Sean Barrett (Independent) | Oireachtas source

I welcome the Minister of State and I thank him for his address on this important subject area. The Minister of State referred to the 330 apprenticeship options Germany compared to 24 to 25 in Ireland. We need to achieve the German level of apprenticeships without the inferior status associated with apprenticeships in Ireland. I refer to the OECD paper, Getting Youth on the Job Track, which takes up the Minister of State's point. Countries such as Austria, Germany and Switzerland have a long-standing tradition of apprenticeship schemes based on a dual approach and associated with good labour market outcomes for participants. The dual system is a combination of apprenticeship and vocational training. The main characteristics of the German model of apprenticeships combines learning time at a vocational school with learning time at a host company. With reference to Senator D'Arcy's contribution this would mean an apprenticeship could spend some time in school and some time with Neven Maguire. That is a great idea. I can think of no better man to be involved in something like this. If he is as good in the classroom as he is on the television screen I have no doubt he would inspire people. Any course in leadership training should include the participation of people like Seán Boylan or Neven Maguire. We should take the advice of our German, Austrian and Swiss colleagues.

In the German system, employers and social partners are engaged in the design, running and financing of the system. It is important to have employers involved in order to help to bridge the gap between education and employment and to prepare students to be ready to turn up on time and stay for the day, to get to know the customers and work colleagues. Those are very valuable skills. Schemes in which employers are involved tend to have higher success rates.

We have heard many sermons from IBEC on the deficiencies of the education system. In return for the 12.5% corporate tax rate - one of the lowest in the world - I suggest IBEC members should put money into some of the schemes. If there is a shortage of skills in a particular area then I suggest IBEC puts its money where its mouth is and join with the education system. We are among the most generous countries in terms of low corporate taxation and the corporate sector should know that the Government and Members of this House would want some reciprocation for that.

The third characteristic of the German system is that employers have the opportunity of hiring young workers who are ready to work, with a resulting reduction in spending on recruitment and training. The employees have a recognised qualification, together with related and relevant work experience. That is why I headed back to my office to get some of these documents when I heard the Minister of State speak about the 330 apprenticeships because he is on the right track in this regard.

I refer to the very fine Oireachtas Library and Research Service which has provided a briefing paper to Members. Up to 2013, the cumulative decline in youth employment in Ireland was almost 60%. This represented a drop from over 357,000 employed youth in the summer of 2007 to 148,000 at the beginning of 2013. While there has been a modest increase in overall employment figures recently, these increases have not materialised in the youth category, with many young people continuing to exit the labour force either by returning to education and training or emigrating.

I refer to mistakes made in the past and about which the Minister for Social Protection, Deputy Joan Burton, has spoken. During the boom there was a tendency to reclassify people as "disabled" or those on invalidity benefit. Keeping them in education and training has much to commend it. Much of the apparent reduction - down to 4% at its lowest - in the unemployment rate was as a result of this reclassification. Opting out of the labour force and becoming a permanent dependent category does not have anything to recommend it.

Ireland's youth unemployment rate used to be one of the lowest at 9.1% before 2008 but it is now 30.4% as against the EU average of 23%. We have ground to make up. Even though it was hard medicine there was method in the Government's cut in social welfare payments to young people in the recent budget because we want people to continue to acquire qualifications in advance of an improvement in the economy. There is a need to re-adjust between the high prestige attached to higher education and the lesser prestige attached to further education. I regard one as the route to the other, in that success in further education will provide a basis in classroom study for future higher education to degree level. There are some concerns that courses in higher education with very low points requirements might not be of any great use and that instead, a spell in further education and staying in touch with the workforce and then progressing to higher education, might be a better proposition. Some CAO courses have a very low points entry requirement. One questions whether those students at 18 years of age with low points are able to take on the full responsibility of a full-time higher education course.

The Minister of State referred to the role of the education boards as the delivery of primary, post-primary and further education. I ask the Minister of State to expand on the precise role of the education boards in primary education. Senator D'Arcy referred to spare buildings which could be used for primary school purposes. I do not think the role of the education and training boards in primary education was spelled out during discussion of the legislation in the House. I would be interested to hear how it is progressing.

As the OECD has said and as the Minister of State has hinted, it is most important to learn the lessons from Switzerland, Austria and Germany and to bring our apprenticeship system up to their level. So much of the adjustment has been by means of the huge reduction in the number of young people employed in Ireland, from 357,000 in 2007 to only 148,000 in 2013. We owe that generation a lot and I will support the Minister of State in any measures to remedy the situation.