State agency needed to ‘protect existing jobs’

A STATE agency should be created to protect jobs to support the work of the IDA and Enterprise Ireland, it was suggested yesterday.

And new EU restrictions on grant aid could scupper the southern region’s ability to attract new industry.

The warning came yesterday after Cork’s city councillors were briefed by senior IDA and Enterprise Ireland officials on the current and forecasted employment situation in the south.

Sinn Féin councillor Jonathon O’Brien, who suggested the briefing five months ago, described the event as very worthwhile.

But he said it was clear that more work needs to be done to protect existing jobs as the recession grips.

Councillors invited the IDA’s south western regional manager Ray O’Connor and Enterprise Ireland’s regional director for the south Martin Doyle to attend the meeting amid growing concerns about job losses in the Cork region.

Mr O’Connor said while 1,487 jobs were lost in the Cork region last year, the IDA helped create 2,036 — a net gain overall.

He also said the region has huge potential to attract jobs in the financial services sector.

But he said continued investment in infrastructure is essential and the development of trans-Atlantic routes out of Cork Airport would help the IDA attract more investment.

However, councillor O’Brien said he is concerned that 75% of the country’s GDP is dependent of foreign direct investment.

He said Enterprise Ireland could play a crucial role in developing indigenous industry.

But Mr Doyle said his agency has experienced difficulty in recent months meeting staff of companies facing closure.

He said his agency can tap into staff’s potential.

Citing the example of Motorola, he said Enterprise Ireland were facilitated in meeting staff and as a result helped set up 15 start-up companies.

But Mr Doyle said management in some companies are reluctant to let Enterprise Ireland to speak to staff until closure has been confirmed.

Towns across west Cork are haemorrhaging jobs with a massive increase of more than 60% in numbers signing on the live register.

People seeking employment assistance in the main west Cork towns has increased by almost 63% in the past year with those seeking assistance in Bantry up a startling 70%.

Bandon has seen an increase of more than 64%, while Clonakilty and Skibbereen report increases of 63% and 62% respectively.

Almost 20% of the people on the live register in the towns are under 25 years old, according to recent statistics released by the Central Statistics Office (CSO).

Of the five west Cork towns, where a total of 4,110 people now claiming unemployment assistance. Kinsale saw the lowest rise of 53%.