Written answers

Thursday, 12 November 2009

Department of Enterprise, Trade and Employment

Unemployment Levels

5:00 pm

Photo of Jim O'KeeffeJim O'Keeffe (Cork South West, Fine Gael)
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Question 17: To ask the Tánaiste and Minister for Enterprise, Trade and Employment her views on the high level of unemployment among persons aged 20 to 25 years; the measures she proposes to introduce in order to address this problem; and if she will make a statement on the matter. [40785/09]

Photo of Mary CoughlanMary Coughlan (Donegal South West, Fianna Fail)
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According to the QNHS at the end of Quarter 2 the unemployment rate for the age group 20-24 years of age stood at 23% (51,700 unemployed) an increase of 12.6% (25,400) from 2008. While the percentage and the number of people in this cohort has increased, there has been a fall in the participation rate by 2.4%. The recent October Live Register statistics show that 84,948 under 25s are signing on which is a decrease of 4,862 from September.

In addition, the FÁS Quarterly Labour Market Review confirmed that young males have been particularly affected with the unemployment rate reaching 40% for 15-19 year-olds and 30% for 20-24 year-olds. However, it did suggest that many people of these age groups have continued to stay on in education, as a fall in labour force participation rates has occurred.

The Government are acutely aware of the challenge of providing suitable opportunities for young people in the current economic situation. The Government decided in the October 2008 Budget that unemployment benefit would be reduced to €100 per week for those unemployed under 20 unless they participate in education/training programmes when they will receive the normal weekly rate of €204. Along with this decision an initiative was put in place to immediately activate 18/19 year olds by the Department of Social and Family Affairs referring them to FÁS Employment services for job search support, instead of waiting the usual 3 months for this automatic activation.

My Department through FÁS is also actively working to ensure increased accessibility to the range of services and supports for all jobseekers including those who are under 25 years of age. We have almost doubled the National Employment Action Plan referral capacity of the FÁS and Local Employment Services to 147,000 places.

In addition, the number of activation training and work experience places provided by FÁS has doubled to over 130,000. This is clearly a substantial increase on the 66,000 places, which were available at the end of last year. At the end of September 104,000 unemployed were currently participating or had completed FÁS training or employment programmes. Those under 25 years of age are accessing both the job search services and training and work experience programmes in significant numbers.

Under the Youthreach Programme FÁS also delivers 2,300 places through its Community Training Centres. The programme is directed at unemployed young early school leavers aged 15-20 who are offered the opportunity to identify and pursue viable options within adult life, and provides them with opportunities to acquire certification.

The main specific FÁS provision for early school leavers continues to be training at Community Training Centres under the Youthreach Programme and there are currently 2,300 places on the programme. The programme is directed at unemployed young early school leavers aged 15-20. The programme provides basic skills and work experience and facilitates early school leavers with opportunities to acquire certification and progress to further training or employment. However, FÁS also provides other training programmes for school leavers through Bridging/Foundation and other 'mainstream' programmes through its network of Training Centres.

Another initiative, which is a way of preparing the unemployed for future job opportunities, is the Work Placement Programme. This Programme is aimed at providing 2,000 six-month work experience placements for young people, graduates and other unemployed persons. The programme consists of two streams each consisting of 1,000 places. The first stream is for graduates, the second stream is for all others with 250 places ring-fenced for those under 25 years of age. Participants on the programme will retain their existing social welfare entitlements for the duration of their placement.

The Government are determined to assist redundant apprentices complete their apprenticeships, many of whom are under 25 years of age. We have introduced a range of measures that will enable 4,000 redundant apprentices progress their apprenticeship. These measures include the Employer based redundant apprentice programme, the agreement between FÁS and ESB Networks to provide on-the-job training for 400 redundant apprentices and the new Institutes of Technology training programme for 700 redundant apprentices.

The Minister for Education and Science also announced an additional 2,500 third level places for the unemployed in the Budget in April. My Department are jointly funding with the Department of Education and Science 1,500 third level places on a part time basis for the unemployed so that they may pursue a third level qualification. The Higher Education Authority also earmarked funding from within existing resources to create an additional 1,000 places at marginal additional cost for unemployed graduates who have been unemployed for a minimum of six months prior to the starting of the course.

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