Youth unemployment and training
Deputy Fleming urged stronger action on youth unemployment and better vocational training, citing poor European rankings and calling for lessons from Germany, Switzerland and Austria. Minister Howlin said youth unemployment had fallen below 20%, outlined reforms replacing FÁS with SOLAS, and agreed more work was needed.
Youth unemployment is still double the rate it was at the start of the recession in 2008. The latest EU labour force figures show that Ireland is one of the ten European countries where youth unemployment exceeds 20%. The EU survey also shows that 15% of Ireland's youth were not in employment, education or training last year. If we take into account the thousands who were forced to emigrate, the figures for youth unemployment would be well over 30%.
CSO figures published last month show an overall unemployment rate in September of 9.4% and we all welcome the progress made to date. However, at the other end of the spectrum, the seasonally adjusted youth unemployment rate, which is defined as covering 15 to 24 year olds without a job, is now at 20.06%. In addition, the live register figures indicate that 65,600 people of all ages were on activation and training schemes and these are not counted in the jobless total.
The PricewaterhouseCoopers survey released this week pointed out that Ireland is losing billions because we are failing to tap into the potential of our youth. It points to high levels of unemployment and low levels of participation in job training, vocational education and apprenticeships. The PwC report also concluded that core European countries such as Germany, Switzerland and Austria offer the best role models in developing the potential of youth through a system of education and vocational training. We are many years behind these other countries. It is obvious that we are not tapping into the potential of our youth.
What joint action are the Ministers for Jobs, Enterprise and Innovation, Education and Skills and Social Protection taking? There are huge deficiencies out there. What are they doing to minimise the number of people who are falling through the labour net with the various good schemes we need to address the matter?
Comment on this
As the Deputy will know, the issue of job creation has been the absolute top priority for the Government since we came to office. We have reduced the unemployment rate from heading towards 500,000 when we came into office and 15.2% at its peak to 9.3% this week. This week's figures indicate that youth unemployment has fallen below 20% for the first time since 2009.
We are now at or just below the European average. We are not resting on our laurels; we have a job of work to do. There is a lot of joined-up thinking. A major initiative from the Department of Education and Skills will now, through the new ETB structure that we have established, focus on apprenticeships. An additional €10 million has been allocated to that area. There are a lot of young people who do not see the pursuit of normal academic degrees as their future. When one looks at a very successful country like Germany, it highly values apprenticeships and gives academic recognition to that. It is a path we are going to follow as well. I assure the Deputy that the issue of unemployment generally and youth unemployment in particular will continue to be the first objective of this Government.
Comment on this
This week's PwC report also pointed out that out of 34 countries surveyed in Europe, Ireland is ranked at No. 29. The league scores individual countries on their youth unemployment rates and their performance, for instance, in the vocational training to which the Minister referred. It is an indictment of our system that we are not catching up with the rest of the developed countries in Europe in tackling those issues.
We must acknowledge also that every effort should be made to facilitate youth, our greatest resource, and to channel young people into the proper training courses to meet the needs of industry. We must meet the needs of local SMEs and the needs of foreign direct investment companies, FDI, who are coming into this country and respond to the needs of the economy in general. We must also provide incentives and encouragement for the many emigrants whom we are striving to attract back to this country. The experience they have gained will be invaluable for the future of our economy. We must accelerate the programme to develop the skill sets and training, in particular vocational training to which the Minister referred. The industrialists who want to come into this country have pointed out the lack of the skill sets that are required for their specific enterprises.
Comment on this
We must meet the needs in that regard.
Comment on this
I am sure the Ministers to whom I referred are working together as cohesively as possible but we must step it up to a higher level. The Government must ensure that a survey is carried out on how certain European countries are getting such good results. We are lagging behind at the bottom end of the 34 countries surveyed.
Comment on this
It is all about the premierships.
Comment on this
That is a very bad and sad reflection on us that we have such a high percentage of youth unemployment and that we are not addressing the matter in a proper fashion. I urge the Government to look at the European experience and see whether we can learn from the likes of Germany, Switzerland, Austria, and the other efficient countries.
Comment on this
I again thank the Deputy and I fully agree with much of what he said. However, rather than rely on a PwC survey, the statistics I have given the Deputy are the official figures for this week from the CSO. I am pleased to report to the House that we are moving significantly in the right direction. One of the first things we did was to restructure the entire training platform by changing and abolishing FÁS and changing the nature and remit of the old vocational education committees. Instead of FÁS we have SOLAS and instead of the vocational education committees we now have the education and training boards, ETBs, with a new remit to deal directly with not only young people but people of all ages who need upskilling and training. SOLAS now deals with people who are unemployed for three months with bespoke, customised training based on their skill sets, desires and also the availability of job opportunities in their own region to provide for that.
I also assure Deputy Tom Fleming that the sort of joined-up thinking between the Department of Social Protection, the Department of Education and Skills and the Department of Jobs, Enterprise and Innovation that he recommended is being followed.