Written answers

Tuesday, 3 November 2009

Department of Enterprise, Trade and Employment

Job Creation

8:00 pm

Photo of Noel GrealishNoel Grealish (Galway West, Independent)
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Question 196: To ask the Tánaiste and Minister for Enterprise, Trade and Employment the number of jobs that were created by the Industrial Development Authority in 2008; the cost per job; the number of jobs that were created by Enterprise Ireland in 2008; the cost per job; the number of jobs that were created by county enterprise boards in 2008; the cost per job; and if she will make a statement on the matter. [38239/09]

Photo of Mary CoughlanMary Coughlan (Donegal South West, Fianna Fail)
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The Forfás Annual Employment Survey shows that 8,837 new jobs were created in IDA supported companies in 2008. As part of the Forfás Annual Employment Survey, the overall cost per job is calculated each year by reference to the cost of jobs created during and sustained to the end of a seven-year period. All IDA expenditure on all firms in the period of calculation is included. For the period 2002 to 2008, at constant 2008 prices, the cost per job sustained was €13,202. This figure has declined steadily over the past seven years.

In 2008, Enterprise Ireland client companies created 10,522 new jobs. The accepted accounting measure for cost per job is 'Cost per job Sustained'. This is calculated by taking into account all direct agency expenditure on all Enterprise Ireland client companies in a seven-year period. As with IDA, only jobs created during, and sustained at the end of each seven-year period are represented in the calculations. The cost per job calculation takes the total grants paid to companies to undertake development projects, at both start-up and expansion stages, and the new jobs that arise from these projects. The cost per job sustained created with assistance from Enterprise Ireland in 2008 was €8,235.

Since their inception in 1993, the county and city enterprise boards (CEBs) have provided grant assistance in excess of €201 million to 20,796 projects. This in turn has assisted in the net creation of 33,811 jobs, a figure that does not include jobs which existed in businesses prior to CEB support being provided to those businesses, at a cost of €5,944 per post. Whilst 2008 has seen a net decrease in job creation for the CEB Network, a number of CEBs reported an increase in job creation within their local area. This is a clear indication of the positive effect of CEB intervention on our economy at both local and national levels in the micro-enterprise sector.

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