Seanad debates

Wednesday, 22 February 2023

Report on Working Conditions and Skills Shortages in Ireland's Tourism and Hospitality Sector: Motion

 

10:30 am

Photo of Mark DalyMark Daly (Fianna Fail)
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I welcome the Minister for Tourism, Culture, Arts, Gaeltacht, Sport and Media, Deputy Catherine Martin, and the Chair of the Joint Committee on Tourism, Culture, Arts, Sport and Media, Deputy Niamh Smyth, to the House. I congratulate Deputy Smyth on all her committee's work on this report. This debate arises from one of the features of Seanad reform that was worked on by all Members regarding the many reports done by Oireachtas committees. Often, the recommendations and proposals are put forward by committee members having listened to the sector or groupings involved. We look to make sure those recommendations are considered six to 12 months after the reports are done to see how the Department and various agencies have progressed the recommendations.

The proposer of the motion is Senator Carrigy. The committee Chair will then contribute. We will then follow the usual format. The Minister can come in at any time she chooses.

Photo of Micheál CarrigyMicheál Carrigy (Fine Gael)
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I move:

That Seanad Éireann shall take note of the Report of the Joint Committee on Tourism, Culture, Arts, Sport and Media entitled ‘Working Conditions and Skills Shortages in Ireland’s Tourism and Hospitality Sector’, copies of which were laid before Seanad Éireann on 15th November, 2022.

I thank the Leas-Chathaoirleach. I welcome the Minister and Deputy Niamh Smyth to the Chamber. Deputy Smyth was a very effective Chairperson of our committee. I look forward to a productive discussion on working conditions and skills shortages in Ireland's tourism and hospitality sector. I thank our witnesses who made such vital contributions to the final report of the committee on this topic and shaped its key recommendations. The committee heard evidence from a number of stakeholders, including officials from the Department, Unite, the Irish Congress of Trade Unions, ICTU, SIPTU, Dr. Deirdre Curran from the University of Galway, Fáilte Ireland, the Irish Hotels Federation, the Restaurants Association of Ireland, the Vintners Federation of Ireland, and the Licensed Vintners Association.

I will draw particular attention to a number of the recommendations from the committee's report. Recommendation No. 1 states: "The Committee recommends that the Minister for Tourism, Culture, Arts, Gaeltacht, Sport and Media engage with Cabinet colleagues with a view to establishing an independent body with specific oversight of and responsibility for Ireland’s hospitality sector, with functions analogous to those of Fáilte Ireland in respect of Ireland’s tourism sector." Recommendation 2 states: "The Committee recommends that the Minister for Tourism, Culture, Arts, Gaeltacht, Sport and Media engage with Cabinet colleagues with a view to nominating a single Government Department to retain direct oversight of and responsibility for all aspects of Ireland’s tourism and hospitality sector, to include working conditions and training and recruitment."

While the development of the tourism sector, including addressing skills shortages, has an oversight structure in the form of Fáilte Ireland, a common theme among a number of the stakeholders was that no one body or entity has a direct remit for hospitality. Industry stakeholders emphasised the need for collaboration between the sectors of tourism and hospitality and the need for a responsible, unified governing or development body, with many suggesting that the Department would seem the logical solution. The tourism careers oversight group was cited as an example of where the delivery of such a responsibility is vital, with an accountable body for the delivery of any recommendations arising from the oversight group.We also recommend that the Minister would engage with industry stakeholders and any other relevant actors or organisations to seek, as a matter or urgency, a workable solution to the legal issues that have shut down the joint labour committees, JLCs, relating to tourism and hospitality, and to ensure they can be re-established to provide a process for fixing statutory minimum rates of pay and conditions of employment for employees in these sectors. Given the clear evidence presented to the committee of widespread poor pay and working conditions in many parts of the tourism and hospitality sectors, there is a need for workers to be given a choice and to have greater representation to form a strong part of the oral and written evidence received. One mechanism discussed as the delivery of a voice to workers was the joint labour committee system. Those in favour of re-establishing the joint labour committee system largely included the trade union groups, which were broadly of the view that a joint labour committee established for the tourism and hospitality sector would provide an appropriate framework for employees and employer representatives to deal with issues pertaining to the tourism and hospitality sector, and that the system could fix minimum rates of pay alongside conditions of employment for the sector. We ask the Minister to explore workable solutions towards the re-establishment of JLCs.

Recommendation 5 from the committee's report is that the Minister engages with Cabinet colleagues with a view to advocating for increased resourcing of the Workplace Relations Commission to increase the number and prioritisation of Workplace Relations Commission inspections of all tourism and hospitality businesses, with increased inspectorate staff and an enhanced complaints mechanism for workers in the sector, whereby workers' anonymity can be respected.

It was observed in evidence to the committee that employees in the sector can sometimes be subject to poor working conditions with employers and in some cases they did not adhere to the minimum protections for employees that are set out in a number of pieces of employment legislation. Employees concerns regarding appropriate pay and adequate break time are also noted. Harmful workplace behaviours with ill-treatment of migrant and female employees within the sector were also observed. The committee acknowledges that there are many good employers in the sector also and calls for the reinforcement of the Workplace Relations Commission operations in the sector to eliminate any poor workplace practices.

Recommendation 7 is that the Department, in engaging with any interdepartmental group or forum concerning Ireland's tourism and hospitality sectors, advocates for and ensures insofar as possible that the interests of trade union groups and workers are equally represented, alongside those of employers and their representative groups. Again, the fundamental tenet that workers should have greater representation and be given a platform to voice concerns or views was strongly advocated for in much of the evidence received by the committee. It was noted that this in-work democracy should be key in ensuring employee and employer trust. As such, the committee recommends that the interests of trade union groups and workers, and of employers and their representative groups, are equally represented.

Recommendation 11 in the committee report is that the Minister works with the industry and with workers' unions to produce a national standardised code of conduct that is mandatory and legally binding for the hospitality sector, including protections for women, migrants and minority groups.

The union groups and academics who engaged with the committee presented evidence of harmful workplace practices in the sector. The committee recommends that such behaviours are addressed through an enforceable code of conduct in the sector, to safeguard the workers and to make the sector the vital economic player that it is for the country.

I thank the Minister, Deputy Catherine Martin, for being here and for listening to our report.

Photo of Mark DalyMark Daly (Fianna Fail)
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I thank Senator Carrigy. I now welcome to the Seanad, although briefly, Deputy Niamh Smyth, the Chair of the committee that did this excellent report.

Photo of Niamh SmythNiamh Smyth (Cavan-Monaghan, Fianna Fail)
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I thank the Leas-Chathaoirleach for having us here today to discuss this important report. I will begin by thanking my colleagues on the committee for their diligence around this issue. We had many hearings, with lots of contributions, ideas and suggestions. I want to thank them, and especially the secretariat of the committee who are sitting here quietly in the corner. Ms Laura Pathe and her team make it very possible and easy for us to do our job. I thank them.

A Leas-Chathaoirligh, Leader of the Seanad and all Seanad Members, I take this opportunity to be here today to discuss the Oireachtas Joint Committee on Tourism, Culture, Arts, Sport and Media report, Working Conditions and Skill Shortages in Ireland’s Tourism and Hospitality Sector. I also thank my committee member colleagues, and especially Senator Carrigy, who is here today to propose the motion for the debate.

The Oireachtas Joint Committee on Tourism, Culture, Arts, Sport and Media has reported on a number of topics during the course of this Dáil. With this being the first report selected for debate in Seanad Éireann, I am particularly pleased. I am delighted to be able to introduce this report to the House and discuss some of the recommendations contained therein.

Ireland’s tourism and hospitality sector is central to the vitality of the Irish economy and is often cited as being the country’s largest indigenous industry and largest regional employer. Hotels, restaurants, pubs and other establishments are the cornerstone of the céad míle fáilte offered to our visitors. The workers and employers providing these services are a pivotal part of our domestic economy and are of huge importance in promoting Ireland Inc. Yesterday’s announcement regarding the extension of the 9% VAT rate for the sector is a clear recognition by Government of the challenges facing the tourism and hospitality sector.

The committee welcomes the introduction of greater protections for workers in recent years, such as those addressing the need for transparent and predictable working conditions, a statutory sick pay scheme, a new public holiday, new rights around redundancy for people laid off during the pandemic and better protection of workplace tips and gratuities. The committee welcomes the EU directive on minimum wages and collective bargaining that was adopted by the European Council on 4 October 2022 and welcomes the directive’s focus on strengthening collective bargaining structures in member states.

In light of significant research completed by State agencies, union groups and academic figures, however, there is a considerable body of evidence to suggest that workers and businesses in the tourism and hospitality sector face real obstacles to a decent working life and to full complements of staff. Workers report issues with wages, employment precarity, harmful workplace behaviours and trade union access. Employers too cite immense challenges in terms of skills shortages, as they require a vast range of skills that they cannot attract solely from the domestic population.

The onset of the pandemic led to a series of restrictions that significantly impacted the sector and was a major contributing factor to a decline in employment in the sector, as well as a decline in uptake of relevant educational programmes. In its report, the committee recommends that State interventions are established to continue to offer some remedy to the sector, and to place the tourism and hospitality sector on an equal footing with all other areas of the economy. The sector currently faces skill shortages in many key operational roles. The report of the joint committee discusses the particular areas of need, the state of relevant educational initiatives, importing labour and talent management for the sector.

In conducting its analysis of this topic, the committee gathered a diverse range of opinions from key stakeholders across Government, State agencies, industry, workers’ representatives, and academia. The committee held four public oral hearings and considered 11 written submissions from relevant groups to determine the extent of any issues relating to working conditions and skills shortages in Ireland’s tourism and hospitality sector.

The committee acknowledges also Fáilte Ireland’s ongoing research in the area of skills and working conditions. The committee notes Fáilte Ireland’s report, Tourism Careers: Labour Research 2022, published in October 2022, which draws on interviews with more than 3,500 employees in the sector, as well as up to 800 employers. Findings from this report show positive progress toward favourable conditions for the sector, with approximately 70% of businesses increasing pay, providing more flexible work patterns and more stable and predictable work schedules to their existing staff and new recruits. This is very welcome. The data also show that employees recognise the improvements that have been made in relation to pay, perks and working conditions. This, too, is welcome.

However, workers still report that more remains to be done to make working in the industry as attractive an option as possible, particularly in such a competitive labour market. It is welcome that the Fáilte Ireland research also indicates that 70% of people working in the industry see tourism as a long-term career option, which is hugely encouraging for the long-term viability of the industry. The research does, however, indicate that recruitment and retention of staff in the industry is still a significant challenge for tourism and hospitality businesses. I am aware there are many Senators in the House who are involved in the sector and will be able to speak to that.

Arising from the written submissions and oral evidence presented, the committee makes a number of recommendations, some of which I will speak to.One of the recommendations states:

The Committee recommends that the Minister ... engage with Cabinet colleagues with a view to advocating for the expedition of work permit, visa, and Personal Public Service Number applications for tourism and hospitality workers, as associated processing delays directly impact the sustainability of the sector. The Committee also recommends that any changes to visa processing must include a provision that migrants must be fully informed, supported and supplied with all relevant documents pertaining to their employment including their contract and conditions and pay before their visas are granted.

An efficient and responsive employment permit system is critical in addressing Ireland's skills economy needs and in ensuring that talent is attracted to Ireland from non-EEA countries also. Stakeholder groups noted that any delay in work permit or visa processing has a detrimental effect on the skills shortages in the sector. Industry groups also called for change to the work permit or visa processing system. While the Department participates in the interdepartmental group on work permits and advocates for the prioritisation of chef permit applications, for instance, many stakeholders requested that any delays specifically affecting tourism and hospitality businesses be eliminated. It was also noted, however, that solutions such as the mass production of work permits focus solely on employer needs and piecemeal solutions and may have the consequence of subjecting vulnerable imported labour to substandard working conditions. To that end the committee recommends that provision must be made to ensure that migrants remain fully informed.

Recommendation 6 states:

The Committee recommends that the Department ... commission further research to meet the need for detailed research and empirical evidence on working conditions, and on the implementation of employment legislation, in Ireland's tourism and hospitality sector, with a particular focus on how women, minoritised groups, and migrant workers are affected.

While a number of groups presented research findings to the committee, such as Unite, Fáilte Ireland, Dr. Deirdre Curran and Dr. Mary Farrell, it was also suggested that there was a dearth of empirical data in the field and that further targeted research on working conditions in the sector was urgently required to ensure that the Government remains responsive to the needs of the sector and its workers.

Recommendation 8 states:

The Committee recommends that the Department ... engage with the Tourism Careers Oversight Group with a view to nominating a body accountable for the delivery of any recommendations made by the Group.

The value of the tourism careers oversight group was noted. It is an excellent example of best practice at national level and highlights the importance of a collaborative process to identify skills gaps and opportunities and to address skills needs. Stakeholders, however, called for an accountable body for the delivery of any recommendations arising from that oversight group.

Recommendation 9 states:

The Committee recommends that the Department ... engage with the Department of Further and Higher Education, Research, Innovation and Science on the delivery of further apprenticeship, traineeship, and third-level diploma and degree programmes that are geographically accessible to as wide a range as possible of prospective apprentices, trainees, or students, and that are directly relevant to the tourism and hospitality sector.

Written evidence submitted to the committee suggests that rebuilding and developing sustainable talent pipelines could be a solution to the skills shortages found within the tourism and hospitality sector. It notes that a lack of recognition and understanding of the career opportunities in the industry, as well as a lack of recognition of such careers as careers of choice by schools, career guidance counsellors and parents, has led to a decline in the number of students within third level institutions in relevant tourism and hospitality courses, with some programmes cancelled entirely.

The establishment of an action plan and a funded task force for future development, promotion and training in the tourism and hospitality sector was recommended, noting that our education and training boards, ETBs, and institutes of technology are working in isolation in their offering of tourism and hospitality courses. There were also calls for the delivery of structures that will allow for the migration of, for instance, ETB trainees into universities and upward through the qualifications framework. The committee recommends that such training opportunities, alongside greater apprenticeship opportunities for those who wish to enter the tourism and hospitality sector, should be dispersed throughout the regions. It also recommends the linking of industries with educational establishments in order that both are readily accessible to trainees and apprentices.

Recommendation 10 states:

The Committee recommends that Fáilte Ireland further enhance its employer development and Excellent Employer programmes to encourage employers to grant uninhibited access to trade unions, and that Fáilte Ireland coordinate a publicity campaign to highlight such initiatives.

Union groups and others presenting to the committee observed that trade union recognition and the uptake of trade union membership are limited across the tourism and hospitality sector. It was noted that in some cases workers do not join a trade union as they are unaware that there are unions relevant to tourism and hospitality, in addition to a fear of "speaking out" or reporting incidences of wrongdoing they have experienced. It was also noted that, as a result of the transitory nature of some hospitality and tourism work, workers may not be aware of or comprehend their rights or entitlements. As unions can be denied access to the workplace, those who may require the services of trade unions cannot have their needs met. Union groups called for trade unions to have greater access to workplaces, whether through a noticeboard or specific allocations of dates or times during which workers may be able to meet a union representative in the workplace.

The committee welcomes Fáilte Ireland's employer excellence programme to support the industry to meet employee needs and to drive better employment practices throughout the sector through the actioning of open feedback between employer and employee. This is very important work, and it is imperative that where obstacles to accessing trade union membership are highlighted by employees through the employer excellence programme or other mechanisms, this be addressed without delay. The committee greatly welcomes Fáilte Ireland's work in this area.

The committee asks that the Minister take immediate action to engage with the recommendations in this report. It is of paramount importance that momentum is maintained in supporting this vital sector. My committee colleagues and I are grateful for the Minister's written response, which committee members received only today, an hour ago. That is disappointing in the sense that my colleagues have not had an opportunity to read that, but it has been circulated by the committee secretariat, and colleagues will have a chance to read it. Understandably, the committee has not yet had a chance to consider the Minister's response, but I look forward to engaging with her further and hearing Members' contributions today.

Photo of Ollie CroweOllie Crowe (Fianna Fail)
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I welcome the Minister, Deputy Catherine Martin, to the House and thank her for her strong voice on the 9% VAT rate campaign, which was vital to the hospitality sector, not alone in Galway but across the country. I have got very positive feedback on that over the past 24 to 48 hours.

I welcome this topic. It is one which, it goes without saying, is vital to hundreds of thousands of workers across the country, thousands of SMEs and, indeed, the Irish economy as a whole. I have worked in this sector for over 20 years so I have considerable first-hand experience. While it may never have been easy to find qualified staff, it was always possible and manageable. We have had staff who have been with us for over 20 years, so I am very familiar with the loyalty of staff. To state the completely obvious, if you treat people right and treat them the way you yourself would want to be treated, there does not tend to be an issue. I think all Members of the House will know that the business performs better as a result. That goes without saying.

Unfortunately, as Fáilte Ireland has estimated, there are currently approximately 40,000 vacancies across the sector, 9,600 of those at senior level, representing a quarter of the total. Many particular positions are difficult to fill, including senior managers, chefs, bar staff, waiting staff, middle management roles, mixed senior-level managers in hotels, sales and marketing professionals, and even marketing professionals and coach drivers. It is difficult. There has been a lot of talk about the impact Covid-19 had on the sector generally, which all Members will recognise was extremely damaging, but I think it has been somewhat overlooked that one of the major issues the pandemic caused the sector was the loss of thousands of valuable, qualified staff who had considerable experience and expertise within the sector. Speaking first-hand, I believe they are irreplaceable, and they are currently not out there. Those staff could no longer rely on businesses to open due to public health measures. Obviously, that was not sustainable, despite significant Government supports. We are talking about people who had mortgages, people with families and people who had considerable expenses they had to meet. I know that first-hand from the medical devices sector in Galway, which employs thousands of people in Galway city.There were opportunities there and the reality is that whether it was the chef or the front of house manager, because the business was closed for so long, they had options. When you go in for a structured 8 a.m. to 4 p.m. or 5 p.m. or 7 a.m. to 4 p.m. job, there probably is a better quality of life in some cases. Thankfully, there are positive signs coming back.

As I outlined, I know from businesses across Galway city and county that there was a significant loss in head chefs, hotel manages and bar managers who took other opportunities. I referred to medical devices companies, whether it be the likes of industry or the likes of Medtronic, Boston Scientific or Creganna Medical, and the huge opportunities there. People are settled in their roles and not returning to the hospitality sector for the most part.

I would engage with the VFI, LVA, RAI and the hotels, naturally. The VFI noted that labour shortages have resulted in – we all see this in our own areas – reduced trading hours. Places are closed on Mondays and Tuesdays or whatever the case may be, which never happened before. That can be to the detriment to certainly life in rural Ireland as well. One even sees that businesses close to Leinster House are not open Mondays and Tuesdays. The staff shortages have resulted in additional hours for existing staff, the training of new staff who are inexperienced, total closure for a period to allow existing employees to take annual leave, increasing wage costs to meet expectations of existing employees, and an impact on the quality of service, customers' expectations of the hospitality setting and the breadth of offerings across the sector. The LVA stated that in a survey last year, 90% of respondents noted it was difficult to recruit staff, 84% remarked that staff had moved to other industries, 90% noted concerns about staff shortages for 2022 and 80% remarked the uncertainty in the industry was a primary motivation for the loss of staff since March 2020. Further stakeholder groups, such as the Irish Tourism Industry Confederation, the Irish Hotels Federation and RAI highlight the inability of the domestic labour market to fulfil the skills shortage observed in the tourism and hospitality industry.

ITIC states that with lower levels of unemployment in Ireland, it would be necessary to concentrate certain efforts to recruiting talent from other EU or non-EU countries. RAI calls on Departments and Fáilte Ireland to engage with industry to bolster a recruitment drive, including targeted international recruitment fairs.

Going through the report, there was negative feedback from employees in the sector, particularly in the Unite survey. That is not something I have seen in my experience within the sector. I suspect a small minority of employers engage in such acts or activities. If someone is an employee within the sector and has seen employees in engaging in bullying or other such actions, which are totally unacceptable, it is probably highlighted more within the union. In my experience in west Galway, the percentage of employers who treat staff the way they should be treated is in the high 90s. That is unacceptable. Nonetheless, it is something we need to be aware of it. There is no point in brushing over it.

I welcome the committee’s recommendation that the Minister for Tourism, Culture, Arts, Gaeltacht, Sport and Media should engage with Cabinet colleagues with a view to nominating a single Department to retain direct oversight of and the responsibility for all aspects of Ireland’s tourism and hospitality sector to include working conditions, training and recruitment. The recruitment point needs to be noted. The committee recommendation that the Minister engages with Cabinet with a view to establishing an independent body with specific oversight of and the responsibility for Ireland’s hospitality sector, with functions similar to those of Fáilte Ireland in respect of the Ireland tourism sector is interesting and I strongly support this. We must remember the tourism and hospitality sectors are even more important to regional and rural economies. Fáilte Ireland estimates that the tourism sector generated 67% of pre-Covid employment in regional and rural Ireland, which reflects this.

I am conscious of the clock and I am sure the Leas-Chathaoirleach will tell me about it in a second. I will not go through all of the recommendations, but they all deserve consideration and address key issues within the sector, including pay and conditions, as was outlined by Deputy Smyth, expediting visas for foreign workers and the need the for further research and condition in the sector and so on.

I thank the committee for the report. I thank my colleague, Senator Carrigy, and the committee for their hard work in preparing this important report, and particularly, the Chair, Deputy Smyth, and the work she put in, and the secretarial staff.

Photo of Sharon KeoganSharon Keogan (Independent)
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I thank Deputy Niamh Smyth for the great work she did on the report and my colleague, Senator Carrigy. I welcome the Minister to the House.

The hospitality sector employs 240,000 people worth a combined €12.5 billion to the economy each year. The report tells us it accounted for 67% of pre-Covid employment across rural and regional areas. Outside of Dublin, tourism and hospitality is the economic lifeblood of Ireland.

As many as nine out of ten hospitality businesses are experiencing significant problems in recruiting essential core staff, according to figures from Fáilte Ireland. From chefs to bar staff, managers and kitchen porters, there are as many as 40,000 vacancies in the hospitality sector. Last year, I pointed out that the one area to consider is the fast-tracking of Irish work visas for the chefs and key hospitality workers required by our businesses. Indeed, the Minister of Children, Equality, Disability, Integration and Youth was present this morning to deal with our refugee issue. Perhaps work permit visas could be offered to people coming from countries that we are seeing economic migrants come from at this moment.

I have been contacted by a number of individuals who have been in the hospitality industry for years. They told me hoteliers are tearing out their hair over the delays in processing visas for skilled industry workers, particularly chefs. Backlogs have been experienced for months in visa decisions for young chefs from outside the EU. It is causing real difficulty in an industry that we should be doing all we can to help.

On this note, I am glad that the report calls for the expedition of work permit visa and public personal service number applications for tourism and hospital workers, as associated processing delays directly impact the sustainability of the sector. ITIC stated that with low levels of unemployment in Ireland, it would be necessary to concentrate certain efforts to recruiting talent from other EU and non-EU countries. Of course, that brings us to the elephant in the room, once again. Many highlight the difficulties around securing talent from other countries as a result of the shortage of accommodation and the cost of rental accommodation in Ireland, particularly in Dublin. The VFI, for instance, notes that Cork, Limerick and Galway are areas experiencing difficulties with accommodation and, therefore, difficulty attracting labour from overseas, as many publicans and businesses are unable to offer accommodation for migrant workers. Our ability to respond to a non-housing issue is constrained by our lack of housing.

The other issue is the working conditions, such as dodgy minimal pay practices, contracts that are not fair to employees regarding shifts - too many, not enough or ill-timed - and a lack of adequate break times. In many other countries, people can work in the same establishment for years and make a career out of it. Here, we have a culture of service work being a student, starter or part-time gig. It might be worth asking why that is and addressing it.

The report calls for the delivery of further apprenticeships, traineeships and third level diplomas and degree programmes. I could not agree more. I have been calling for this for years. We need as wide of a range as possible of prospective apprenticeships, trainees or students that are directly relevant to the tourism and hospitality sector.

The Minister faces many challenges in her the role. She is facing challenges in County Monaghan in respect of the hospitality sector and the Nuremore Hotel. We need to look after the workers and the hospitality industry. I wish her well.

Photo of Paul GavanPaul Gavan (Sinn Fein)
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I welcome the Minister and it is good to see her again. I wish to congratulate Deputy Smyth and all members of the Joint Committee on Tourism, Culture, Arts, Sport and Media on their fine report. It calls out the issues across this industry in a very clear way and I commend all of the members of the committee. I was lucky enough to attend one of the committee's sessions. It was a really powerful one in terms of the witnesses who came along to speak about the very stark reality, in all too many cases, of their working conditions in the sector.

The committee has listed some very good recommendations and I shall go through a few of them. I want to start by referring to an issue, which this report recognises, but I shall put it in a very stark and honest way. The major problem we have with the tourism and hospitality sector is that it suffers far too much from low pay, poor career prospects, precarious employment and, crucially, a denial of trade union representation.

Recommendation 6 calls for further "detailed research and empirical evidence on working conditions". I support that call but the evidence is already there to confirm the major problems in the sector and I shall go through some of that evidence. The Fáilte Ireland report outlined that approximately half of the people working in the sector earned between just €10 and €12 per hour in 2021 - half of the employees. An ESRI report shows that 10% of employees in Ireland received the minimum wage in 2017 and 2018 but nearly half of them worked in one sector - the hospitality sector. In addition, according to Unite the Union, 73% of workers did not receive their Sunday premiums and 60% did not receive bank holiday premiums. According to the Fáilte Ireland report, 62% of workers felt that they needed better wages and 77% reported that low pay was the most significant problem facing the sector. Those are the facts and they could not be more clear.

I note and very much welcome the joint committee's recommendation to re-establish joint labour committees. I am really interested to hear how the Minister will go about making that a reality because of the following and, again, this is something that probably needs to be said as it was not spelled out in the report. The employers have a veto. I will name the employer groups: the Irish Hotels Federation; the Restaurants Association of Ireland; and the associations that represent vintners in Ireland. For years, these associations have refused point blank to countenance re-establishing the JLCs. Shockingly, what they say is that they do not need a JLC system as it is outdated and there is now minimum wage legislation. Let us consider this for a second. The very people who say they cannot find staff and struggle to retain staff say when asked to recommit to a JLC system that they do not need it as the minimum wage legislation now exists. That is their words and not mine. They say that the minimum wage is fine for their sector but we all know that it is not fine and that is why working in the sector is starkly such a poor career choice now for so many people, and people are rightly voting with their feet.

Next I will call out something that I experienced for years as a trade union official. The Irish Hotels Federation has contempt for trade unions and that is a fact. The federation will not recognise trade unions and will not bargain with them collectively, which is at the heart of the issue of not re-establishing a JLC. The federation representatives do not want to sit in the same room as unions and hammer out a deal, which would put a floor of decency back into the sector. What would that floor of decency mean? It would mean that, for example, if a person works for a hotel for a few years he or she will have a payscale and will not be stuck earning the minimum wage and his or her wage will increase. It also means that an employee might have a pension, proper sick pay and proper career paths that just have not been on offer, which used to be the case. The sector, when it was properly supported by trade unions, and when employers dealt with trade unions, was a good sector in which to work and build a career. Unfortunately, that has not been the case for at least the last couple of decades.

I want to understand what the Minister will do to ensure that the JLC is set up again, which is a key recommendation of the joint committee. I need to understand that because unless she is prepared to take on the veto then asking nicely is not going to work and we know what the answer will be. The organisations do not want to talk to trade unions. They do not want workers to have the right to representation. I am saying very clearly here that the struggle to attract staff to the sector is directly related to poor terms and conditions. As I have detailed, when I cited the statistics on the sector, that is what needs to be tackled.

Dr. Deirdre Curran is a very impressive academic from the National University of Ireland, Galway. She said, as quoted in the committee's report: "Working conditions in tourism and hospitality have deteriorated since emerging from the pandemic, and that employment in the sector does not correspond to the characteristics of decent work: secure employment, fair wages, safe working conditions, social protection, social dialogue, and labour rights and standards." I disagree with my colleague in Fianna Fáil when he said that it is a small minority of employers. Let me give a fact from the WRC, and it is detailed in the report, whereby 73% of hotels and employers that were inspected were found to be in breach of employment standards and, more shockingly, 40% of those inspections were notified in advance. So even when employers are told in advance that the WRC will carry out an inspection they still could not get their act together, and still could not ensure that employment laws were not broken. One can see from the yearly WRC reports that the highest number of breaches in employment law, and we are not talking about a minority but a percentage ranging between 66% and 77% every year, consistently occur in the tourism and hospitality sector. That fact may not be nice to hear but it is the truth and surely we are here to deal with the truth.

I welcome a couple of the first key recommendations. The first recommendation is essential and I refer to the suggestion to establish "an independent body with specific oversight of and responsibility for Ireland’s hospitality sector". The idea of one Department looking after it is also really important and I will give one example. If I asked the Minister about the WRC she will rightly say to me that it is not her responsibility in terms of how many inspectors are employed and that it is the responsibility of the Department of Enterprise, Trade and Employment. I know from my work as a member of the Joint Committee on Enterprise, Trade and Employment that for years the WRC has been understaffed, and not by one or two but 20, 30 and more inspectors, which speaks volumes about the real priority of successive Governments in terms of defending workplace rights and employee rights. If we follow the recommendations made in the report then the Minister would have responsibility. From our time together on the committee in the last Parliament then I would have confidence that the Minister might well do something about this matter.

I can see that I am running out of time so I shall outline my worry. There is a great tradition in these Houses of producing fantastic reports but putting them on a shelf where they gather dust and nothing ever happens so I seek an assurance from the Minister. I ask her to please tell me what she will do in the next six to eight months to re-engage with the JLC process and tell that to the employers, whom the Government gifted €282 million yesterday in a VAT cut. At the very least she could have asked the employers to re-engage with the JLC process as a result of that. That is the very least that should have been done and I look forward to the Minister's response.

Photo of Frances BlackFrances Black (Independent)
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I welcome the Minister and congratulate the Cathaoirleach of the Joint Committee on Tourism, Culture, Arts, Sport and Media, and all its members on the publication of this very timely and insightful report. I also thank and congratulate the staff of the committee secretariat who work so hard to produce documents that are of such a high standard. Sometimes those staff do not get as much credit as they should.

We all know the importance of the tourism and hospitality sector as these major industries employ a huge number of people across this State. The report states that the tourism and hospitality sector accounted for 67% employment in regional and rural areas before Covid. That percentage is particularly striking. These industries are vital parts of the Irish economy, which was reflected by the significant supports they received during the Covid pandemic and by the recent decision to extend the period of the 9% VAT rate for the sector for another few months.

As detailed in the report, the sector continues to face major challenges when recruiting and retaining staff. That situation is unsurprising given the many challenges that come with working in the sector. For example, people work long, irregular hours, and the work is physically demanding. In addition, some customers are difficult and there is often workplace bullying. These are all common features of working life in the sector.According to research conducted by Unite, which is referenced in the committee’s report, 80% of respondents reported that working in the sector negatively impacted their well-being; 70% reported experiencing workplace bullying - that is a shocking number - many of whom felt unable to report it; and 52% perceived that migrant workers were treated worse than their Irish-born colleagues. This is really concerning and very disheartening stuff. Workers are being forced to endure real hardships. A great deal of patience and resilience is required to work in the sector and this is fuelling staffing shortages in the sector.

Clearly, with the level of unfair treatment of workers in this sector, it should be a priority to resource additional oversight by the Workplace Relations Commission, WRC, of working conditions and to encourage and facilitate the organisation of trade unions among these workers. The committee’s report references fascinating and worrying research from Dr. Deirdre Curran on the rate of non-compliance with employment law in the sector. Dr. Curran’s research found that, of those inspected in 2019, 73% of hotels and 30% of food and beverage employers were violating employment law. Dr. Curran also found that €54,000 of unpaid wages were recovered through the WRC that year. This amount is likely only a fraction of the actual level of wage theft that goes on. It is particularly important to mention that while the review of the civil legal aid system is ongoing, workers do not have a right to legal aid when in before the WRC, which is really worrying. This means they are often forced to represent themselves while the employer often has the resources to hire lawyers. This is a huge inequality of arms, which undermines the fairness of the process and replicates the power imbalance of the employment dynamic. This imbalance is something employment laws should seek to mitigate. Employment law means nothing if it is not enforced through rigorous inspection or if workers cannot access the legal support that they need to vindicate their rights in the legal system. Proper civil legal aid is a workers’ rights issue and I hope this is reflected in the outcome of the ongoing review.

Ultimately, the biggest single issue is pay and low pay, which many Senators have highlighted. This is according to 77% of respondents as contained in the report conducted by Unite. Some 55.6% of those respondents made less than €12.30 per hour. I do not know how they live on that to be honest. Some of them held management positions. They are low-wage workers living in an incredibly expensive country. Tourism and hospitality workers are living at the sharp edge of the cost-of-living crisis. When workers are on low pay and cannot survive on their wages alone, they need to be supported by the State. Businesses receive an additional, indirect subsidy when their workers qualify for housing assistance payments, HAP, and other benefits. I echo the demand of the Irish Congress of Trade Unions that employers who receive State subsidies and public moneys should be obliged to adhere to all employment legislation, to engage in State collective bargaining structures and to provide decent, sustainable employment terms and conditions or forfeit the support they receive.

Many workers in the tourism and hospitality sector work unsocial hours with no additional premium. Most workers are not paid a higher rate for late-night work. Some 75% of respondents in the Unite study did not receive a Sunday premium. Dublin Bus never struggles to schedule enough workers for Sunday services. That is because there is a recognition of the additional burden of working on Sundays and drivers are compensated accordingly. People are ready and willing to do the work required if they are motivated by adequate pay.

In a tight, post-pandemic labour market, it has become clear that workers have higher expectations and are willing and able to leave substandard employment in order to find a better offer. If these sectors are to be sustainable, they must act decisively to improve pay and working conditions. A good start would be the re-establishment of the joint labour committee for the sector, as recommended by the report. It could play a role in creating a reasonable and dignified minimum standard for workers in the sector, provided their voices are adequately represented in the process. The report’s recommendation of a national standardised code of conduct that is mandatory and legally binding for the hospitality sector, including protections for women, migrants and minority groups, is also extremely welcome.

The report’s recommendation that the Department ensures an equal voice for workers and trade unions in any interdepartmental forum on tourism reflects an important shift in outlook. Tourism and hospitality are important parts of the Irish economy, but we cannot have a tourism policy that is narrowly focused on growth, that ignores the working conditions of those in the sector, in addition to the environmental, cost-of-living and quality-of-life implications that the growth of the sector has for Ireland. Tourism needs to be sustainable.

I am glad that one of the report’s recommendations is that the Department conducts further research on working conditions and the implementation of employment rights in the tourism and hospitality sector. This research needs to be rooted in the experience of workers. It would also benefit from speaking with the employment lawyers who do pro bonowork at the WRC on behalf of workers, which is often co-ordinated through independent law centres. We need to think hard about how we expand workers' rights but we must also ensure that existing legislation is effectively enforced and that workers can avail of the protections they are currently afforded under the law.

I want to conclude by congratulating everyone involved with this fine report and I hope its sensible and considered recommendations are taken up by the Minister and the Department.

Photo of Eugene MurphyEugene Murphy (Fianna Fail)
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I probably will not need the whole eight minutes, but I do want to contribute to this debate. The Minister is welcome to the House and I thank her for being here. I acknowledge my party colleague, Deputy Niamh Smyth, and Senator Carrigy. It is obviously a very well put together report. It involved State agencies, union groups, academics and others, including the sector, on issues affecting workers and their wages. It is important that we have this debate and that we speak about this. It is important that we ensure all workers are treated properly and that we iron out any difficulties there may be.

The contribution of travel and tourism to the GDP in Ireland was €4.6 billion in 2020 and €5.1 billion in 2021. If one looks at 2019 figure, it was €14.8 billion, one can see what happened with Covid and the difficulties it created. I am always conscious of one thing when we talk about this sector, that is the number of students and young people who work within the sector. This work forms part of their income that gets them through college. It happens to lots of families. That is where they go. Students are seen as people who engage well with others in the sector. When they are serving in hotels, they have a good rapport with the public.

One of the things I have noticed about this industry is how abusive a minority of the general public are to staff in hotels and bars. We spoke earlier about front-line workers - gardaí, teachers, nurses - and all that is happening to them. I have noticed at several functions over the past year that a sizeable minority of the general public are very abusive to people working behind the bar in restaurants. I have witnessed this. We need to speak out about this and condemn it. We need to say it is wrong. When we talk about all the other things that are wrong, such as improper conditions, I want to hear unions and everyone else talking about the abuse that is taking place at bar counters, which can be absolutely outrageous at times. I cannot understand how people do it. It is quite ignorant, to be honest. It should not be tolerated and we should speak out about it.

While there is no doubt there are employers throughout the sector who do not have much regard for staff, things have improved. We also have to be aware that Ireland, despite growing tourism, is not a 24-7, 12-month tourist attraction as such. We do not have the sand, sun and sea for 12 months of the year. That is a factor. While we have this debate, we must also acknowledge that tourism can be quite seasonal. If you have good weather in summer and autumn, you will do well. If you have poor weather, you are not going to have as good a time and you are not going to have many visitors. We need to take that into account.

It is important that we do everything within our power to ensure all staff working in this sector are treated with respect and dignity.If they are not getting proper wages, it is up to us in the Oireachtas to sort it out. We may have to come together with the sector because there will be some family businesses that will not be able to keep up current payments to staff; that is the reality. I have come across three of four businesses in recent times which are closed. They cannot keep going. It is not the staff who are costing a lot of money. Despite all the considerable support they have got from the Government, the energy costs are really crippling these business owners. As we move forward with this, I want to make it very clear that we must treat workers properly and give them every support. They should come forward and let us know if they are being wrongly treated or being underpaid. There is no doubt that the work hours can be extremely long and can mean working from early evening to early morning. That is a very long time with very few breaks. As we ensure the staff in the sector are treated properly and get a proper wage, their breaks and their tips - this issue had to be sorted out and was sorted out pretty well - we must also acknowledge that some people in the business have it tough. We need to bring them with us. If they need help to ensure their staff and everybody else are looked after properly, as a Government and as politicians we must do it.

Photo of Eileen FlynnEileen Flynn (Independent)
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Next is Senator Dolan. Senators may have eight minutes apiece if they wish. I am a great Chairperson.

Photo of Aisling DolanAisling Dolan (Fine Gael)
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I will probably not need the whole eight minutes.

I welcome the Minister, Deputy Catherine Martin, to the House today to speak about the report from the committee. There are 12 or so recommendations contained within it but it is really about the working conditions and payments within the tourism sector. I am aware that the Taoiseach, in his previous role, brought through the Payment of Wages (Amendment) (Tips and Gratuities) Act 2022. The issue around tips is one of the five workers' rights that we are fighting for in government. In other words, tips cannot make up basic wages. That is really important in the hospitality industry as well. I was in a hotel recently and was paying by tapping my card and hoping I could add the tips on top. Do all hospitality providers and restaurants ensure we can do that so that if customers wish to leave a tip, they are able to do that and it will go to employees as well?

Fáilte Ireland has rolled out a huge programme this week around engagement. I was on the session on Monday and I know the Minister was speaking on it as well. It is great to see Fáilte Ireland's engagement with providers and industry stakeholders, and the roll-out to different regions around that stakeholder brand. The Wild Atlantic Way and the Hidden Heartlands are two such brands that are in County Galway. I am really interested in the Hidden Heartlands brand. I have raised this a number of times with Fáilte Ireland, including this week. When you log on to register for this, you are asked what county you are from. When you indicate you are from County Galway, you are automatically forwarded to the Wild Atlantic Way even though east Galway is a key part of the Hidden Heartlands. East Galway is 40 miles from the coastal region and is one of the key areas which has been affected by the just transition process. Some €68 million is going to Fáilte Ireland from the just transition fund. Its presentation looks at the Beara-Breifne Way, which is one of the key walks that comes right through the spine of Ireland, from west Cork all the way up through many counties. It will be phenomenal. At the moment, community groups are getting funding for different pieces throughout the year. I was frustrated this week, to be honest, because hotel businesses, hospitality providers and community groups involved in tourism in rural areas like east Galway and Roscommon would not have a natural draw for huge amounts of tourism. The €5 million investment in the National Famine Museum in Strokestown was one of the largest investments by Fáilte Ireland but I am talking about the roll-outs that have been planned by Fáilte Ireland in terms of engaging with industry, training employees and showing that there is career progression. All of this has been offered online. If businesses do not know about the meetings that are happening and have not received invitations directly from Fáilte Ireland, and when you log on and say you are from Galway you only get an invite to the Wild Atlantic Way, how is that meeting the just transition criteria about it being offered to all counties? That is something Fáilte Ireland might look at. I have engaged with it this week on that.

I will speak about some of the other areas on the tourism side of things. I believe we have great quality in terms of staff, hotels and restaurants. I know there are so many groups that are reaching out. We have groups which are community groups, as well as those in industry. For example, the Inland Waterways Association of Ireland has brand new branches around the River Suck along the Beara-Breifne Way. It is trying to promote tourism along the waterways by working with Waterways Ireland and engaging with Fáilte Ireland. Many of these development groups are in towns. We have small towns which sometimes do not have chambers of commerce. Sometimes we do not have that industry clout in a town. We have community groups that have the clout. How can these community groups be supported in trying to promote tourism in their local areas?

Those are some of the keys points I wish to make. I would like to see more proactive engagement, at least in the early stages, in areas that may not be as familiar with the tourism benefits and supports that are being offered through Fáilte Ireland, particularly in areas affected by the just transition process when funding is being provided to that end.

Photo of Tim LombardTim Lombard (Fine Gael)
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I do not know if I will take the full eight minutes but I thank the Acting Chair for the offer.

It is great to have this debate. It is very important one. I acknowledge the report of the Chairman of the Joint Committee on Tourism, Culture, Arts, Sport and Media, who is with us today. I thank the members of the committee who did all the heavy lifting in putting it together. It is a very fine document. An awful lot of issues have been outlined which need to be acknowledged. The staffing issue is usually the big one. It is a really fair point. In light of where we are with our staffing issues in Ireland and where we are in terms of full employment, it is important to make sure we have rights for our employees. That is mentioned in several parts of the report. We have a mixture of people who work in the industry. We also have people who want to work in the industry but accommodation is a big part of it. In Kinsale, we have an awful lot of people who come from abroad to work in the trade but need to find accommodation. The proposed restrictions on Airbnb will somewhat help those people to find cheap affordable accommodation in towns like Kinsale. I hope that is going to be important in making sure they have a viable income when they come to work in Ireland.

Many students work in our trade. I have two nieces who work every weekend in a restaurant in Kinsale. This type of employment provides a great outlet and a wonderful opportunity for people to engage with others and to get a good income for the hours they do. It is something that needs to be promoted. It is one of the things we need to start talking about. We all worked in a bar or a restaurant when we were growing up. In my case it was many years ago, when I had black hair. This case needs to be made again. We need to go back and start talking about summer and weekend jobs. They are a great outlet for people and they actually frame people. They give people a great understanding of how to engage with the public. They can work in an industry at 18, 19 or 20 years of age and still have their college life afterwards. A campaign needs to be done to make sure an important focus is put on those people who could come back into the industry.

One of the issues that was mentioned was the lack of skilled workers coming into the trade. I often talk about the lack of chefs. There is an issue with work permits and ensuring they come in faster. Anyone in our society who wants to become a chef will need to be trained. Training in that sector is really important. Previously, there were programmes under FÁS and other regimes that were geared towards that. That kind of outlook is needed again to try to bring people into the trade because there is a decent living to be earned. It is a decent job in many ways. We need to look at that if we can.

There needs to be a whole-of-government approach to what we have as an entity or as a tourism product. I think the OPW has a huge stake in this. In Kinsale, there is James Fort, Charles Fort, Desmond Castle and the site of the Battle of Kinsale, but unfortunately the majority of those sites are closed to the public.They are national assets and there is a body of work to be done to ensure we can open them all up to tourists. As a colleague said, we must make sure we have an all-year-around tourism product, not just a seasonal one.

It is important to acknowledge the great success of the Wild Atlantic Way, which starts in Kinsale but does not end there. We have positive vibes coming from the industry and we have done a great deal in a short time. If we can do just do a little more, we will have a wonderful tourism product. That is what it is all about. The report is most welcome and I commend everyone involved in it. If we just join the dots, we can do even better.

Photo of Seán KyneSeán Kyne (Fine Gael)
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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.

Photo of Martin ConwayMartin Conway (Fine Gael)
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I welcome the Minister and also Deputy Niamh Smyth. I commend the committee members, including Senator Carrigy, on their excellent work in producing this report. In the cut and thrust of everyday politics, tourism might not necessarily get the headlines, but it is an incredibly important industry in all parts of the country. It is particularly important in my home county of Clare.

The announcement that the 9% VAT rate will be retained until the end of August brought a sigh of relief from many people in the hospitality and tourism industries. For every €100,000 they take in, the reduced rate leaves them with an extra €3,500 to help their bottom line and enable them to reinvest in their product. Hotel and restaurant owners, in particular, tend to reinvest in their product during the winter months. We have just come out of a difficult few years, which would have been much more difficult if not for the various Government supports and schemes. We are still not out of the difficult days, given what is happening in Ukraine and so on.

The industry is facing a number of serious challenges. The first relates to the general tax structure. We should follow the trends in other countries by introducing a city tax or charge. There was a backlash when such a proposal was raised before. We need a mature debate on it at this time. I am not sure how it would be structured but we have a situation now in which hotels in cities can legitimately charge - in the case of corporate entities, in particular - €200, €300 or €400 per night at peak times. Apart from the five-star castles, hotels in my county would never achieve those prices. However, the electricity and gas that come into County Clare cost the same as the electricity and gas that go into Dublin city centre. The rates may vary but, by and large, the fixed costs are the same.

We need to see at least an aspiration towards an equilibrium and fairness that does not exist at the moment. The prices that are charged for both meals and hotel rooms in the capital and other cities, particularly when there are large sporting events and concerts, attract very negative publicity for the entire industry. A long-term strategy will have to look at trying to create an equilibrium. I mentioned a classic example of what I am talking about this morning. The owner of a restaurant in Ballsbridge, Dublin with piped gas going into it will straightaway benefit from the temporary business energy support scheme. Meanwhile, a restaurant in Ballyvaughan, County Clare, for which the source of energy is a bulk tank of gas, will not qualify for the scheme. I understand a grant scheme is being designed by the Government but, in the meantime, we have a situation whereby people running restaurants in Ballyvaughan are discriminated against compared with restaurant owners in Ballsbridge. That is not fair.

We need to look at the overall product we are offering. We must continue to develop gold-plated facilities. The Cliffs of Moher Experience in County Clare is one such gold-plated facility, which has acted as an anchor to bring people to the entire western seaboard.To complement the gold-plated facilities, we need silver-plated facilities as well. We need to see high-quality interpretative facilities in places like Lahinch, Milltown Malbay, and Kilrush, to name some places in my own county. I am sure that is replicated in other counties as well.

We have a serious problem in the industry with finding, hiring, and retaining staff. There is no reason not to open up and liberalise the permit system because, currently, it is cumbersome, difficult and complicated. That does not augur well. For people who are busy we need to have a very straightforward, streamlined system. We must examine the permit system, in particular for seasonal work and the hospitality industry. There are people who would like to come to this country, work for three months full time and study for three months, but the way the system is at the moment they can only work for 20 hours a week and they cannot combine the 20 hours over a number of weeks and then study for a number of weeks. We must be far more flexible in our work permits. It is not rocket science, it just takes a willingness to be creative and flexible.

It is a pity what is happening in restaurants and hotels. I know of one hotel last summer that had a close a floor because it could not get staff. I also know of many restaurants that must limit their menu because they cannot find chefs and floor staff. I was talking to the lady who runs the coffee shop across the road beside Buswells. She has had to reduce her menu again because of the challenges in finding staff. That is something we can and should resolve.

We do not have gold or silver in this country, but one of our greatest raw materials is a beautiful landscape, a wonderful welcome, a great culture and a great tradition. That is our raw material. We must develop it in a respectful, authentic, and genuine way. By doing that, we will see thousands more people coming to visit the country every year.

I cannot sit down without mentioning the importance of Shannon Airport, not just to County Clare but for the entire mid-west and the western seaboard. The more flights that come into Shannon Airport, the more visitors who come to our country that have a good experience. When they get off the aeroplane they are not in a crowded, congested environment. They can get through the necessary passport checks relatively quickly and they are immediately on the Wild Atlantic Way. Anything the Minister, Deputy Catherine Martin, can do to support and develop the offerings and to market Shannon Airport would be very welcome. She is doing a fantastic job in her Ministry. The committee is also doing a great job. The members get it and let us hope the Government gets it as well.

Photo of Pat CaseyPat Casey (Fianna Fail)
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I welcome the Minister to the House. I thank Deputy Niamh Smyth and Senator Carrigy for the report. I acknowledge the work on the 9% VAT rate, which was critically important and much appreciated. Like Senator Conway, I would love a debate on the wider issue of VAT on the hospitality sector and where it should lie. Drink needs to be brought into it. We must look realistically at where the VAT rate is. We must stop having this argument every two years about whether it is going up or down. I would like a wider debate on the correct VAT rate for the hospitality sector.

I had not intended speaking in this debate, as I was focused on the Bill that is before the House next but Senator Gavan got my blood pressure going for a good while when I was listening to him in the Chair. As someone who has lived my whole life in the hotel sector it was hard to listen to a lot of what he said, but I will take it on the chin. Workers are the greatest asset for the hospitality sector. It is not in any employer's interest to abuse staff. I have never done it in my career and I think the majority in the hospitality sector have not done it either. It is very easy to come in here and talk about regular hours and not working unsocial hours but if we do not want hospitality workers to work unsocial hours then let us go out Monday to Friday from 9 a.m. to 5 p.m.

Photo of Paul GavanPaul Gavan (Sinn Fein)
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I never mentioned unsocial hours.

Photo of Pat CaseyPat Casey (Fianna Fail)
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Senator Gavan is right. I am just saying the hospitality sector has challenges that no other sector has. We talk about unsocial hours, weekends and night work. That is the industry. We must work those hours. If we do not work those hours, there is no industry. We talk about seasonal work and irregular hours. That is the industry. That might not be the case in cities where there is a continuous and consistent level of business all day long, every day, where people can plan and they know exactly what they are going to do Monday to Sunday. Once we go outside the city, for example to Glendalough, if it is raining at 8 a.m., we are not going to be busy. Can I ring up staff and tell them not to come in today because it is raining? If the sun shines suddenly, I think: "Holy God, I am not going to have enough staff today. Where do I find them?" It is an irregular industry, and it is very hard from that point of view.

Senator Gavan picked one statistic out of a 2019 report, and he quoted a figure of 75% non-compliance. Does he even know the number of hotels that were inspected out of the total hotels in the industry that year?

Photo of Paul GavanPaul Gavan (Sinn Fein)
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Not enough.

Photo of Pat CaseyPat Casey (Fianna Fail)
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Let us see. The problem with reports is they change every year. Let us look at a report from 2021 from the Workplace Relations Commission. There were 38 cases relating to the hospitality sector and nine breaches, 24%, were recorded. The breaches in the administrative and support sector amounted to 38%; in agriculture it was 54%; in construction it was 41%; in electrical contracting it was 75%, in legal services it was 33%, in meat processing it was 60%, and in mechanical engineering and building, it was 40%. Let us bring a bit of balance into the debate.

I accept the industry is a challenging one. I agree with Senator Gavan about joint labour committees, JLCs. I support the JLC model, and I spoke here on the tipping Bill and how I had to use it when my father passed away suddenly and I had to take over the business. I relied on the JLC at that time. What the JLC did do, that we are not doing at the moment, is that it showed a progression. It outlined how people can progress from year one to year four until they are fully qualified. That is missing now. I am willing to accept that, but I am not willing to hear someone come in and throw out a statistic on its own and say this is a contaminated industry. This is one of the most vital industries that we have in rural Ireland to keep it alive.

Photo of Paul GavanPaul Gavan (Sinn Fein)
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Senator Casey is right.

Photo of Pat CaseyPat Casey (Fianna Fail)
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I accept we have challenges, but we treat our staff fairly and well.

Photo of Paul GavanPaul Gavan (Sinn Fein)
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The pay statistics do not support Senator Casey.

Photo of Pat CaseyPat Casey (Fianna Fail)
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Yes. If we did not, we would not be in business. It is as simple as that. Like every other industry at this time, we are struggling to get staff.

Photo of Paul GavanPaul Gavan (Sinn Fein)
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The rate is less than €12 an hour.

Photo of Eileen FlynnEileen Flynn (Independent)
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Senator Casey should be allowed to speak without interruption.

Photo of Pat CaseyPat Casey (Fianna Fail)
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If Senator Gavan wants to start talking about input costs, then let us go there. We can up our wages if he wants, but there would be a knock-on effect on the cost to the consumer. It is fine coming in here and thinking this is easily resolved, but it is not. If Senator Gavan looks at the financial viability of many hotels in Ireland, he will see it is not there. We must bring some realism to this debate. Senator Gavan should not come in and pick one statistic. He should go back to 2018, 2017 or 2021. He should go back to 2021 and look at the other industries where the breaches far exceeded the hospitality sector.

Photo of Paul GavanPaul Gavan (Sinn Fein)
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I gave several statistics. The Senator did not listen to the speech.

Photo of Pat CaseyPat Casey (Fianna Fail)
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It is disgraceful.

Photo of Jerry ButtimerJerry Buttimer (Fine Gael)
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Let us have one speaker. Senator Casey should address his remarks through the Chair.

Photo of Pat CaseyPat Casey (Fianna Fail)
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As I said, I had not intended coming in to speak but Senator Gavan got my blood boiling while listening in my office. I love my industry. It has a significant role to play in the economy and in every community in rural Ireland. It is a lifeline to those communities. We are seeing that being affected by hotels being taken over with refugees and the damage it is doing to the whole economy of our rural communities, because it is not doing what it was meant to do. The uncertainty of our sector is another reason why hotels are taking in refugees. It is an awful lot easier for somebody in hospitality to convert to accommodating refugees because of the fixed costs. One knows exactly the number of staff needed and one is not there waiting for something to happen.

Photo of Paul GavanPaul Gavan (Sinn Fein)
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Why do they not recognise trades unions?

Photo of Jerry ButtimerJerry Buttimer (Fine Gael)
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I remind Senator Gavan that there is only one speaker at a time.

Photo of Paul GavanPaul Gavan (Sinn Fein)
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It is a fair question. Why do they not recognise trades unions?

Photo of Jerry ButtimerJerry Buttimer (Fine Gael)
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The Senator has had his opportunity. Yes, this is a Chamber for debate but there is a time and place for interruptions.

Photo of Pat CaseyPat Casey (Fianna Fail)
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I admit we can do more. I have spoken to Senator Gavan in relation to the JLC. We are singing from the same hymn sheet on that. I would love a wider debate about where hospitality should be in relation to that. I think that is another debate and that issue could form part of the debate.

On that note, while Senator Gavan and I agree, I will sit down.

Photo of Jerry ButtimerJerry Buttimer (Fine Gael)
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I thank the Senator. His passion is very evident.

Photo of Catherine MartinCatherine Martin (Dublin Rathdown, Green Party)
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I welcome the opportunity to address the Seanad this evening to speak about tourism and, in particular, the report of the Joint Committee on Tourism, Culture, Arts, Sport and Media entitled Working Conditions and Skills Shortages in Ireland's Tourism and Hospitality Sector. I want to thank Deputy Niamh Smyth and all the members of the joint committee for their work in this report. I would also like to thank the Senators today for their contributions and views on this report and its recommendations.

Before I continue, I want to address the east Galway issue that Senator Dolan raised; my tourism officials brought it up with them on Monday and asked for it to be addressed. In relation to the Beara-Breifne Way, Fáilte Ireland is undertaking a development plan for this walking route.

A number of senators also mentioned the figure of 40,000 on vacancies in the sector. That figure is actually from the first half of 2022. I am glad to say the figure is now down to 22,000. There is more to do but at least it is definitely moving in the right direction.

I will return to the recommendations made by the committee shortly, but I would first like to look at the challenges and opportunities for the tourism season ahead. As many Members here have said today, tourism has always been a vital industry for Ireland. It has sustained communities and regional development in a manner that no other sector has done. Apart from its economic value, tourism also plays an important role in promoting Ireland's image abroad, generating a positive impression of Irish people, our landscape and culture for our visitors. There is no doubt that 2020 and 2021 were extremely challenging for the industry but tourism rebounded more quickly than we had expected in 2022, finishing at an estimated 75% of 2019 levels of business. While we head into 2023 in a relatively strong position, I am conscious that are there are still significant challenges facing the industry. Notwithstanding this, we must continue to plan for further recovery in the sector and building for a sustainable future.

I had made it clear in recent months that I favoured the extension of the lower rates of VAT for the tourism and hospitality sector. In supporting the retention of the lower rates for the coming tourism season, I am acutely conscious of the challenges the sector is facing, including cost inflation, as well as economic uncertainty in key tourism markets. I am also aware that our necessary humanitarian response to the war in Ukraine has impacted on the availability of tourism accommodation. This Government's commitment to supporting the tourism and hospitality sector over the past few years of the Covid pandemic and the current economic challenges has been clear and consistent. The decision yesterday to extend the lower 9% VAT rate for the sector until the end of August is further evidence of this support. However, industry must play its part in ensuring that Ireland maintains its reputation as a value for money destination. It is important that a balance is struck and for the industry to maintain the value for money proposition for Irish tourism in the longer term. Businesses need to be able to make a sustainable trading margin, but must pay attention to their pricing and how they can deliver added value. Businesses should consider both their pricing levels and the value added, so that they can continue to attract customers and attract them back again and again.

In budget 2023, I secured additional funding of €15 million for overseas marketing of Ireland. As global competition heightens, sustaining extensive marketing campaigns will be vital to support the ongoing recovery effort this year. In the budget we also obtained an additional €15 million for a range of industry initiatives including €3 million for the continuation of the investment in skills development and retention. There is also a €2 million increase in funding for domestic marketing to promote Ireland's tourism offering to Irish holidaymakers.

Other secured funding included €36.5 million in capital funding for tourism product development, for the continued delivery of enhanced visitor experiences in line with the objectives of the National Development Plan 2021-2030. This is against the backdrop of cross-departmental initiatives such as the temporary business energy support scheme, TBESS. This will provide vital support to businesses that have experienced a significant increase in their natural gas and electricity costs. In this regard, I am pleased that the Government has looked at how TBESS could be adjusted to improve takeup and has announced those adjustments yesterday. This has been welcomed by the sector and, as Senator Conway referenced earlier, a grant scheme is being developed now to assist those businesses in rural Ireland that currently cannot access the TBES scheme.

In respect of what our tourism agencies will be concentrating on this year, Tourism Ireland will roll out an extensive and targeted programme of activity with a marketing budget of €78 million. Tourism Ireland aims to rebuild revenue from overseas holidaymakers to pre-pandemic levels by attracting visitors who stay longer, spend more in the regions and by focusing on markets that deliver the greatest revenue. This will be achieved through a wide range of promotional activities, including major marketing campaigns, publicity and programming, social media and digital marketing, as well as working with the tourism industry at home and the travel trade overseas to facilitate sales.

Tourism Ireland's new global campaign, "Fill your heart with Ireland", will go live from St. Patrick's Day in our top four tourism markets; Great Britain, the United States, Germany and France. It will also be rolled out in other important tourism markets around the world.

This week I helped Fáilte Ireland launch its 2023 plans through which it will continue to support businesses, communities and regions in what will be a critical year for tourism recovery. Fáilte Ireland will undertake a range of measures to support the sector, including transforming the digital capabilities of tourism businesses, boosting the industry's recruitment and retention efforts. It also has ambitious plans to increase domestic tourism revenue this year. To do this, it will continue to focus on and invest in its regional brands and grow the numbers of domestic consumers through the "Keep Discovering" campaign, RTÉ weather sponsorship and other media channels. Sustainability will be at the heart of both agencies' work over the coming years. This aligns with the work my Department is carrying out through the development of a new national tourism policy. The new policy will seek to support sustainable economic development in communities throughout the country while protecting our environment and natural resources and with a greater spread of demand across the year.

I now turn to the report from the joint committee and I am grateful to the committee, and its Cathaoirleach, Deputy Niamh Smyth for their work on this important issue and I would like to join with Senators in thanking the secretariat for their immense work on this too.

The people who work in our tourism and hospitality industry are central to our céad míle fáilte, which is the cornerstone of our tourism offering. I have responded formally to the report and I hope to continue engagement with the committee on its key recommendations.

I now turn to the specific recommendations. The committee recommended that I engage with Cabinet colleagues on the establishment of an independent body with specific oversight of, and responsibility for, Ireland's hospitality sector. The committee also recommended nominating a single Government Department to retain direct oversight of and responsibility for all aspects of Ireland's tourism and hospitality sector. In responding to the committee, I have suggested that we might have further engagement on these recommendations. It is not clear to me that all of the areas of responsibility with these sectors can be encompassed in one agency or Department. It has also been instructive that in working together through current structures and forums such as the hospitality and tourism forum, we have come through the greatest challenge in living memory. Nevertheless, I would welcome further engagement with the committee on these recommendations.

The committee has also made a recommendation on joint labour committees, with a view to improving pay and conditions in the tourism and hospitality sectors. Such matters, as Senator Gavan pointed out, come under the remit of the Minister for Enterprise, Trade and Employment in the first instance. His Department has confirmed that certain matters relevant to these recommendations are before the courts. Separately, that Department is also carefully considering the final report of the labour-employer economic forum high-level working group, which reviewed the collective bargaining landscape in Ireland and made recommendations for its improvement.The Department will consult with stakeholders and develop proposals for Government in respect of its implementation.

A further recommendation from the committee relates to the expediting of work permit, visa and public personal service, PPS, number applications for tourism and hospitality workers. It also recommends that any changes to visa processing must include a provision that migrants are fully informed, supported and supplied with all relevant documents pertaining to their employment, including their contracts, conditions and pay, before their visas are granted.

In 2022 my Department and Fáilte Ireland worked together to make the case to the Department of Enterprise, Trade and Employment for chef employment permit applications to be expedited ahead of the tourism season in 2022. On foot of this, 2,036 employment permit applications for chefs were processed and processing time was reduced from 21 weeks to two weeks. Furthermore, the Department of Enterprise, Trade and Employment continues to keep the employment permits system under review in light of changing labour market circumstances and the timing of the next review of the occupational lists is under consideration. When open, submissions will be invited from sector representative bodies and interested parties through the public consultation form, which will be accessible on the Department’s website throughout the consultation period. On PPS numbers, the Department of Social Protection has confirmed that the average processing time for all counties is between one and four weeks, with most counties processing applications within two weeks.

The committee also recommended that I engage with Cabinet colleagues with a view to advocating for an increased resourcing of the Workplace Relations Commission, WRC. This would help increase the number and prioritisation of WRC inspections of all tourism and hospitality businesses, with increased inspectorate staffing and an enhanced complaints mechanism for workers in the sector, whereby workers’ anonymity can be respected. The WRC comes under the remit of the Minister for Enterprise, Trade and Employment, and I am informed that his Department is committed to ensuring that adequate resourcing is provided to the WRC. The Minister, Deputy Coveney, is satisfied that the resources provided to the WRC for 2023 are sufficient to enable it deliver on its important work.

The committee also recommended that my Department commission further research to meet the need for detailed research and empirical evidence on working conditions, and on the implementation of employment legislation, in Ireland’s tourism and hospitality sector. This would have a particular focus on how women, minoritised groups, and migrant workers are affected. Since 2021, Fáilte Ireland has been undertaking the most comprehensive research to date in the area of skills and working conditions, which includes interviews with more than 3,500 employees with direct experience working in the sector and up to 800 employers. I am aware that Fáilte Ireland has written to the committee in this regard.

Fáilte Ireland’s latest research findings show that employers have made positive strides over the past year, with approximately 70% of businesses increasing pay and providing more flexible work patterns and more stable and predictable work schedules to their existing staff and new recruits. The data also shows that employees recognise the improvements that have been made in the last year to pay, perks and working conditions. Workers also report that more still needs to be done to make working in the industry as appealing as possible, particularly in such a competitive labour market. Many employers appreciate this too. This research also reveals that 70% of people working in the industry see tourism as a long-term career option, which is hugely encouraging for the long-term viability of the industry. This is a strong figure and shows that the work we are doing with industry to build the appeal of careers in the sector is proving impactful. For many others, a job in tourism and hospitality offers the flexibility they need. The research also shows that recruitment and retention of staff in the industry is still a significant challenge for tourism and hospitality businesses. Fáilte Ireland will continue to provide these insights and support the cross-sector and concerted effort required to make the industry a more appealing and attractive place to work. My Department will explore with Fáilte Ireland how the implementation of the employment legislation and impacts on women, minoritised groups, and migrant workers in particular, can be reflected in its research and insights.

The committee also recommends that my Department, in engaging in any interdepartmental group or forum concerning Ireland’s tourism and hospitality sector, advocates for and ensures, or both, insofar as is possible, that the interests of trade union groups and workers are equally represented alongside those of employers and their representative groups. This is a principle that I am happy to support and it is worth noting how it has been given effect within the hospitality and tourism forum, which was established in 2020 in response to the Covid crisis. I co-chair this forum with the Minister for Enterprise, Trade and Employment. The general secretary of the Irish Congress of Trade Unions attends the forum and Patricia King, and most recently, Owen Reidy, have made a valuable contribution to the work of the forum. The committee will also be aware that Labour Employer Economic Forum provides a space to discuss areas of shared concern that are affecting the economy, employment and the labour market on a thematic basis, such as: competitiveness; sustainable job creation; labour market standards; and equality and gender issues in the workplace.

The committee further recommends that my Department engage with the tourism careers oversight group, with a view to nominating a body accountable for the delivery of any recommendations made by the group. The careers oversight group supports sustainable employment in the Irish tourism and hospitality sector and was formed in March 2016 following a recommendation from the 2015 expert group on future skills needs report. The careers oversight group works on a collaborative basis and includes industry representative bodies, education and training providers, State agencies and Departments. It provides a forum for practical action and collaboration to address the skills needs of the tourism and hospitality sector in Ireland. The careers oversight group works to co-ordinate the relevant bodies to agree and implement a work programme to address current and future labour supply and skills in the tourism and hospitality sector. My Department is represented on the careers oversight group and is happy to engage further with the group on ensuring appropriate action is taken on foot of its recommendations.

The committee also recommends that my Department engages with the Department of Further and Higher Education, Research, Innovation and Science on the delivery of further apprenticeship, traineeship, and third level diploma and degree programmes. These should be geographically accessible to as wide a range as possible of prospective apprentices, trainees or students, and should be directly relevant to the tourism and hospitality sector. On this recommendation, it should be noted that a previous analysis conducted by SOLAS and the Higher Education Authority, in its audit of hospitality courses in further and higher education from November 2017, indicated there was an excess in the provision of courses. The underlying challenge, which has existed over the last decade, is that there is not sufficient demand for existing courses and that the wider appeal of courses and careers in the sector needs to be addressed. There are a significant number of programmes in place to drive key audiences to consider a course or career in tourism. However, if the root issue of the appeal of careers in the wider sector is not addressed then the issue of the relatively low uptake of tourism and hospitality courses will persist. Fáilte Ireland views the employer excellence programme as the key vehicle for the industry to collectively work together to drive positive change in how careers in the sector are seen by the future pipeline of talent and by their key influencers.

In a related recommendation, the committee recommends that Fáilte Ireland further enhances its employer development and excellent employer programmes to encourage employers to grant uninhibited access to trade unions, and that Fáilte Ireland co-ordinates a publicity campaign to highlight such initiatives. I note the committee’s recommendation and I pleased to confirm that I allocated an additional €3 million in budget 2023 towards skill development and staff retention initiatives. Fáilte Ireland will develop its new employer excellence programme to support the industry to meet evolving employee expectations and to drive better employment practices across the sector. As part of the drive to promote better employment practices and to showcase good employment in the tourism sector, Fáilte Ireland launched the employer excellence programme to help all participating businesses to improve their employment practices and drive great employee engagement. The focus of the programme is on capturing feedback from employees and helping businesses to interpret and action this feedback to improve employment practices and drive greater levels of employee engagement. If the issue of accessing trade union membership is highlighted as an action area by employees then employers will be made aware of this when they see their results from the employee feedback. As part of this programme, all people managers undertake new best-in-class people management training, covering everything from best practice induction and performance management to managing high performing teams. The voice of the employee is at the heart of this programme and all employers signing up to the programme commit to carrying out an independent survey of their employees as well as implementing an action plan to continuously improve the workplace and action feedback from the survey.

I will move to the recommendation on discrimination and producing a national and standardised code of conduct that is mandatory and legally binding for the hospitality sector. Discrimination is covered by the Employment Equality Acts 1998 to 2015, but notwithstanding existing legal provision, my Department will further examine the issue of a code of conduct in collaboration with relevant stakeholders, similar to what we have done in the arts sector.

Photo of Niamh SmythNiamh Smyth (Cavan-Monaghan, Fianna Fail)
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I thank Senators for their contributions. I want to especially thank Senator Casey, who had not intended to be here. I would have fully expected him to be here because I know how passionate he is about this sector, and as he said, he has given decades of service to it as a front-line member of staff and employer.We have to be very careful about making sweeping statements and about the language we might use around this topic. The Minister has pointed to it, the committee has said it and, for the sake of clarity, I am going to say it again. Fáilte Ireland’s Tourism Careers and Labour Research report, published in October 2022, draws on interviews with more than 3,500 employees in the sector and up to 800 employers. Findings from this report show positive progress toward favourable conditions in the sector, with approximately 70% of businesses increasing pay and providing more flexible work patterns and more sustainable and predictable work schedules to their existing staff and new recruits.

Without the employers, we have no sector and no industry. That is very important. As Senator Casey rightly pointed out, employees going into this sector are very much aware of the fact that it is not perhaps the most family-friendly business to be in, no more than politics, but it may be their passion and love. Any of us going into that sector would know it is not nine-to-five and there are late hours, in particular for those who live in constituencies such as Cavan-Monaghan or Wicklow. It is unsociable, with work at weekends, at night and all the rest. We have to be mindful of that and mindful of the language we use around it.

I want to pick up on something said by Senator Murphy, who was the only one who brought it up in the House but it struck me as well. The Riverfront Hotel in Virginia, County Cavan is a lovely boutique hotel with a lovely restaurant. It has a blackboard inside the door, which particularly struck me after the pandemic. I may not be exactly right on what the sign said but it was something like: “There is a staff shortage across the world so please be kind to those who show up.” That is exactly the point that Senator Murphy was trying to make. We have to respect and value the staff who are working in that sector and be mindful of that.

I have to take up something with one Senator. It was a sweeping statement to make that almost sullied the reputation of some of the organisations that have presented many times to our committee. Any of my colleagues who sit on that committee would say that the IHF, RAI, and I think he may have brought the vintners into that too, have gone out of their way to prevent the-----

Photo of Jerry ButtimerJerry Buttimer (Fine Gael)
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I ask the Deputy to speak through the Chair rather than to the Senator.

Photo of Niamh SmythNiamh Smyth (Cavan-Monaghan, Fianna Fail)
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My apologies. I have chaired that committee for the past two and a half years. They have been in time and again and I never got the impression that they undervalued their staff in any way. They said exactly what Senator Casey said here today; they do not just recognise, but know, that their staff are their greatest asset.

Photo of Paul GavanPaul Gavan (Sinn Fein)
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Why will they not recognise trade unions?

Photo of Jerry ButtimerJerry Buttimer (Fine Gael)
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Senator Gavan is a long-standing Member of the House and he knows full well that any type of heckling is not going to get him the answer he wants. Please let Deputy Smyth make her remarks. To be fair, she is here as Chair of the committee.

Photo of Paul GavanPaul Gavan (Sinn Fein)
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It is a reasonable question, but fair enough.

Photo of Niamh SmythNiamh Smyth (Cavan-Monaghan, Fianna Fail)
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It is important that we speak properly and representatively of those organisations. I think any of my colleagues, including those in the Senator's party, will agree that those who have come before us do not discount, devalue or disregard their staff. They have all come in and said that they do not have a business without their staff. That has to be said and recognised. The Senator cannot just make sweeping comments that sully their reputation.

Photo of Paul GavanPaul Gavan (Sinn Fein)
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It just calls it out.

Photo of Jerry ButtimerJerry Buttimer (Fine Gael)
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Order, please.

Photo of Niamh SmythNiamh Smyth (Cavan-Monaghan, Fianna Fail)
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I will continue. I greatly appreciate the debate, which has been very useful, and it is great to have the Minister here. I am especially grateful to the stakeholders who have engaged with the committee in examining the topic. It is of huge benefit to our proceedings to have such frank discussions around the industry. I also thank the union groups and those in academia who have campaigned tirelessly to have workers’ voices heard. I commend organisations such as the IHF and RAI, which, along with others, campaigned determinedly for the 9% VAT rate to be retained. Senator Casey is correct that we need to have that broader discussion. It is not fair to have them coming back again consistently, which creates a precariousness in the industry for those who are trying to run and own businesses.

I know the Cathaoirleach wants me to finish up but I have to respond.

Photo of Jerry ButtimerJerry Buttimer (Fine Gael)
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Tá an t-am caite.

Photo of Niamh SmythNiamh Smyth (Cavan-Monaghan, Fianna Fail)
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I am grateful to the Senators for listening and for their contributions. It is essential for us, as legislators, and especially for the Government to act to safeguard this vital industry that is key to our economy. The recommendations in this report are reasonable and call for greater engagement from other key Departments. I note from the reply to a parliamentary question posed by Deputy Louise O'Reilly in January that the Minister’s Department has written to the Departments of Enterprise, Trade and Employment, and Further and Higher Education, Research, Innovation and Science to commence that engagement. I would welcome it if the Minister could keep the committee informed of any further engagements. If acted on, these recommendations will benefit everyone working in the sector. The recommendations call for positive action and their impact will be testament to the esteem in which the industry is held.

I am grateful for the work that has been put into this report by all of my committee colleagues. I note the absence today of Senator Shane Cassells, who has been very involved in all of the hearings we had around this topic. I am also grateful to the witnesses who contributed to this report. On my own behalf and that of the committee, I thank all of those who contributed to the report, particularly the secretariat, Laura Pathe and her team, who have been brilliant around it. I commend this report to the House.

Photo of Jerry ButtimerJerry Buttimer (Fine Gael)
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Míle buíochas. I thank Deputy Smyth for the excellent committee report on working conditions and skills shortages in Ireland's tourism and hospitality sector. I thank Senator Micheál Carrigy for his participation. I thank the Minister for her engagement with us today. Notwithstanding the debate we have had today, our hospitality sector is pivotal to our nation and we are well served by the men and women who work in that industry, and we thank them as well.

Question put and agreed to.

Cuireadh an Seanad ar fionraí ar 5.57 p.m. agus cuireadh tús leis arís ar 6 p.m.

Sitting suspended at 5.57 p.m. and resumed at 6 p.m.