Paul Daly (Fianna Fail) | Oireachtas source

I welcome the Minister of State and congratulate him on his recent appointment. This morning I attended the National Life Sciences and Engineering Expo in Mullingar with the Minister for Jobs, Enterprise and Innovation, Deputy Mitchell O'Connor. I welcome her commitment in her address this morning to that and all the regions in the future. When she left the expo, she visited the one unit in Mullingar Business Park. This is a prime example of how that region, along with all the other regions, has been neglected. I hope this will change. We have not had IDA Ireland visits.

On the positive side of Brexit, there will be great chances for further foreign direct investment. I hope, however, that those companies will be brought outside the M50 when they are being shown the facilities available in Ireland.It is vital that jobs are created in the regions as well as in the capital and urban areas.

As Senator Grace O'Sullivan said, a week is a long time in politics. This debate began prior to the Brexit referendum and we have to have a different outlook now on this topic. "Sustainable" is the key word in light of Brexit. At the expo this morning, I spoke to the chief executive of a medium-sized manufacturing company who signed a contract to manufacture components for a British company a couple of months ago. The overall deal was done in sterling. He is committed but the sum agreed has reduced by at least 10% in euro. This is one example of the issues that will arise for export companies which are providing employment. That employer had intended increasing his workforce with a view to this and other projects. He certainly will not now be increasing it and there is a possibility that he may reduce it if this continues. The emphasis now must be on sustaining what we have. If we do not take our eye off the ball but continue with the project, we will hopefully deliver full employment by 2018.

Exporters have a problem with Brexit. I worked for the past 20 odd years in a manufacturing company which supplies to the agricultural industry. We employ 15 people. A 10% reduction in farmers' incomes is a 10% reduction in spend and that reduction in spending with us would result in the loss of three of our employees, or 20% of our workforce. Those are the facts. I do not want to paint a very dark picture but those are strong possibilities for our agri-industry and exports to the UK if and when the Brexit is negotiated. While I do not want to ring alarm bells, the emphasis needs to be on the sustainability of the jobs already created. We do not want to lose that focus by trying to achieve figures for job creation.

Many have spoken about the dignity of work. We all know a certain number of people who work for their sanity and dignity, not for money. It costs these individuals to work and, from a financial standpoint, they would probably be better off not working. There are many mitigating circumstances in this regard, particularly in rural Ireland. I spoke to a young man recently who was delighted to have got a job but in order to attend work and fulfil his duties, he had to buy a car. His first five weeks' wages would have to be spent on insuring the car before he spent a cent on rent or food. The circumstances are similar for people with young children because it costs them more to pay a childminder than to stay at home. Being in employment looks good on paper but is it working for people? The mitigating circumstances to which I refer need to be addressed. There is a domino effect and something which happens in the most obscure circumstances can result in someone here losing a job. Each Department and Minister needs to keep an eye on the ball, particularly in light of Brexit. The ultimate loss could be jobs. I hope it will not be, when we have a plan and are on guard.

When jobs are created for their own sake, people lose their secondary benefits because of the threshold between what they can and cannot earn. They can lose a medical card, rent allowance and family income supplement, FIS. The thresholds are too marginal and often it does not pay for people to go back to work unless they are prepared to take the chance and go back for the sake of their dignity.

Much of what I planned to say has already been said. A major problem within the SME sector is that when an exporter comes under pressure and the business fails, the owner is not entitled to any support or social welfare. This matter must be addressed. Those in the SME sector are the people who taking the risks and creating the jobs. It was a pleasure to see them display their wares this morning in Mullingar. The man who told me the story and who is going to lose a sizeable figure is still positive and upbeat. It is that attitude that has created jobs and that will ensure they are sustained. However, the people to whom I refer need support.