Tommy Broughan (Dublin North East, Labour)
Link to this: Individually | In context | Oireachtas source

132. To ask the Minister for Social Protection the projected budget to be allocated to the JobPath programme in 2014 and 2015; and the amount of this that will be subcontracted to private sector training companies. [8729/14]

Tommy Broughan (Dublin North East, Labour)
Link to this: Individually | In context | Oireachtas source

133. To ask the Minister for Social Protection the reason she is proposing to subcontract the JobPath programme to large private companies; and if existing community and not-for-profit local employment services have been fully informed about the modus operandi and tendering process relating to the JobPath programme. [8735/14]

Joan Burton (Dublin West, Labour)
Link to this: Individually | In context | Oireachtas source

I propose to take Questions Nos. 132 and 133 together.

JobPath is the Government’s new labour market activation service aimed specifically at the long-term unemployed and those most at risk of becoming long-term unemployed. JobPath will be delivered by private/third party providers of employment services under contract to the Department. JobPath will augment and complement the Department’s existing employment service capacity as well as that of the Local Employment Service (LES) and Job Clubs, which already operate under contract to the Department, thereby increasing capacity to provide supports to assist jobseekers in obtaining employment. The contracting approach offers the State a number of advantages not least of which are that contractors will have to bear the initial investment costs of the new service and contracting is flexible in responding to changes in service needs.

On 1 July 2013, the Department published a Prior Information Notice (PIN) in which it notified the market that it was considering the potential of contracting private/third party providers of employment services. A PIN is a discretionary and exploratory first step in a procurement process. A consultation process was initiated whereby the Department held two information sessions in late July 2013 at which it outlined its thinking in relation to JobPath and invited responses. These events were attended by over 200 individuals representing a wide range of organisations involved in labour market activation including LES representatives. The Department also set up a dedicated email address to facilitate questions and feedback. A full list of the attendees and a question and answer document were published on the Department’s website (). On 7 November 2013, Enterprise Ireland hosted a capacity building and networking event for interested parties of JobPath. This event was also attended by LES representatives.

On 12 December 2013, the Department published a contract notice inviting tenders for the provision of JobPath services. The closing date for receipt of JobPath tenders is 28 February 2014. Tender documentation has been published on while information on JobPath is available on . LES providers are free to participate in the JobPath procurement process.

The cost of the JobPath service is dependent upon the price agreed following the tendering process. JobPath is a payment by results model and as such the cost of JobPath is also dependent upon the number of individuals that JobPath providers place into sustained employment.

JobPath contractors have not yet been appointed. It is not necessarily the case that contracts will be exclusively with large private companies. Many of the larger companies involved in this activity in other states are not-for-profit and/or voluntary/community companies. The level of sub-contracting that may be involved in the delivery of JobPath will not become clear until the tender evaluation process has been completed.