Written answers

Wednesday, 2 December 2009

Department of Enterprise, Trade and Employment

Departmental Agencies

Photo of Michael D HigginsMichael D Higgins (Galway West, Labour)
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Question 53: To ask the Tánaiste and Minister for Enterprise, Trade and Employment if all the boards of State agencies under her remit which are required to implement the new code of practice for the governance of State bodies have done so; if they have formally adopted the code at a board meeting; if they have undertaken training to ensure proper implementation of the code; if they have put in place monitoring procedures to ensure proper compliance with the code; and if she will make a statement on the matter. [44596/09]

Photo of Mary CoughlanMary Coughlan (Donegal South West, Fianna Fail)
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Ultimately it is the boards and chief executives of State agencies that are responsible for ensuring that effective systems of internal control are maintained and operated.

Each of the agencies under the aegis of my Department have in the normal course confirmed compliance with the code of practice in place up to June 2009 and that arrangements are being made to implement the new code without delay.

The Mullarkey report Report of the Working Group on the accountability of Secretaries General and Accounting Officers 2002 recommends that Departmental Accounting Officers should satisfy themselves, through the reporting arrangements, that the requirements of the code of practice for the governance of State Bodies are being implemented.

Action in my Department to address this includes regular meetings between Departmental Officials and agency personnel, and analysis of documentation obtained from agencies. Training in managing state agency performance is provided to departmental staff dealing with monitoring compliance with the code of practice.

Photo of Willie PenroseWillie Penrose (Longford-Westmeath, Labour)
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Question 54: To ask the Tánaiste and Minister for Enterprise, Trade and Employment when she intends to appoint a new board for FÁS under the terms of the Labour Services Act, 2009; and if she will make a statement on the matter. [44589/09]

Photo of Mary CoughlanMary Coughlan (Donegal South West, Fianna Fail)
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The Labour Services (Amendment) Bill 2009 is currently going through the Seanad and is expected to be enacted later this month. The appointments will be made as soon as practicable when the Act has come into force.

The Labour Services (Amendment) Bill, 2009 provides for a stronger governance and accountability structure at the State's employment and training agency. It takes account of the recommendations contained in the Fourth Interim Report of the Committee of Public Accounts on Special Report 10 of the Comptroller and Auditor General and the FÁS 2007 Accounts. In relation to the appointment and operation of a new board for FÁS it provides for:

- a reduction in the size of the Board of FÁS from seventeen to eleven consisting of a Chair and 10 ordinary members (including the Director General of FÁS);

- appointments to be made on the basis of ability and experience;

- the introduction of a rolling system of appointments to the Board of FÁS;

- a limitation of membership of the board to 2 terms of not more than five years each;

- the removal of the automatic right to nominate individuals for appointment to the Board of FÁS from bodies not directly accountable to the taxpayer;

-the disclosure by directors of any conflict of interest and the banning of their involvement on matters where they have any such conflict.

In anticipation of the enactment of the Bill, I recently arranged for the placing of an advertisement calling for expressions of interest from suitably qualified people for appointment to the Board of FÁS. Any person who had already submitted an expression of interest prior to the publication of the advertisement was not required to submit a further expression of interest. The advertisement specified that, in order to qualify for appointment, a person must not have any conflicts of interest likely to interfere with his/her ability to play a full part on the Board. He/She must also have experience of and expertise in one or more of the following areas:

- the functions of FÁS, or

- finance, trade, commerce, corporate governance or public administration.

By the closing date of 30th November over 100 expressions of interest in appointment to the Board had been received. The appointments to the Board will be made in consultation with the Minister for Education and Science and the Minister for Social and Family Affairs.

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