Written answers

Wednesday, 17 May 2006

Department of Enterprise, Trade and Employment

Skill Shortages

9:00 pm

Photo of Bernard DurkanBernard Durkan (Kildare North, Fine Gael)
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Question 216: To ask the Minister for Enterprise, Trade and Employment if he has identified a shortage of employees in any particular sector of the labour market; and if he will make a statement on the matter. [18837/06]

Photo of Micheál MartinMicheál Martin (Cork South Central, Fianna Fail)
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The most recent FÁS/ESRI Employment and Vacancies Survey indicates that the percentage of firms reporting vacancies in April 2006 was 22%, the highest since 2002. The vacancy level in April 2005 was 7%. The increase was driven by the number of firms in the service, construction and industrial sectors reporting vacancies. The most difficult-to-fill vacancies for the various sectors were: Construction sector — quantity surveyors and foremen; Industry sector — engineers, sales staff and managers; Retail sector — sales staff, and Services sector — accountants and sales staff.

The Expert Group on Future Skills Needs is charged with identifying the future skills and labour requirements of the Irish economy and strategies through which those skills can be supplied. The Group on an ongoing basis identifies where there are mismatches between supply and demand for skills and labour. A comprehensive listing of the sectors of the economy experiencing skills and labour shortages was published in the Groups' National Skills Bulletin 2005. This listing will be updated by the Group on an annual basis. The Bulletin highlighted skills and labour shortages in a number of sectors and occupations, including:

∙Construction: (Architects, Civil Engineers, planners, quantity surveyors, construction craftpersons, site managers)

∙Financial: (Accountants, tax experts, actuaries and financial analysts)

∙Engineering (design engineers, electronic and electrical engineers, multiskilled maintenance technicians, welders and related trades)

∙Information Technology (software engineers, computer analysts/programmers)

∙Pharmaceuticals (chemical engineers, research scientists)

∙Healthcare (medical practitioners, dentists, therapists, radiographers, nurses, social workers)

∙Transport (HGV drivers, supply chain managers, transport related clerks)

∙Sales (technical sales representatives and marketing personnel)

∙Financial (credit controllers, financial clerks)

∙Services (security guards, waiters/ waitresses, chefs)

∙Food manufacturing (deboners)

∙Healthcare (care assistant)

∙Sales (sales assistant)

These shortages are primarily the result of a tight labour market, against a backdrop of low unemployment and high levels of economic growth.

Policy in relation to skill shortages is predicated in the first instance, on upskilling our resident workforce — increased funding has been allocated to FÁS to enhance in-company training in addition to training of the unemployed and those outside the labour force to enable them to take up employment; secondly, on maximising the potential of EEA nationals to fill our skills deficits; and thirdly, with a new green card and revised work permit system for non-EEA nationals, details of which I announced at the commencement of the Second Stage of the Employment Permits Bill 2005 on 12 October last.

In relation to immigration, the Expert Group on Future Skills published a report in October 2005, entitled "Skills Needs in the Irish Economy: the Role of Migration". This identified sectors where the skills needs of the economy would not be met from within Ireland or the European Economic Area. These sectors are: Information and Communications Technology, Health Care, Construction, Financial Services, Engineering, Pharmaceutical, and Sales/Marketing.

Research is currently being undertaken by the Expert Group to underpin the development of a National Skills Strategy. This research will be available in the autumn of this year. It will address how best to meet the skills and labour needs of the economy over the next decade.

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