Seán Kyne (Fine Gael) | Oireachtas source

I welcome the Minister and Deputy Niamh Smyth. I thank the committee members, including our colleague, Senator Carrigy, for their report. The committee is to be congratulated on taking on the work of hearing from representatives of the sector and initiating the report.

The hospitality sector was identified in 2011 for inclusion in a stimulus package to boost employment and economic growth. That was done during a difficult period and the package formed part of the first jobs budget. Reports from groups such as the RAI in the intervening years showed the Government's approach succeeded in helping to create both direct and indirect jobs in the sector. By the end of 2015, some 32,000 jobs had been created as a result of the introduction of the 9% VAT rate, for example, which helped to grow the sector. I acknowledge the decision by the Government to extend the application of that rate until the end of August. It will be an important incentive in retaining jobs. I presume there will be a decision in August to allow it to revert to 13.5%, which we hope will not have a negative impact on the sector.

One of the recommendations from the committee is that an independent body be established with specific oversight and responsibility for Ireland's hospitality sector and with functions analogous to those of Fáilte Ireland. What is the Minister's view on exactly what role such a body might have? I am concerned that there could be tensions between the two bodies regarding how they would function alongside each other. Fáilte Ireland has a strong reputation historically in this country.

The most important aspect is to get all sides of the industry working together. Colleagues have pointed out that employees are hugely important. As I always say, there are no employees without employers and the same is true in reverse. It is important that they work together for their own good and the good of the sector. The joint labour committee process has worked in the past. I encourage employers to be generous in terms of what can be achieved for their sector. I hope the committee's recommendation to establish fixed statutory minimum rates of pay and conditions of employment can be realised. We have seen increases in the minimum wage reversing the cuts that took place in 2009 and 2010. It is important to acknowledge that there have been a number of increases in the minimum wage. The hospitality sector is clearly associated with casual or temporary employment. Indeed, it is an important provider of part-time work, including for people coming out of college and for others who want a summer job to earn a few euro. That is a necessary and welcome part of growing up for many people and I hope others will continue to experience it in the future.

Overall, the sector is hugely important to many parts of the country. It is a vital industry and one that has potential for growth. The expansion in the number of hotels is beneficial at all stages of the process, giving direct employment in construction and thereafter creating both direct and indirect jobs. There is a necessity for labour from abroad. We have a high employment rate in the country at this time, which brings a need for people to come here from elsewhere to work. They must be given proper pay, conditions and rights. The committee rightly focuses on how women, minorities and migrant groups are particularly affected by issues affecting the sector. It is important that cognisance be taken of that aspect.

I thank the committee members for their work. I look forward to their recommendations being implemented where appropriate and where the Government decides it is the right thing to do.