Dublin and Cork get majority of IDA-backed jobs

A SURVEY of jobs created during 2007 in IDA-supported companies has highlighted significant discrepancies in investment levels between different parts of the country.

A total of 9,216 jobs were created by IDA-supported firms last year, representing an investment of €2.3 billion by overseas firms.

However, a breakdown of the figures reveals that many counties in underdeveloped areas such as the border regions, the midlands and the west continue to be overlooked as locations for such jobs, despite balanced regional development being a key objective of the state development agency.

An analysis of official IDA figures by the Irish Examiner reveals that the vast majority of jobs created last year by IDA-backed firms are in the cities of Dublin, Cork, Limerick, Galway and Waterford.

In response to a recent Dáil question, the Minister for Enterprise, Trade and Employment, Micheál Martin, said he was “satisfied” that the policies of both the IDA and Enterprise Ireland would “continue to bear fruit in terms of continued investment”.

Mr Martin stated that 64% of investments by the IDA last year were located outside Dublin as an example of regional diversity.

However, almost half of all jobs resulting from such foreign investment were created in Dublin last year.

For example, almost 4,300 jobs in IDA-backed firms were created in the capital last year compared to just five in Carlow. Dublin and Cork alone account for more than 5,800 such jobs or 63% of the 2007 total.

In contrast, fewer than 50 jobs were created in each of nine counties — Carlow (5 jobs), Clare (22), Laois (9), Leitrim (13), Longford (19), Monaghan (20), Roscommon (17), Sligo (36) and Tipperary North (9).

On average one job in an IDA-supported company was created for every 460 persons last year.

However, only Dublin, Cork, Waterford, Tipperary south and Westmeath had a better than average record in job creation by such firms.

The figures prompted Sinn Féin deputy Martin Ferris to complain that there are massive imbalances on where such investment is located.

The Kerry TD pointed out that 30 IDA-supported companies had set up in Cork in recent years compared to just one in Kerry.

“Kerry remains Cork’s poor relation,” said Mr Ferris.

The findings also suggest that counties which are home to a Government minister are more likely to benefit from investment by IDA firms, with the sole exception of Offaly, which gained just 47 jobs.

A separate study of investment on a regional basis by IDA companies since 2003 shows that Dublin and its commuter belt — the mid-east region of Meath, Kildare and Wicklow — received the highest per capita expenditure of the country’s eight regions over the period.

A little less than €20m was invested in the border region between 2003 and 2007 compared to €112.4m in Dublin and €91.8m in the mid-east area.

This represents just €8.50 spent on each individual in the border counties compared to €18.94 per person in Dublin and €38.65 per person in Dublin’s commuter belt.

The midlands as well as the mid-west and south-east regions also received proportionately less investment from IDA-backed firms than the Dublin region.

Asked to comment, an IDA spokesperson said the agency had made “fairly substantial” progress in achieving greater regional balance in recent years.

Meanwhile, underdeveloped parts of the country fared slightly better in attracting investment from firms supported by Enterprise Ireland — the state body which assists indigenous industry.

The border region received the highest average level of investment in the period 2003-2007 at €42.28 per person compared to €31.68 for people in the capital.

However, the midlands and the west continued to receive less funding on a per capita basis than Dublin from such companies.