Written answers

Wednesday, 22 March 2023

Department of Enterprise, Trade and Employment

Industrial Development

Photo of Gerald NashGerald Nash (Louth, Labour)
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48. To ask the Minister for Enterprise, Trade and Employment if he will provide details on the grants given by IDA Ireland to each of the largest 20 technology companies, by value, that are client companies of the agency in each of the years 2013 to 2023, respectively, under various headings such as employment, training, research and development and so on; and if he will make a statement on the matter. [14143/23]

Photo of Gerald NashGerald Nash (Louth, Labour)
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49. To ask the Minister for Enterprise, Trade and Employment if he will provide information on the amount of moneys repaid to the State by the largest of the 20 technology companies, by value, that are client companies of the IDA in each of the years 2013 to 2023, respectively, with a particular focus on the area of employment grants where employment targets and conditions of grants were not met in terms of maintenance of employment numbers for a specified period and so on; and if he will make a statement on the matter. [14144/23]

Photo of Simon CoveneySimon Coveney (Cork South Central, Fine Gael)
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I propose to take Questions Nos. 48 and 49 together.

As the Deputy is aware, IDA Ireland offers a wide range of financial assistance to companies wishing to locate and/or expand their existing operation in Ireland including but not restricted to:

- Capital;

- Employment;

- Training;

- R&D and environmental supports.

The table attached set outs grant payments to the top 20 Technology companies by grant type and by year from 2013 to 2022 inclusive.

In all instances where financial assistance is approved by IDA Ireland for a company, the Agency and the client enter into a legal and binding contract - a "grant agreement". The contract which is confidential between IDA Ireland and its client includes conditions and milestones that the client is required to comply with before any financial assistance is paid. Clients sign the grant agreement in full knowledge that the penalty for non-performance is pro-rata repayment of grants. IDA Ireland follows up the claw-back - known as "revocation of grants" - where the client has not achieved the agreed performance target or, if appropriate, in the event of a company closure.These cases are reported in the Agency’s Annual Financial Statements.

The table below outlines the number of companies and the total grants repaid to IDA Ireland in each year for the period 2013 – 2022 inclusive. Information such as company names is confidential and commercially sensitive as IDA Ireland is in ongoing relationships with many of the companies on existing and potentially new investments and the companies continue to provide significant employment in Ireland.

Year No of Companies in the top 20 Technology Companies that repaid grants €’000
2014 One Employment Grant Repayment 1,413
2020 One Employment Grant Repayment 394

Photo of Gerald NashGerald Nash (Louth, Labour)
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50. To ask the Minister for Enterprise, Trade and Employment his views on what is now a large divergence between direct and indirect or contracted jobs maintained by multinational technology corporations located in the State and supported by IDA; if he is concerned at this trend; if IDA will revert to stating direct employment numbers in job announcements by all FDI companies and not the total of direct and contract jobs; and if he will make a statement on the matter. [14145/23]

Photo of Simon CoveneySimon Coveney (Cork South Central, Fine Gael)
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IDA Ireland monitors and reports on employment trends in its client portfolio through the Annual Employment Survey (AES) conducted by my Department. In the AES we distinguish between full-time jobs in agency-assisted firms and part-time, temporary or short-term contract employees. The 2022 AES was published by my Department on 1 March 2023.

For the purpose of the survey, full-time employees are taken as those who work full hours and have contracts of nine months or longer. Part-time, temporary or short-term contract employees (‘other employees’) are taken as those employed on a part-time or short-term basis or employed on contracts of less than nine months.

Data from the 2022 AES shows that the share of ‘other employees’ as a proportion of total employment has remained stable in recent years for both the overall client base and within the specific ICT services "NACE" classification.

Data for 2019 through to 2022 is set out in the tables below:

Total IDA client base 2019 2020 2021 2022
Permanent full-time employees 229,776 239,961 257,757 280,890
Other employees 21,353 20,802 19,699 20,585
Total employment 251,129 260,763 277,456 301,475
‘Other’ as share of total 9% 8% 7% 7%

ICT* 2019 2020 2021 2022
Permanent full-time employees 109,104 114,022 123,251 135,747
Other employees 6,840 6,976 5,665 5,709
Total employment 115,944 120,998 128,916 141,456
‘Other’ as share of total 6% 6% 4% 4%

*Information and Communication Services, Electrical Equipment, and Computer, Electronic and Optical Equipment

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