted internationally that the presence of a university in a region has a powerful effect on the cultural, social and economic performance of the region through such mechanisms as encouraging talented young people to stay in the region, facilitating the development of local businesses and attracting inward investment. If ever the south east, which has haemorrhaged jobs, needed such a boost, it is now. We also have problems in Waterford Glass and short-time working for more than 1,400 workers in Bausch & Lomb. What is preventing the Government from making the correct decision to grant university status to Waterford Institute of Technology? Such a move would give the region the stimulus needed to drive its economy and boost confidence.

While Waterford is well served by Waterford Institute of Technology, the benefits that would accrue were it a university would awaken a region that has underperformed in comparison to other regions. This observation has been verified in a number of national reports.

I have received many representations from schools throughout the length and breadth of my constituency consistent with the concerns outlined by the Fine Gael Party spokesperson. One area I wish to address is the impact of cutbacks on vocational education committees. The VEC sector will lose some 322 teachers in 2009 due to changes in the pupil-teacher ratio. A further 98 posts will be lost arising from changes in disadvantaged status. The Department has introduced a system of equalisation payments to compensate voluntary secondary schools for the loss of service provided by VECs but has not explained the basis on which these payments will be made.

Overall the cuts will affect VECs in the following ways: grant reductions in excess of €2.8 million, the loss of 420 teachers, a 5% cut in adult and further education totalling €4.2 million, a 4% cut in youth work grants amounting to €2.75 million and a 3% cut in payroll amounting to €2.6 million. Waterford County Vocational Education Committee has outlined the severe impact these cuts will have in its functional area.

The removal of book grants will affect disadvantaged children. While DEIS schools will maintain their grants, disadvantaged children also attend other schools. The total loss to schools in County Waterford in respect of transition year, physics, the junior certificate school programme, leaving certificate applied, Traveller grants and book grants is approximately €80,000. The supervision and substitution cuts have already affected schools. The activity of students has been curtailed and principals are under much more pressure. The reduction in teacher numbers and its impact on curricular provision will have a severe effect on schools. Teachers will be demoralised, schools will be unable to offer the range of subjects they offered previously and students will suffer as a result.

For Waterford county VEC, which is relatively small, these cuts will reduce an overstretched budget by €350,000. Fundamentally, investment in education should increase in a period such as this. We cannot build enterprise without first having children who are educated. We cannot have research capacity without excellence in our schools. Investment should be made in new courses for the recently unemployed in order that they can upskill in line with the future skills strategy.

A large number of graduates have joined the dole queues. Teachers qualifying this year have a sense of hopelessness. The Government must rethink its strategy of cutbacks in education which will have devastating effects on the country when we eventually emerge from the current recession. It is a shame we will experience a brain drain as many of our well-educated graduates are forced to emigrate to secure employment. The policies adopted by the Government over the past ten years are partly responsible for this development. I was pleased to hear the Minister for Finance, Deputy Brian Lenihan, admit recently that some mistakes were made regarding the construction industry. His words are probably the nearest to an apology we are likely to have from the Government.