Written answers

Tuesday, 20 April 2010

Department of Enterprise, Trade and Innovation

European Globalisation Fund

9:00 pm

Photo of Kieran O'DonnellKieran O'Donnell (Limerick East, Fine Gael)
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Question 182: To ask the Minister for Enterprise, Trade and Employment the number of workers who have so far received support under the European Globalisation Fund for workers made redundant in Dell and related companies in Limerick; the number that he anticipates will receive support; the amount that he anticipates that will be spent; the amount spent to date; and if he will make a statement on the matter. [15586/10]

Photo of Dara CallearyDara Calleary (Mayo, Fianna Fail)
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My Department submitted an application on 19th June 2009 for co-financing assistance from the European Globalisation Adjustment Fund (EGF) towards the cost of guidance, training, entrepreneurship and education programmes for some 2,840 workers made redundant from January 2009 at the Dell computer manufacturing plant in Raheen, Co. Limerick and at ancillary enterprises. It was estimated at that time that up to 2,400 persons would avail of the supported measures.

The EGF application in relation to the DELL redundancies was formally approved on 22 December 2009 by the EU budgetary authorities and an EU funds transfer of €14.8m was received in my Department in early March 2010. The Government is providing a matching funding element of €8m within- my Department's Vote. To date a significant number of EGF-eligible former workers or clients have been assisted through the measures including:

· over 1,900 former workers have availed of FAS occupational guidance services

· 300 persons were trained on FAS training courses in 2009;

· 200 EGF clients are currently enrolled on FAS evening classes;

· over 150 EGF clients have received FAS EGF training support grants/reimbursements for private sector training and education courses ;

· FAS has launched a Community based initiative to assist up to 100 EGF clients

· 87 EGF clients are currently on a preparatory training programme in the medical devices sector, with successful candidates progressing into a full EGF internship programme in June 2010;

· Over 250 EGF clients are currently registered with Limerick City Adult Education Service

· Some 225 clients currently registered with the City and County Enterprise Boards and are undertaking Start Your Own Business programmes;

· Scores of workers are currently attending full and part-time third level educational programmes at University of Limerick, Limerick Institute of Technology etc.

An additional 400 additional FAS training places are being made available this year with EGF support and an increase in the number of former workers attending third level and VEC courses is also anticipated.

Full details of expenditure on the Dell EGF programme to date is being collated by the FAS EGF Co-ordination Unit established in Limerick city centre and which is currently liaising with affected workers, statutory bodies and service providers. As the Deputy will be aware I have invited local Mid West Deputies to a detailed briefing, including on expenditure levels, this coming Thursday, as a follow up to an earlier briefing session held with them last month.

An information event hosted by FAS in Raheen on 11 and 12 February 2010 was attended by up to 2,000 former workers and resulted in some 575 expressions of interest in FAS training alone. A Steering Committee has been established by FAS which includes 6 former workers from Dell and other affected companies, representatives and stakeholders from industry, the educational and entrepreneurial support sectors and relevant State agencies. The Steering Committee met on 13 April 2010 with the view to ensuring inputs are received from and considered by all relevant stakeholders. These fora will help to guide and facilitate the maximisation of Fund resources on the types of supports sought by and appropriate to EGF clients within the parameters of the EGF regulation.

It is not possible at this juncture to state what the final spend will be at the end of the implementation period. In part, this is dependant on the final uptake by individual EGF clients of certain of the supports being offered and which are a matter of personal choice ultimately. In accordance with the objectives of the EGF, measures are aimed at optimising the potential of the beneficiary client to re-enter the labour market as soon as possible. All measures must be appropriate, transparent and subject to relevant EU and national procurement and control procedures. Funds cannot and will not be expended solely in order to absorb all the money committed by national and EU authorities in a balance sheet type exercise. Rather they will continue to be provided and tailored, where possible, to meet the requirements of the particular cohort of clients eligible under the Fund up to and within the available funding as far as possible.

The Government is making, and will continue to make, every effort to ensure optimum benefit are derived from the funding available and that any potential refund to the Commission at the completion of the relevant funding period will be minimised. In this context all measures currently in place or planned will be reviewed by my Department in June.

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