Alan Farrell (Dublin Fingal, Fine Gael)
Link to this: Individually | In context | Oireachtas source

114. To ask the Minister for Enterprise, Trade and Employment to provide an update on his Department's efforts to address labour shortages in the hospitality sector; and if he will make a statement on the matter. [22754/24]

Peter Burke (Longford-Westmeath, Fine Gael)
Link to this: Individually | In context | Oireachtas source

My Department is working to support the efforts being undertaken by the Department of Tourism, Culture, Arts, Gaeltacht, Sport and Media and Fáilte Ireland, aimed at ensuring a co-ordinated approach to addressing labour and skills shortages within the tourism and hospitality sectors. The Tourism Careers team at Fáilte Ireland works to help the recruitment and retention efforts of businesses, as well as promoting exciting opportunities and careers in the Tourism and Hospitality industry.

According to the latest employment figures from the CSO’s Labour Force Survey, published on 22nd February 2024, total employment stood at 2.71 million in 2023 Q4, with 185,300 employed in the accommodation and food service sector. There are now more people employed in Ireland than ever before. As per the CSO Statistical Release on Monthly Unemployment from early May, the seasonally adjusted national unemployment rate was 4.4% in April 2024.

It is essential that Irish enterprise has access to an adequate pool of high quality, adaptable and flexible talent – in particular in the context of a tightened labour market. In order to meet the demand for skills, there is close collaboration across Government, in particular between the Department of Further and Higher Education, Research, Innovation and Science, its agencies and my own Department, as well as between Government, industry, and the education and training system, in order to build and retain a highly skilled workforce to serve the needs of the economy.

My Department operates the Government’s employment permits system which is highly responsive to areas of identified skills needs and labour shortages across the economy. The system is, by design, vacancy led and driven by the changing needs of the labour market. The employment permits system is managed through the operation of the critical skills and ineligible occupations lists which determine employments that are either in high demand or are ineligible for consideration for an employment permit.

In December 2023, following extensive engagement with industry representatives and stakeholders on the nature and extent of skills shortages, my Department announced a major expansion to the employment permits system, with 43 changes to the jobs eligible for an employment permit. This included 11 roles added to the Critical Skills Occupations List and 32 roles made eligible for a General Employment Permit. Demand for employment permits in Ireland is currently extremely high, with just over 30,000 permits issued in 2023, including 2,606 for the accommodation and food service sector. Demand remains high this year, with 9,832 permits issued in Q1 2024, including 636 for the accommodation and food service sector, providing another valuable stream of skilled labour for the Irish economy.

The Government continues to support the economy by creating the right environment for employment creation, through measures to boost the resilience, agility, competitiveness and innovation of businesses across the economy. This will also be supported through ensuring a balanced and inclusive recovery, through strategic investment in infrastructure and reforms that enhance our long-term capacity for growth, balanced regional development and by improving living standards.

These measures will work to support the broader economy and viability of the tourism and hospitality sectors, which in turn will work to enhance their attractiveness as career options.