Mick Wallace (Wexford, Independent)
Link to this: Individually | In context | Oireachtas source

29. To ask the Minister for Finance in view of his spring statement announcement of 200,000 net new jobs by 2018, if he has been in contact with the Department of Public Expenditure and Reform and the Department for Jobs, Enterprise and Innovation to ensure these jobs will not be low paid or low hours; and if he will make a statement on the matter. [17570/15]

Michael Noonan (Limerick City, Fine Gael)
Link to this: Individually | In context | Oireachtas source

Since the low-point of the crisis experienced in the second half of 2012, some 95,000 jobs have been created to date. The April 2015 Stability Programme Update, on which the Spring Economic Statement is based, projects that relative to this low-point, some 245,000 net new jobs will be created by the end of 2018.

In addition to increases in employment volumes, my Department is forecasting an increase in wages and the number of hours worked per employee over the horizon. Of course, this is the aggregate position there will be sectors that will perform better than average, and those that will be below average trends.

In terms of outlook, over the period to 2018 economy-wide pay per head is projected to increase by an average of just over 2½ per cent per annum. Following a contraction in the number of hours worked over the crisis years, projected hours per worker are also anticipated to increase over the period.

Certainty for employees around their working hours in particular is important from both a stability and financial planning perspective. I welcome the study recently commissioned by the Minster for Business and Employment Mr Ged Nash which will investigate both the prevalence and impact of zero hours and low-hour contracts.

The key objectives of the study are:

- To fill the gap in knowledge that currently exists in terms of hard data on zero-hour and low-hour contracts that is available concerning the prevalence of zero hour and low hour contracts in the Irish economy and the manner of their use.

- To assess the impact of zero hour and low hour contracts on employees, and

- To enable the Government to consider any evidence-based policy recommendations deemed necessary on foot of the study

The study will have a broad scope covering both public and private sectors and will have a particular focus on the retail, hospitality education and health sectors. I look forward to its completion which will allow the Minister for Jobs, Enterprise and Innovation to make evidence-based policy recommendations which will be considered on a whole-of-government approach.

I also await the findings of the Low Pay Commission which will report to Government in July and make recommendations on the rate of minimum wage, giving due consideration to "assist as many low-paid workers as is reasonably practicable without creating significant adverse consequences for employment". 

I look forward to actively engaging with my colleagues as part of the above processes.