Bernard Durkan (Kildare North, Fine Gael)
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Question 168: To ask the Minister for Enterprise, Trade and Employment the plans he has to improve the competitiveness of the economy with particular reference to combating job relocation to lower cost economies; and if he will make a statement on the matter. [32371/06]

Bernard Durkan (Kildare North, Fine Gael)
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Question 169: To ask the Minister for Enterprise, Trade and Employment the number of jobs relocated to low wage economies in the past five years; the plans he has to reverse the trend; and if he will make a statement on the matter. [32372/06]

Bernard Durkan (Kildare North, Fine Gael)
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Question 175: To ask the Minister for Enterprise, Trade and Employment if he has carried out research into the costs affecting the competitiveness of the Irish economy; the plans he has to address the issue; and if he will make a statement on the matter. [32378/06]

Micheál Martin (Cork South Central, Fianna Fail)
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I propose to take Questions Nos. 168, 169 and 175 together.

The reasons for companies to relocate activities from Ireland are many and varied, and include relocation to be closer to customers or other competitive considerations. I believe that firms must be free to allocate resources and production to where the returns are highest. It is not in our interest to obstruct what is in the best interest of competitive enterprises. Our best response to the realities of globalisation is to ensure that Ireland remains attractive for investment and enterprise growth. Recent announcements by PepsiCo in Cork, TopChem Pharmaceuticals in Sligo and Northern Trust in Limerick demonstrate we continue to possess the skilled intellectual capital to support advanced FDI. Our recent employment performance does not indicate a trend of job relocations, with over 87,000 new jobs created in the past twelve months — a growth of 4.7% in a labour force which has now exceeded two million people.

The Government is very conscious of the need to control costs in order to maintain competitiveness. As part of the new Social Partnership agreement, Towards 2016, we are reactivating the Anti-Inflation Group, to examine methods of easing inflationary pressures. Indeed, the moderate wage increases agreed in Towards 2016 will contribute to the easing of inflationary pressure. Forfás, under the aegis of my Department, have published research such as the Statement on Prices and Costs, and are due to publish further work in this area over the coming weeks.