Written answers

Tuesday, 16 July 2013

Department of Jobs, Enterprise and Innovation

Programme for Government Implementation

Photo of Billy KelleherBilly Kelleher (Cork North Central, Fianna Fail)
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462. To ask the Minister for Jobs, Enterprise and Innovation if he will provide in tabular form the commitments in the programme for Government under his remit; if the commitment has been met or is in the process of being met; the estimated time for same; and if he will make a statement on the matter. [34683/13]

Photo of Richard BrutonRichard Bruton (Dublin North Central, Fine Gael)
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The timeline for delivery of commitments under the Programme for Government, is over the lifetime of this Government. The position in relation to progress under each commitment, within the remit of my Department, is set out in the table.

Commitments in Programme for Government

CommitmentProgress to Date
1.2.4 Reverse the cut in the minimum wageCut reversed on July 1st 2011
1.2.6 Implement a number of sectoral initiatives in areas that will create employment in the domestic economyThrough the Action Plan for Jobs(APJ), a number of sectoral initiatives have been developed or are in progress, including in the following areas:
-     Green Economy
-     Manufacturing
-     Construction
-     Retail
-     Health/Life Sciences
-     Digital Games

Details of progress on each of these initiatives are contained in the quarterly progress reports on the APJ which are published on the Department's website www.djei.ie.
1.4.2 We will create a new 'Home to Export' programme to share the expertise of exporting companies with firms currently reliant on domestic markets.



Commitment met
Enterprise Ireland has an ongoing range of services to encourage new exporters, including online support and mentoring. In 2012, Enterprise Ireland established the Potential Exporters Division. Its role is to stimulate greater activity within companies across all regions and to reorient those demonstrating growth potential from the domestic to the international marketplace.
1.4.3 A 'Source Ireland' portal will be developed to market Irish goods and services abroad.

Commitment met
A 'Source Ireland' portal has been developed to market Irish goods and services abroad.
1.5.2 We will support our indigenous digital game industry by reforming R&D supports available to the industry, setting aside funding from Innovation Fund Ireland for a seed capital scheme for Irish digital gaming start-ups, introduce a digital media component to Transition Year programmes and promote Ireland as digital gaming hub The Department is currently working with the Digital Games Clustering Development Team for the purpose of assessing the suitability of the existing R&D tax Credit to the digital games sector. The Department is also assessing the case for a new financial instrument/relief to incentivise creative content development in the games sector. The intention is to complete this assessment in the timeframe for Budget 2014.

Enterprise Ireland has confirmed that a number of the existing venture capital funds, along with those new funds coming on stream, have and will continue to invest in a range of software related projects including businesses in the digital game space.

EI's Competitive Start Fund (€50K Equity) has had a significant impact on the early stage indigenous games sector since December 2010. Over this period, EI has completed 10 calls and has funded 16 Games companies.

In addition Enterprise Ireland and the National Pensions Reserve Fund have made available up to €250m  in equal amounts to attract investment by international venture capital funds in Ireland under the Innovation Fund Ireland . 

The Department of Education and Skills has explained that schools design their own programmes for TY and, consequently, may be providing courses that address digital media.
1.5.5 We will develop a National Intellectual Property (IP) protocol to give predictability about the terms on which business can access IP created in Higher Education Institutions and the wider digital sectorThe IP Protocol was published in June 2012, the purpose of which is to help the enterprise sector to access the research done in Ireland's universities, institutes of technology and other public research institutions.

A key recommendation of the report centres around the establishment of a 'central Technology Transfer Office' to provide an effective interface between industry and the research community and to drive a world class technology transfer system in Ireland, ensuring it is responsive to the needs of both industry and academia.

The recruitment of the Director of the cTTO is nearing completion and support staff for the cTTO are in place.
1.5.6 We will promote and support investment in technology research, development and commercialisation beyond basic research supported by Science Foundation Ireland, as well as removing barriers to innovation and accelerate exploitation of new technologies. The IP Protocol, referred to above, will support both industry parties and research performing organisations in making their commercial negotiations on the exploitation of new technologies and ideas faster, more consistent and more transparent
1.5.7 We will target key technology areas and sectors where innovation can be applied including but not limited to high value manufacturing, advanced materials, nanotechnology, bioscience, electronics, photonics and electrical systems and information and communication technology. The report of the Research Prioritisation Steering Group recommended 14 areas of opportunity as well as underpinning technologies and infrastructure to support these priority areas which should receive the majority of competitive public investment in STI over the coming 5 years.

Following publication of the report on 1st March 2012, the Prioritisation Action Group (PAG) was established, under the chairmanship and political leadership of the Minister for Research and Innovation Sean Sherlock TD, to drive implementation of research prioritisation under the broader authority of the Cabinet Committee on Economic Recovery and Jobs. Action Plans to drive implementation have been developed for each priority area and were approved by Government in June 2013. The PAG will oversee implementation of these Action Plans.

A detailed Framework of Metrics and Targets has been drawn up as part of Research Prioritisation to measure the outputs and impact of funding provided, which will comprehend all of the 14 Action Plans for the respective Priority Areas, and this too was approved by Government in June 2013.
1.5.8 We will also focus on the application of technological innovation in established sectors of the economy like energy generation and supply, transport, creative industries, high-value services and architecture and construction by identifying challenges, establishing priorities and developing strategies which specify necessary actions to transition to more innovative approach.See 1.5.7 above in relation to Research Prioritisation
1.5.9 We will promote Ireland's full engagement with the 'Innovative Union' proposals issued by the European Commission in October 2010 as one of the seven flagship initiatives under EU2020 Strategy, with the specific aim of refocusing R&D and innovation policy on major challenges and at turning inventions into products.The Irish EU Presidency completed negotiations on a political agreement on Horizon 2020, the next EU Framework Programme for Research and Innovation which will focus EU research funding from 2014-2020 on major societal challenges.



The Irish EU Presidency also focused on measures to progress the European Research Area, a key component of Innovation Union.



Ireland will continue to engage fully with initiatives proposed by the European commission in support of the Innovation Union strategy.
1.5.10 We will establish a network of Technology Research Centres focused on applied technological research in specific areas, to be linked to appropriate higher-education institutions. The centres will accelerate exploitation of new technologies by providing infrastructure that bridges gap between research and technology commercialisation. We will initially establish 3 additional centres focusing on biotechnology, nanotechnology and high value manufacturing. Further centres from a number of other areas will be selected at a later time. The Irish EU Presidency completed negotiations on a political agreement on Horizon 2020, the next EU Framework Programme for Research and Innovation which will focus EU research funding from 2014-2020 on major societal challenges.



The Irish EU Presidency also focused on measures to progress the European Research Area, a key component of Innovation Union.



Ireland will continue to engage fully with initiatives proposed by the European commission in support of the Innovation Union strategy.
1.5.11 We will support the development of an International Content Services Centre to make Ireland world leader in managing intellectual property.  The Department commissioned a Feasibility Study as part of the deliberative process around this proposal. The study was finalised in January 2013 and  following consideration, proposals will be developed  regarding the next steps to be taken resulting from the findings of the study
1.5.12 We will pioneer within the EU a model of 'fair use' in European Copyright Law, like in the USA, which effectively permits the use of portions of a copyrighted work so long as the normal economic exploitation of the originating work is not undermined. This will allow internet companies and other digital innovators to bring their services to market. The US style “fair use” doctrine is being examined as part of the on- going  review of copyright legislation by the Independent Copyright Review Committee, in accordance with  its Terms of  Reference .   On completion of the Report, and following consideration of the recommendations, a recommendation regarding introduction of the doctrine will be made to Government.
1.6.3 We will reform the Joint Labour Committee structure, beginning with the appointment of independent chairpersons to JLCs, who will retain a casting vote. Reform options will examine the rate of pay for atypical hours. Industrial Relations (Amendment) Act 2012 came into effect on 1st August 2012*. The Act provided for a reform of the statutory wage setting mechanisms (JLCs and REAs),



Review of the existing JLCs was carried out by the Labour Court and presented to the Minister. The Minister intends to publish the Review along with his proposals shortly.



*The Supreme Court judgment of May 9th 2013 in the case of McGowan and others,  Part III of the Industrial Relations Act 1946 to be unconstitutional thereby invalidating the registration of all REAs that were previously registered under the 1946 Act.

Minister has announced his intention to put in place, as soon as possible, legislation that will be fully informed by the Supreme Court judgment.
1.6.6 We will reduce the cost of Government imposed red-tape on business, in part by streamlining regulatory enforcement activities out of a merger and rationalisation of existing structures. We will create a Business Inspection and Licensing Authority that absorbs the existing business inspection activities of the Health and Safety Authority, and the National Consumer Agency. Significant progress has been made with a reduction in administrative burdens of 25% achieved in the areas of Employment Law, Company Law and Health & Safety Law; this amounts to potential annual savings for business of almost  €208m  million.My Department also coordinates the cross-Government measurement and reduction of administrative burdens towards the 25% target.    The current estimated overall reduction is 19% which includes the 25% achieved by my Department, and the Revenue Commissioners  and 30% achieved by the Central Statistics Office. The reform of the State's Workplace Relations Services will deliver a simplified two-tiered structure comprising a single body of first instance, the Workplace Relations Commission, and a single body of appeal, in effect an enhanced Labour Court.

This proposal developed into a wider consideration of new measures to assist small businesses in their compliance with licensing and regulation, e.g. the Health & Safety Authority (HSA) developed and launched a single licensing portal for occupational health & safety and chemicals licensing requirements. See

The HSA also developed “BeSMART” - a free online tool  developed to help reduce costs for and the administrative burden on small business of meeting their legal obligations to prepare Risk Assessments and a Safety Statement under the Safety, Health and Welfare at Work Act 2005 .  Current estimates put potential savings for the SME sector as a whole in the region of €60-€65m. See
1.6.8 We will develop a Unique Business Identifier for use by all government departments and agencies that will facilitate the sharing of information within Government and reduce repetitive information requests from businesses. This will be considered in the context of legislation to facilitate data sharing
1.6.10 We will introduce new legally binding voluntary commercial debt plan structures to allow small businesses to restructure debts without recourse to expensive court procedures. The Company Law Review Group made recommendations in September 2012. Some of these recommendations are being implemented in the Companies Bill 2012, which has begun its enactment process. The remaining recommendations are to be the subject of further consideration by the Minister for Jobs, Enterprise & Innovation in consultation with the Minister for Justice and are to take account of the experience of the new Insolvency Service of Ireland.
1.7.1 We will implement a temporary, partial credit guarantee scheme that will provide a level of insurance to banks against losses on qualifying loans to job-creating firms to get banks' lending again to industry and entrepreneurs.

Commitment met
Fully implemented in Oct 2012
1.7.2 We will construct a €100 million Microfinance Start-Up Fund that will provide start-up loans and equity that draws funding from the NPRF and private institutional funds.

Commitment met
Fully implemented in Oct 2012
1.7.3 We will support the development of a more dynamic, venture capital industry in Ireland by seeking to attract top tier venture financing and investment companies to Ireland, such as Silicon Valley Bank.

Commitment met
To date, under the IFI scheme four international venture capital funds have established a presence in the Ireland market. A further numbers of investments are in the pipeline.



Furthermore, following a separate initiative by the NPRF Silicon Valley Bank is set to deploy US$100 million of new lending commitments to fast-growing Irish technology, life science, cleantech, private equity and venture capital businesses over five years, subject to its usual lending criteria.
1.7.4 We will work to promote a greater appreciation of the co-operative model as a distinct form of organisation, ensure a level playing field between co-operatives and the other legal options for structuring enterprise activities, and provide a conductive framework for the full potential of the co-operative model to be realised, including in areas such as childcare, education, housing, energy retrofitting, environmental protection, transport and healthcare. Legislation has been drafted to facilitate this commitment.



This commitment goes across a number of Departments.
1.8.7 We will legislate to ban a number of unfair trading practices in the retail sector, such as 'hello money' from food suppliers. Publication of Bill expected in Q3/Q4 2013
1.8.25 We will seek to establish Ireland as a renewable manufacturing hub to attract international and domestic investment. In November 2012, the Government published a Policy Statement on Growth and Employment in the Green Economy which has the objective of attracting investment in the Green Economy in Ireland.  A Consultative Committee on Jobs in the Green Economy has also been established to identify emerging opportunities for Ireland in the Green Economy.
1.9.1 The Government will promote the development of a vibrant and effective social enterprise sector. We will instruct agencies to view social enterprises as important stakeholders in rejuvenating local economies. We will continue support for social innovation projects for young people trough (sic) education, community and voluntary structures. Forfas prepared a Report on the potential of the Social Enterprise Sector in Ireland.  The report highlights the fact that social enterprises cover a wide spectrum of activity and are currently supported by a number of Departments and agencies.  The Forfas Report will be submitted to Government, prior to publication.
2.3.19 We will make good corporate governance the law, not an optional extra, and enact legislation to provide for binding code of practice for corporate governance, which will be obligatory for companies wishing to be listed on Irish stock exchange.

Commitment met
Companies that wish to list on the main market of the Irish Stock Exchange must comply by law with the UK's Corporate Governance Code and the Irish Annex.

2.10.4 We will strengthen corporate governance legislation and enforcement.The Companies Bill 2012 replicates the provisions of the Companies (Amendment) Act 2009 which granted additional powers to the ODCE to assist with enforcing Company Law.  Additionally the Bill categorises and clarifies all offences under Company Law.  As a result of the categorisation of offences and the introduction of uniform maximum fines and terms of imprisonment, a number of existing offences will carry higher penalties under the Bill. The Companies Bill 2012 has completed  Second Stage in the Dáil
3.41.6 We will reform the current law on employees' right to engage in collective bargaining (the Industrial Relations (Amendment) Act 2001), so as to ensure compliance by the State with recent judgements of the European Court of Human Rights.Consultation  process initiated December 2012. Written submissions received from stakeholders. Follow up meetings held.

Legislative proposals to be presented to Cabinet in Q4 2013.
4.13.5 We will review and update Intellectual Property legislation currently in place to benefit innovation, develop a National Intellectual Property protocol to give clarity about terms on which business can access IP created in Higher Education Institutions, and clarify legislation relating to online copyright infringement and enforcement of rights relating to digital communications.Re IP protocol- see 1.5.5 and 1.5.6 above

The independent  Copyright Review Committee is , in accordance with  its Terms of  Reference , examining  the current Copyright legislative framework to identify any areas of the legislation that might be deemed to create barriers to innovation and will  make recommendations to resolve any problems identified (see ref. 1.5.12 above); Re: IP Protocol -see 1.5.5 and 1.5.6 above;  Re: clarification of  legislation relating  to copyright infringement and enforcement:   the European Union (Copyright and  Related Rights) Regulations came  into force in February 2012, clarifying that an  injunction may be sought against intermediaries whose services are being  used by third parties to infringe a copyright or related right.
4.15.3 We will enact the Fair Trade Act, which will ban a number of unfair trading practices in the retail sector such as 'hello money' which suppliers have to pay to secure a place for their goods on supermarket shelves. Publication of Bill expected in Q3/Q4 2013

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