Jim Walsh (Fianna Fail)

I agree with the points being made by my colleague, Senator Byrne. It is very difficult to understand how the newspaper industry qualifies for a reduction in VAT. He pointed out earlier that the industry has been shedding jobs. Not only I, but people who share their time between our jurisdiction and other countries also in deep recession believe the negativity of the media here has ensured that any confidence that may be engendered by any Government initiative will founder. If the media industry closed down completely for 12 months, this would assist some sort of economic recovery.

I accept the point made by Senator D'Arcy with regard to the black economy and the hairdressing industry. One significant industry that has been omitted from the section is the construction sector. I do not understand the reason for that. The construction sector has contributed most to unemployment. Many former construction workers face great difficulties in ever getting work again because of their lack of skills. People in the State sectors charged with retraining believe it will be almost impossible to reskill these people at a scale that will reintroduce significant numbers of them to employment. Given the over supply of residential and industrial units, this will be very difficult. However, anything that can be done to incentivise employment in this area should be done. It is for that reason I am strongly opposed to the increase in the minimum wage and to the continuance of the JLCs. These are a sop to the unions, which are grossly overpaid, mostly through employees in the public sector. Unless reality dawns, our economy could implode. The consequences will be enormous.

Can some consideration be given to the construction sector? I suggest that a zero VAT rate should be applied to specific areas of the construction to generate jobs. This might create more jobs than in any other sector because of the number of people who have left the sector in recent years.