Seanad debates

Tuesday, 17 November 2009

Labour Services (Amendment) Bill 2009: Second Stage

 

4:00 pm

Photo of Ivor CallelyIvor Callely (Fianna Fail)

I wish my good friend and colleague, the Minister of State at the Department of Enterprise, Trade and Employment, Deputy Dara Calleary, continued success and thank him, the Tánaiste and Minister for Enterprise, Trade and Employment and their officials for their work on the Labour Services (Amendment) Bill 2009.

The Bill amends the legislation governing FÁS, our national training and employment authority, by providing for stronger governance and accountability. It is clearly acknowledged that the Bill contains important elements which will lead to a realignment of the agency's programmes and supports for individuals remaining in or returning to the labour market. The public perception of the work done by the very committed individuals who work in FÁS has been clouded somewhat due to recent media coverage of certain isolated matters. I am sure we all accept that such media attention can be exaggerated and may not give a clear and informed picture. It certainly should not in any way reflect on the beneficial work carried out by the majority of the agency's employees. I acknowledge their commitment and professionalism, which are crucial in helping us deal with the challenges presented by the labour market.

FÁS was established more than 20 years ago and significant change has occurred in the intervening period, particularly in respect of corporate governance and public service ethics. Effective governance is fundamental to every organisation's efficiency and service delivery. For that reason, I wholeheartedly support the structural changes the Bill introduces to streamline the board of FÁS. The Minister of State noted the membership of the new board will reflect the agency's work and programmes and that members will have the requisite expertise and competencies to guide it through the current economic difficulties. I welcome the reduction in the size of the board, the proposed system of rolling appointments and the removal of the automatic right to nominate individuals not directly accountable to the taxpayer. Furthermore, the director general of FÁS will be accountable to the Oireachtas and directors and staff will be required to disclose conflicts of interest. Whistleblowers who report serious wrongdoing will be protected.

One would expect these provisions to feature in the Bill. I will not discuss in detail the various sections, as these matters are best left to the Minister, his officials and the Parliamentary Counsel. We trust them to incorporate and embroider in the legislation the changes required.

With hindsight, one can ask the reason certain measures were not introduced in the principal Act. One can ask the same question of any legislation before the House. I anticipate that this initial amendment will be followed by further changes.

All of us recognise that we face major challenges. Circumstances are changing at a rate we never expected and the impact of the current global economic and financial crisis is complicated by several factors unique to Ireland. Many of those in business or seeking to embark on careers or self-development are experiencing considerable difficulties, particularly in the area of apprenticeships, with which FÁS is closely associated. Many of the individuals and companies involved in or associated with the construction industry, including electricians, plumbers and bricklayers, are in survival mode and face major challenges. As we progress through this difficult, challenging and turbulent period, we should maximise the potential of all opportunities. In fairness to FÁS, some of the recent changes the organisation has announced tap into current market opportunities. As Senators will acknowledge, times of recession offer opportunities.

I am particularly pleased to note that consultation, dialogue and discussion will take place between the Ministers for Enterprise, Trade and Employment, Social and Family Affairs and Education and Science on the membership of the new board of FÁS. To compare the new and old structures is to compare chalk and cheese.

I do not know what role, if any, IBEC will have in discussions on the FÁS board, its governance and corporate direction and the practicalities of developing the organisation's potential. The vast majority are prepared to work together to maximise whatever potential presents to ensure we secure the best outcomes. I note from the Minister of State's contribution that the purpose of the Bill is to achieve the best returns and outcome. That being the case, I presume the legislation will have an easy passage through the House.

I have little to add to the Minister of State's contribution. I welcome his comments on how he intends to achieve the objectives set out in the Bill. One question many Senators want answered is when this legislation will be put to bed and its benefits delivered.

I understand the Minister of State may be somewhat constrained in what he can say. Difficulties arose in one area of FÁS, specifically in matters connected with the board. I agree that corporate governance is necessary and that we must ensure that whatever emanates at board level comes downstream. The role, function and responsibility of certain members of the board may not have filtered down, which is good. It is also welcome that the new director general will have a different remit, including in terms of reporting to the various committees of the Houses. This is an important element of the Bill.

I hope the Minister of State and his Department will be open to others giving a view as to how we can maximise the potential of the significant opportunities presenting at this time. We need to tap into the experience of the people who have their finger on the pulse. I would like people with practical, hands on experience of the marketplace, its demands and changing structures to be involved in the board of FÁS.

Recently I learned of the case of a person in the construction sector who had the misfortune to be made redundant. He contacted FÁS and was able to avail of opportunities overseas under a FÁS programme. On his return to Ireland, he secured gainful employment owing to his overseas experience and the training he had obtained from FÁS. I could cite many similar cases. I congratulate the Minister of State and ask him to keep up the good work.

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