Government jobs plan pledges 'radical improvement'

An ambitious action plan to create 200,000 jobs over two four-year enterprise cycles has been unveiled by the Government.

Taoiseach Enda Kenny claimed radical improvements in the way the Government and business interact would result in a much-needed workforce boost in two swathes by 2020.

The Action Plan on Jobs includes restructuring the country’s enterprise agencies, helping more small businesses win big contracts and improving the performance of indigenous companies.

Mr Kenny said the initiative has become the third major strand of the Government’s economic plan to get Ireland working – after rebuilding the banks’ capacity to lend and cutting the budget deficit.

“Through this action plan we will target different sectors with new supports,” he said.

“We will radically improve the way the Government and business interact by cutting both costs and red tape.”

More than 270 actions have been mapped out by Government, including the establishment of a one-stop shop for small businesses by dissolving county and city enterprise boards and creating a central office to work with local authorities.

A €150m development capital scheme will also aim to fill the funding gap for mid-size, high-growth indigenous companies.

A loan guarantee scheme and a €100m micro-finance loan scheme will also go live shortly.

Jobs Minister Richard Bruton said with 300,000 jobs having been lost because of a flawed economic model which collapsed in 2008 and more than 315,000 people unemployed, job creation is the top priority.

“However there is no big bang solution,” he warned.

“It will take a period of hard work by businesses, Government and people across the country to rebuild the economy brick by brick, reform by reform, to get back to sustainable, enterprise-led growth where more businesses can start up, expand and create new jobs.”

Mr Kenny vowed to personally oversee the implementation of the plan, launched at Icon clinical research in Leopardstown, south Dublin.

He maintained his department will work closely with other departments to make absolutely sure the necessary changes are made and that results are achieved and jobs created.

The Taoiseach said Ireland would target key sectors, produce more world class companies and attract new investment that will create more jobs.

“By attracting investment, we can grow our businesses both here at home and for the world market,” he continued.

“The more contracts Irish companies win in the global market, the more jobs they win for people at home.”

The Government Action Plan for Jobs includes two deadlines to create 100,000 jobs by 2016 and another 100,000 by 2020.

All of the 15 Government departments and 36 State agencies involved will be subject to quarterly reviews to identify failings or problems and work to quickly resolve them.

The main points to be rolled out this year include:

* Enterprise Ireland – Staff will set up new local authority boards to drum up business and look at which firms should be exporting.

* Homegrown – €1.2m a year for mentoring and management development in the domestic economy using more top business leaders, multinationals and large Irish companies to pass on knowledge.

* Economy – Identify major sources of job creation in manufacturing.

* Gaming – Set up a cluster development team for digital games.

* Finders’ Fee – Members of the Diaspora will be offered up to €4,000 financial rewards to attract inward investors – this comes on the back of the income tax relief for high earning executives relocating to Ireland.

* Intellectual Property – Examine what is needed, including changes to Government policy, to make Ireland a world centre for managing and trading in the sector.

* Business Loans – A €150m pot, known as the Development Capital Scheme, will support small and medium-sized businesses with the potential to create jobs but sinking under lack of credit. It comes on top of the already announced 100 million euro loan guarantee pot.

* Business Costs – Departments and agencies given one month to identify business levies that can be frozen or reduced for two years.

* Tax – Corporation tax exemption to be extended for start-ups until 2014.

* R&D – Target the State’s €500m funding pot at firms with strong commercial potential and job-creation and improve supports to get 740 companies to spend 100,000 euro or more a year developing ideas and products.

* Pay – The next generation Social Partnership regime for agreeing wage setting mechanisms.

* Debt – Experts to look into a new settlement system to meet the needs of small and medium enterprises.

* Investment – On the back of the finders’ fee and executive relief, immigration chiefs will look at new rules to attract entrepreneurs to Ireland ready to set up businesses.