€2.8m returned as job pledges fail
The IDA said it cannot name the companies who were forced to return €2.8m.
The total amount of grant refunds made to IDA was €3.132m, of which €2.8m was for unfulfilled employment grants.
In response to a parliamentary question from Sinn Féin’s finance spokesperson, Pearse Doherty, the IDA said it follows up on companies after jobs announcements to ensure that announced jobs materialise.
The Minister for Jobs Richard Bruton said: “IDA monitors job creation in individual client companies on an ongoing basis. In addition, the Annual Employment Survey, which is carried out by Forfás, is utilised by IDA as a further tool of verification of job numbers in IDA-sponsored companies.
“In addition, at the time of a grant claim, IDA also seeks formal verification of job numbers, prior to payment of the grant.”
The IDA announced the creation of 12,700 jobs last year and 13,000 in 2011. It is unclear whether or not these figures need to be revised downwards following the failure of certain companies to achieve their stated job creation goals.
Mr Doherty said there is need for much greater clarity on jobs figures so that the public can see what is promised and what is delivered.
“The return of this grant aid represents jobs promised that were never delivered. It is clear that greater transparency is required in relation to IDA job claims. This is about public money and the promises made by a public body.
“The IDA should publish a record of each job promised, jobs delivered, and clarify that these are new jobs and not the re-allocation of posts within companies.
“We need to know how many additional new jobs are actually being created for and filled by our workers,” he said.
