Combating

1

Combating Youth UnemploymentOpportunities and Challenges

mployment and Challenges for Ireland

February 2010

1

Contents

Preface

Executive Summary

Youth Unemployment in Ireland, Consequences & Characteristics

Proposals

1. Supporting Graduates

Public Sector Work Experience Programme

Work Experience and Placement

Reforms in Third Level Education supports

2. Creating and Securing Jobs

Supporting Private Enterprise

Supporting Entrepreneurship

Job Sharing Scheme

3. Training, Skills and Local Communities

Reform of employment and training supports

Society, Community and Voluntary Experience

2

Preface

It is with great pleasure today that I launch ‘Combating Youth Unemployment’,

an Ógra Fianna Fáil document of proposals to combat this pressing concern.

Youth unemployment presents a great challenge for Ireland in 2010, with one

third of people under the age of 25 out of work and youth emigration at its

highest level in a generation.

Today, Ógra Fianna Fáil is contributing a number of proposals to help combat

the effects of youth unemployment. Ógra recognises the serious financial

situation the State finds itself in today, and the policies proposed here are

largely cost neutral.

In developing its proposals Ógra Fianna Fáil looked at a range of policy

options used in other jurisdictions around the world. The measures proposed

are largely complementary to the re-negotiated Programme for Government

and are in line with current Government fiscal strategy.

Finally, I’d like to thank John Regan Ógra Policy Coordinator, Joseph O’Neill

Leas Cathaoirleach and members of the National Youth Committee for

compiling this important document. Young people have an important role to

play and I know that Government is already considering some of the

proposals contained herein.

Thomas Byrne T.D.

Cathaoirleach

Ógra Fianna Fáil

3

Executive Summary

Over the past decade, the Irish government led by Fianna Fáil, have presided

over a dynamic economy undergoing rapid change. The recent international

downturn, credit crisis and domestic construction bubble collapse have dashed

the hope of many young people.

In the following sections, we are proposing some new schemes and reforms

that we believe would be in the best interests of young people in Ireland. The

sections have been divided up as follows: Supporting graduates; Creating and

securing Jobs; Education, Training and the Community.

An important consideration to be borne in mind when assessing policies to

reduce unemployment among young people is cost. Many of the stimulus

proposals currently put forward by the opposition parties and interest groups

would require significant expenditures by the Irish Government.

However, Ógra Fianna Fáil believes the problem of youth unemployment in

Ireland is sufficiently serious to warrant a modest reallocation of funds

towards programs intended to lessen the hardship of unemployment.

Although governments must play a critical role in addressing youth

unemployment, the private sector and community groups can also make a

worthwhile contribution by cooperating with public policy initiatives and by

developing voluntary programs to increase the opportunities available to

young people to gain employment experience.

In this document Ógra Fianna Fáil recommends the following:

- A Public Sector Work experience programme be established

- A Further Education loan scheme be established

- Minimum wages be maintained at existing levels until 2012

- Bankruptcy reforms be introduced to stimulate entrepreneurship

- Reforms to R&D tax credit to promote creation of jobs in R&D

- A radical job sharing scheme to offer an alternative to lay-offs

- FÁS and the VEC system be reformed into a State Training Service.

4

Youth Unemployment, Consequences & Characteristics

Youth unemployment1 in Ireland has risen from around 30,000 (’04 – ’07) to

over 100,000 today. Coupled with the rise in unemployment has been a rise in

emigration of young people from 15,000 per annum (’05-’07) to 29,000 (to April

2009, CSO estimate). These figure will likely rise over the coming year as

further people emigrate to take up positions or look for jobs abroad. There may

also be a rise in people returning to the country as foreign working visas come

to an end or are not renewed.

Youth unemployment affects the individual lives of jobless youth, but the

effects transcend the individual. The economic, social and health effects of

youth unemployment affect society on a macro level. The ”collective

wellbeing”, which is families, communities and the nation, suffers as a result of

youth unemployment.

Financial problems are among the most tangible effects of youth

unemployment. Low incomes, coupled with a lack of acquired assets, place

unemployed youth at a high risk of poverty. The cost to individuals,

1 Defined here as being under 25, using CSO statistics (seasonally adjusted)

0

10,000

20,000

30,000

40,000

50,000

60,000

70,000

80,000

90,000

100,000

20

07

M0

1

20

07

M0

3

20

07

M0

5

20

07

M0

7

20

07

M0

9

20

07

M1

1

20

08

M0

1

20

08

M0

3

20

08

M0

5

20

08

M0

7

20

08

M0

9

20

08

M1

1

20

09

M0

1

20

09

M0

3

20

09

M0

5

20

09

M0

7

20

09

M0

9

20

09

M1

1

All classes

Jobseekers allowance

applications

Jobseekers benefit

claims

5

governments and the rest of society as a result of higher unemployment, lower

incomes and other costs arising from early school leaving in Ireland are

considerable.

Youth is a period of significant change for individuals. It is a time when identity

is formed, independence is often attained and a form of ‘political and civil

citizenship’ is developed. Employment plays a crucial role in these changes.

Independence is directly related to income. Even if individuals are not

dependant on the state, they are usually dependant on family or friends. While

income is important, the psychological benefits that usually accompany

employment are also key factors in this developmental stage. Thus

unemployment becomes a barrier, not only because of financial limitations,

but also because individuals miss out on the sense of personal, social and

adult identity that is derived from employment.

Unemployment and the possible subsequent exclusion from society may

result in low self-esteem, dependence, pessimism, life dissatisfaction,

depression, and/or even suicide. Unemployment has been shown to affect an

individual’s sense of well-being. Many studies have shown the correlations

between ‘unemployment and low life satisfaction, low self-esteem, and high

levels of anxiety, depression and suicide’.2

Two links between unemployment and crime are popularly discussed. One is

the belief that boredom and other situational factors of unemployment increase

opportunity for, and thus likelihood of, criminal activity. Another common view

holds that if needs and wants cannot be sufficiently and legitimately met by

employment, then individuals will seek illegitimate ways to meet these.3

It would be simplistic and overly reductive to argue that unemployment causes

crime in a direct straightforward, without-exception fashion. Unemployment

may be one influence on an individual’s likelihood of undertaking criminal

activity. And, as with other aspects of disadvantage, youth unemployment may

combine with other disadvantaging factors (e.g. socioeconomic disadvantage,

duration of unemployment, prior criminal behaviour, early school leaving and

2 B. Headey, ‘The psychological Impact of Unemployment’, in P. Saunders and R. Taylor (eds), The Price of Prosperity, p. 213. 3 D. Weatherburn, ‘The impact of unemployment on crime’ in P. Saunders and R. Taylor (eds), The Price of Prosperity, pp226- 248.

6

weak links to the labour market) to result in criminal activity.

A poor expectation of future employment prospects combined with a period of

unemployment is more likely to result in criminal activity than the combination

of unemployment with more positive expectation of future employment.

For many unemployed youth, the above characteristics may be coupled with

the first significant time in their life course where they are not subject to

supervision and authority. They are without a significant degree of formal

supervision and authority and without ‘place’ and occupation. Unemployed

youth often have little, or no, experience in the labour market. While these

challenges confront unemployed people of all ages, they are particularly

adverse, and may be amplified, for youth.

Once social effects have arisen, it becomes difficult for individuals to overcome

these effects. Consequently, re-employment may be unlikely because of low

self-esteem and isolation. Disillusionment may be such that some youth may

opt out of the labour market altogether. These individuals may not only be

lacking the human capital to gain employment, but also the networks. Youth

who come from households where others are unemployed are less well-

connected to labour markets and potential labour markets. Their knowledge of

paid work and the labour market is understandably limited.

Full-time participation, even in the first year out of school, has been found to

have long-term implications on the labour market outcomes of individuals.

Youth who are unemployed, working part-time and not studying or outside the

labour force in the first year after they leave school are much less likely to

make a successful future transition into full-time employment.

In the long-term, unemployed youth are also more likely to experience low

hourly wages, under-employment, repeated unemployment and increased

periods of unemployment. Unemployed youth are also less likely to find future

employment because of the negative stigma surrounding unemployment.

Future underemployment is known to be another consequence of youth

unemployment. The longer an individual is unemployed the less working hours

they are likely to get in the future and the more likely they will remain

unemployed. Underemployment may entrench individuals in poverty.

7

Proposals

Supporting Graduates

Creating and Securing Jobs

Training, Skills and Local

Communities

8

Supporting Graduates

1. Public Sector Work Experience Programme

Ógra Fianna Fáil are proposing a new work experience programme to support

college graduates and unemployed young people. Ógra Fianna Fáil recognise

that many employers will not be hiring recent and upcoming graduates in

many areas of the Irish economy over the coming year. However, we believe

that when these employers are in a position to hire in the future, they would

most certainly be interested in people who undertook something worthwhile

when opportunities did not allow.

This programme aims to be more than just an internship in the Public Service,

and is aimed at the personal and professional development of Irish graduates

who want to gain experience in the Public Sector (Civil and Public Service).

Participants can be placed across the civil and public service to gain first hand

experience at the work of the Irish Government, Departments or Public

Service bodies. This intensive programme aims to equip the participants with

team working and leadership skills, as well as work experience in their chosen

area. The participants will be teamed up with a senior staff within each

department or body. They will work independently and undertake job sharing.

Participants will also work in teams with other participants on a group project,

which will form an integral part of the Scheme.

It is proposed that this scheme will supplement the existing summer

employment schemes (replacing term time employees). There are currently

250,000 people employed in the Public Service and a further 110,000

employed through the Department of Health and Children, bring the total

number of State employees to 360,000. Ógra Fianna Fáil are proposing an

ambitious scheme which will have up to 20,000 participants on a rolling basis,

with programmes lasting 3-12 months each. Participants retain their social

welfare status, but receive the full rate of social welfare payment.

9

Each Department and government funded body would have to put forward an

internship programme that meets certain criteria, participation of the

department or body would be mandatory. The number of interns will be

directly linked to staffing levels in the Department or body. A specific number

of interns could be placed in each primary and secondary school, depending

on numbers enrolled and subjects offered. Departments or bodies can

propose internships aimed at specific graduates and broad ranging schemes

where the skills and educational background of each participant will be

matched to the requirements of each section. The selection of participants

would be the responsibility of the Public Appointments Service or the HR

sections of the body.

10

2. Work Experience and Placement

Ógra Fianna Fáil has made several submissions to the Department of

Enterprise, Trade and Employment regarding a work placement scheme in

the past. The Work Placement Programme offers unemployed people,

including unemployed graduates, the opportunity to obtain 6 months work

experience while on a work placement with a company. While on the work

placement participants retain their social welfare status and entitlements. We

welcome the recent reforms that were introduced to the Work Placement

Scheme in November.

Ógra Fianna Fáil are now proposing further changes to the scheme that will

see FÁS removed from this scheme so that employers can interact directly

with potential employees. Currently unemployed people require approval from

FÁS to part-take in this scheme. We propose that unemployment benefits

would act as a voucher system that could be used when taking up such a

position. We are also proposing that young people retain their social welfare

status, but receive the full rate of social welfare payment while part of this

scheme.

Once a Work Placement has been agreed between an employer and

employee, the employer would be required to register this placement with the

Department of Family and Social Affairs. Ógra Fianna Fáil are also proposing

that the three month requirement be removed to allow anyone receiving

benefits to take part in this scheme.

Ógra Fianna Fáil recommends that a database of potential applications be

placed online containing people who are interested in taking part in the Work

Placement Programme. This would allow employers to assess the availability

of the skills they require for their business.

Ógra Fianna Fáil believe work experience has significant advantages for

young people who want to acquire skills in the workplace. One strategy to

improve the employment prospects of young people is to make more use of

work-study or the cooperative education concept. In some university and

11

college courses, students spend a portion of their time in work assignments

that may extend over a few weeks or months. This job experience may be

obtained in either public or private sector institutions. Cooperative education

offers many attractions for young prospective workers, and should be used

more extensively. In addition, consideration should be given to greater use of

cooperative education at second level, especially for students unlikely to go

on to formal post-primary education.

Ógra Fianna Fáil are proposing that job experience become a fundamental

part of college courses such as Commerce, Engineering, Science and Social

Science just as is fundamental to students of health science subjects.

12

3. Reforms in Third Level Education supports

Educational institutions and FÁS can do a better job of providing young

prospective workers with the kind of information they need to participate

effectively in the labour market, and to make rational educational and career

choices well in advance of taking up a job. This is crucial for young people

and initial entrants into the labour force, who often require career counselling

and placement assistance. Young people must be made aware of current and

projected occupational demands; the need for and availability of

apprenticeships, training and job-related educational programs; and the

techniques for effective job searching. The private sector should cooperate by

making available detailed occupational forecasts and other labour market

information.

Although better information about the labour markets will not solve the present

problem of youth unemployment, it will benefit young people and the economy

as a whole over the medium and long term. Ógra Fianna Fáil are also

recommending that the Departments of Education and Enterprise, Trade and

Employment undertake a study, examining the long-term labour requirements

of each sector of the Irish economy, the availability of such workers and the

skills and training needed to upskill unemployed people to fill such roles in the

future.

Ógra Fianna Fáil are proposing that the government ensure everyone has

access to funds to attend college or further training. The state makes a

significant investment in the third level education of students through the free

fees initiative. However, in order to secure this investment in the human

capital of young people it is necessary to ensure there exists sufficient access

to loanable funds to attend further education courses. When applying to the

CAO, many students will choose degree or diploma courses that may not

have a direct path into a career or are broad in their study. These decisions

are often made at the age of 17 or 18, when young people are undecided

about their chosen career. Many students in these areas then specialise

through graduate courses or conversion courses later in life. These graduate

13

courses are expensive and money is usually borrowed, where the student

does not qualify for a maintenance grant.

Given the current state of the banking sector and the level of youth (graduate)

unemployment; Ógra Fianna Fáil are proposing the government ensure

everyone has sufficient access to funds to attend a graduate course or further

training. The Department of Education should establish a Graduate and Part-

time students Loan Scheme, allowing students to borrow funds directly from

State institutions at a reasonable rate of interest. The scheme would allow for

deferred payment of 12/24 months and be available to everyone.

14

Creating and Securing Jobs

Ógra Fianna Fáil urges the Government not to engage in extensive job

subsidy schemes (PRSI exemptions or wage subsidies) or other blanket

labour market intervention schemes. It is the view of the National Youth

Committee that large-scale interventions in the labour market have limited

success and suffer from deadweight loss and substitution effects. The

McCarthy Report, World Bank and other academic articles support this view.

Similar schemes were used during the 1980’s with little effect, and their

extensive use this time should be avoided. Measures like this, which erode

the tax base and have little effect on employment, are a step in the wrong

direction. However, employment subsidies aimed at the long-term

unemployed or at those sectors of the Irish economy that are vulnerable due

to the weakness of sterling should be supported temporarily through the

downturn.

Ógra Fianna Fáil has been a strong supporter of the National Minimum Wage

since its introduction in 2001. The Minimum Wage is currently €8.65 and is

one of the highest in Europe. It has helped lift thousands of young people and

families out of poverty. Ógra Fianna Fáil rejects suggestions that a broad cut

in the National Minimum Wage would be in the best interest of country.

However we do support the recent changes proposed by the Minister for

Labour regarding Employment Regulation Orders. Ógra Fianna Fáil

recommends that the National Minimum Wage be frozen for 24 months, until

2012.

1. Supporting Private Enterprise

It is the view of the Ógra Fianna Fáil that cutting business costs and the

associated costs of doing business in Ireland would be a preferred way to

support private enterprise.

The best solution to unemployment is sustained economic growth and more

competitive industries. The only basis for long-term job creation can be a

15

strong economy. The creation of a climate in which economic and

employment growth will occur must remain the government’s highest priority.

Steps taken by the Government over the past year to promote investment, to

enhance Ireland’s competitiveness, and to improve the fiscal position of the

public sector are welcome steps forward. Success in achieving these

objectives is the best guarantee of future jobs in Ireland. Ógra Fianna Fáil

support the creation of the National Assets Management Agency, the Bank

Guarantee Scheme and bank re-capitalisation. Getting our banks lending to

the public and private enterprise must remain a priority for the Government.

The Government has initiated the Employment Subsidy Scheme to support

the retention of full time and part time jobs in viable enterprises that might

otherwise be made redundant as a result of the impact of the global and

financial economic crises. Employment subsidies of up to €200 per week per

full time employee and €120 per week per part time employee are available

for the first 26 weeks and then on a reducing scale. There is €65 million

available to eligible enterprises. Ógra Fianna Fáil recommend that this

scheme be broadened to include other specific sectors of the Irish economy,

including those engaged in supply to exporting firms and those with a highly

trained workforce.

Ógra Fianna Fáil welcome the proposals made by the Commission on

Taxation regarding the R&D tax credit. We believe businesses should be

allowed to offset the credit against their corporation tax OR employers’ PRSI.

The lack of flexibility regarding the tax credit should be addressed with

immediate effect in the Finance Bill at no additional cost to the State.

Ógra Fianna Fáil urge the government to ensure R&D grants are not cut over

the next few years. In spite of the contraction in the public finances R&D

grants are essential to creating high quality jobs. Maintaining such grants was

key to the Finnish strategy during their banking crisis in 1991. In this regard

we disagree with the views of the McCarthy report calling for a reduction in

research investment. We also recommend that the Strategy for Science,

Technology and Innovation be fully implemented.

16

The programme of supports available to entrepreneurs through development

agencies has been a key to Ireland’s success as business hub. A range of

supports are available locally through City and County Enterprise Boards,

regionally and nationally through Enterprise Ireland and other bodies. Ógra

Fianna Fáil are recommending the streamlining of state agencies that support

enterprise (Enterprise Ireland, IDA, County and City Enterprise Boards,

Western Development Commission, Business Innovation Centres and

LEADER) into a single body better aimed at the support of enterprise and

creation of jobs. Merging these bodies would achieve significant savings in

administration and property rental.

Ógra Fianna Fáil also recommends that all business support / innovation

funds be pooled together and simplified for business and potential

entrepreneurs. A rationalization of such funds, with no reduction in the actual

amount spent would produce significant savings in administration.

Ógra Fianna Fáil are calling on the government to assist new and small firms

through changes to government procurement policies. Existing EU rules

provide significant latitude for government to be directive in their procurement

policies in a manner that could benefit new and small Irish firms.

2. Supporting Entrepreneurship

The Total Entrepreneurial Activity index (TEA) for Ireland is 7.6% (2008). This

means that about one in 13 adults of working age in Ireland are currently

engaged in early stage entrepreneurial activity. Ireland is to the fore in Europe

in terms of its entrepreneurial activity rate. The recent decline in the

international and national economy has had a knock on effect on the

entrepreneurial environment and on the opportunities available for

entrepreneurs and new enterprises.

Ógra Fianna Fáil believe the current bankruptcy laws in Ireland are overly

restrictive, outdated and hinder entrepreneurship. Many viable businesses

and entrepreneurs have been hit by the lack of access to credit and the

17

banking crisis. These entrepreneurs will play a vital role in the rebuilding of

the Irish economy when economic growth returns.

The European Commission has put forward the position that the legal

systems of EU member states should be more favourable to business start-

ups and should not stigmatise legitimate business failure as this stifles further

entrepreneurial activity. Entrepreneurs learn from their mistakes and fresh

starts should be facilitated. It states that a distinction should be drawn

between fraudulent bankruptcies and non-fraudulent bankruptcies by legal

systems. Legal proceedings should be simplified and made quicker; it

recommends that proceedings should last a maximum of one year.

Individuals who become bankrupt are penalized for 12+ years in Ireland, while

in Britain bankruptcy penalties apply for 12 months. The bankruptcy

procedure in Ireland is unwieldy, expensive and very heavily court controlled.

The contrast with the various flexible and debtor friendly procedures available

in England and Wales could not be starker. This more favourable legislation in

the UK is hindering Irish business creation.

In September 2009, the Law Reform Commission (LRC) produced a

consultation paper on Personal Debt Management and Debt Enforcement that

has made provisional recommendations relating to the reform of bankruptcy

law in Ireland. Ógra Fianna Fáil recommend that these proposals are

implemented as soon as possible.

3. Job Sharing Scheme

Ógra Fianna Fáil are proposing a radical job sharing scheme, similar to

WorkShare which exists across the US and in Germany. Under this job

sharing scheme existing employees could be retained by an employer who

has been forced to cut staffing levels. The employer would continue to hire

existing workers on a reduced hours basis to meet the needs of the business.

This reduction in hours could take the form of paid sick days, paid family

leave, shorter working weeks or longer holidays. This would allow the

18

employer to retain a experienced skills set within the business and avoid

training costs.

Employees who have their hours and wages reduced would receive a top-up

using their social insurance (PRSI) contributions. Employers who reduce

workers’ hours rather than laying them off could also receive a financial

incentive. Such a job-sharing scheme could be adapted to allow for business

employing new staff as businesses expand.

We believe that the social costs of making 1 in 5 of a firms workers

unemployed is greater than having all workers being underemployed by 20%.

The total gross wage being received by the employee would not exceed €450

under this scheme, and taxes would be paid on the total amount of pay (wage

& contributions top up). The businesses would be required to prove they are

facing a difficult environment and capable of surviving the downturn in

business. Benefits would last for 12 months, and be reviewed every 3 months.

Employees would not have to file a claim or report to an unemployment office

each week to show they’ve been looking for work, since they are still

employed.

19

Training, Skills and Local Communities

In addressing the unemployment problem, Ógra Fianna Fáil believe there

must be improvements in the quality of labour market supports and

information. In the case of young people, this might involve more careers

counselling, better placement services, mobility assistance and, above all,

improving skills training. Ógra Fianna Fáil support the recommendations of

the McCarthy “Snip” report in its findings regarding Labour force activation

measures. The report notes the fragmented nature of the State-funded

employment services and recommends a single body be charged with such

responsibilities.

1. Reform of employment and training supports

The Irish government spends over €1 Billion annually on skills training and

development through FÁS. A major concern with recent state training

programs through FÁS has been that they do not reflect conditions prevailing

in the Irish labour market. To a significant extent, people have received skill

training in areas such as construction where jobs are now scarce and are not

likely to materialize in significant numbers in the near future. Steps must be

taken to align government-training programs more appropriately with the

needs of the Irish and European labour markets.

Ógra Fianna Fáil believe that the state should provide additions places in PLC

and further education courses (rather than FÁS) as many existing FÁS

courses do not have certification through the National Framework of

Qualifications. Last year 60,000 jobseekers and school leavers applied for

one of the 30,000 PLC courses available through the VEC. PLC courses offer

students a chance to study for one year and provide an all round education

with a certified qualification at the end. The vast majority of FÁS courses are

shorter and provide no certified qualification at the end. In addition to this,

PLC courses offer students the chance to progress in Higher Education

20

courses, while in the main FÁS do not.

It is the view of Ógra Fianna Fáil that FÁS should be merged alongside the

VEC system into a single State Training Service. It is our view that a single

body should be charged with this responsibility and other bodies be

subsumed into the State Training Service or abolished. We are also

recommending that the department responsibility for training, welfare and

social services be conferred on one department, in line with OECD norms.

Ógra Fianna Fáil are also proposing that the Department of Education and

Department of Enterprise, Trade and Employment come together to provide a

new range of day & evening courses to all adults and unemployed. Such

courses would aim to up-skill everyone in the community and be available to

all at low cost or free to medical card holders. New courses could include

Introductions to Finance, Irish Law (Consumer, Contract etc), Economics,

Business Management, European Languages, International Business and

Environmental Awareness. The teachers required for such courses are

available in the VEC system or through third level institutions. Courses would

range from level 5-7 within the National Qualifications Framework.

Lifelong learning for those in employment is essential for boosting productivity

and enhancing competitiveness (Building Ireland’s Smart Economy report).

The government has committed to providing training for people in employment

through the National Training Fund. Ógra Fianna Fáil are calling on the

government to ensure this fund is used to maximum benefit and that surplus

funds which exist from 2009 (€205 million) should be released over the next

12-18 months.

Ógra Fianna Fáil are proposing a change in the dynamic between the Dept of

Enterprise, Trade and Employment, Dept of Education and Science and Dept

of Family and Social Affairs. We are recommending that the position of Junior

Minister for Labour Affairs being reformed to encompass Labour, Education

and Social Welfare with responsibility for the Irish labour force, their training

and welfare needs.

21

2. Society, Community and Voluntary Experience

Ógra Fianna Fáil believe that community organisations and voluntary bodies

should be empowered to tackle unemployment directly in their area. Ógra

Fianna Fáil are proposing a new system for the Community Employment

Scheme. This scheme would empower community, voluntary and non-profit

bodies4 to tackle unemployment in their area. These bodies would be allowed

create schemes to undertake tasks in the local community that could

otherwise go undone. Such schemes could cover a broad range of area’s and

target specific types of unemployed people with different backgrounds, skills

etc. Ógra Fianna Fáil recognise that different communities require different

schemes to efficiently tackle youth unemployment. Allowing flexibility in the

type, size and requirements of each scheme will maximise the effectiveness

of these schemes.

These schemes would be submitted to each local authority for initial approval

and oversight, while the administration and management of the schemes

would be the responsibility of the body. The people who apply for these

positions would undergo an initial interview and selection procedures to

ensure those best suited to the proposed scheme are selected. Participants

retain their social welfare status and entitlements.

Ógra Fianna Fáil believe voluntary and community bodies will benefit

significantly from this proposal. Schemes focusing on promoting local tourism,

helping young/older people learn new skills or undertaking tasks which

otherwise go undone in the local community will all help local communities

develop.

Each scheme would be required to submit a detailed proposal to the local

authority for approval. This proposal must state the requirements of each

placement as well as the total number of placements being offered.

4 These could include, but are not limited to the following: Parish groups, voluntary bodies, local Chamber of Commerce, local groups (environmental, tourism, youth, education, health etc.), neighborhood groups and local authorities

22

Participants would be required to work 20 hours a week, or 80 hours over a

calendar month if the needs of the body require more flexibility. Participant

bodies cannot be for profit or be in the process of laying off staff.

Ógra Fianna Fáil believe the Department of Community, Rural and Gaeltacht

Affairs should commission a report in how best to promote the use of Social

Enterprise in Ireland. A social enterprise is a business with primarily social

objectives whose surpluses are principally reinvested for that purpose in the

business or in the community, rather than being driven by the need to

maximise profit for shareholders and owners.”