Caít Keane (Fine Gael) | Oireachtas source

I welcome the Minister for Social Protection to the House. As Senator O’Donnell said, youth employment is an important debate and, as they will lead the country in the future, it is imperative we ensure they are not led into the rut of long-term unemployment. Surveys have shown that it is more difficult to get the long-term unemployed back into the jobs market. I also congratulate the Minister on spearheading the youth guarantee initiative through the European Parliament when we held the EU Presidency. Ireland made it a priority because we recognised that our youth are our most valuable asset and that we must ensure we work for and with them.

Youth unemployment is not just an Irish problem but an EU-wide one. The youth guarantee is a key proposal to turn the tide on youth unemployment and bring young people back into employment through continuing education, apprenticeship or traineeship. Earlier, a Senator asked when the guarantee will formally commence. EU Ministers agreed a €6 billion youth fund initiative to target the most affected regions to get young people back to work. This funding is most welcome as part of the 2014-2020 multi-annual financial framework.

Prolonged unemployment is devastating. Young people lose their self-confidence, self-esteem and self-worth in all aspects of life and it sometimes leads to suicide. The Department of Social Protection is tackling the social problems arising from unemployment in other areas.

The youth guarantee scheme has been in place in Sweden, Finland and Austria for a few years and evaluations of it in Finland indicated that it has reduced youth unemployment and inactivity. Many Senators have spoken about how soul-destroying inactivity is for youth. It is estimated in Sweden that 46% of participants in the youth guarantee scheme have benefited from the scheme. The Swedish and Finnish schemes were found to be more effective for young people who are new to the labour market than for those who are long-term unemployed. As the old saying goes "get them early . . ." . The same applies to the youth guarantee scheme, as surveys in Finland have shown. If the participants had been unemployed for four months the chances of success went down for each month of unemployment after that. This will have to be addressed and the Minister will have to keep an eye on it when the scheme is fully implemented.

When the scheme is implemented it is intended that it will contribute to three out of the five Europe 2020 targets: reducing the extent of early school-leaving, lifting people out of poverty and social inclusion, as well as increasing the employment rate. Lifting people out of poverty and social exclusion is a major factor. We need to ensure that we get this on the road as quickly as possible. Part of it is on the road but the youth guarantee scheme when implemented fully will add to the initiatives the Minister has outlined, with the additional money for the programmes to help young unemployed persons and to keep jobseekers close to the labour market.

On the rent supplement scheme, Senator Moloney spoke about Killarney but it is trotting after Dublin where rents are increasing so much that people cannot afford them. The Minister of State at the Department of the Environment, Community and Local Government with responsibility for housing, Deputy Jan O’Sullivan, is reconsidering the scheme. Will the Minister explain how this will be rectified? I know about the housing plan to be produced next month, the housing construction programme and the €68 million announced last month for local authorities to upgrade houses that are not in use and bring them back into use soon.