SOUTH EAST REGION EMPLOYMENT ACTION PLAN SPOTLIGHT ON THE SOUTH EAST DECEMBER 2011 2 Table of contents Table of contents 2 Executive Summary 3 1. Background
and Context 11 2. The South East Region An Overview 12 3. Assessment of Strengths and Weaknesses 28 4. Sectoral Performance and Potential 31 5. Unemployment
and Labour Activation Measures 45 6. Business Process Outsourcing & Shared Services and the South East Region 50 7. Higher education and Research 63 8. Local
Governance 70 9. Actions to Maximise Employment Creation 73 Appendix 1 81 Appendix 2 83 Appendix 3 88 Appendix 4 95
Appendix 5 99 Appendix 6 101 Appendix 7 102 SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS Executive Summary This report was prepared by Forfás following a request
Jobs, Enterprise and Innovation of 14 september 2011 for input to the preparation of an employment action plan for the South East region.
through both direct employment losses in building projects and in sub-supply. Unemployment currently stands at 18.2 percent, compared with the national average of 14.5 percent.
The closure of Talk Talk is a further set back to the south East region. The policy focus needs to remain over the next three to five year period on the continued upgrading of the existing base of enterprise.
There is a need to increase the contribution of employment and value-added from exporting manufacturing and internationally trading services enterprises,
A. Development of the Regional Gateway and Effective Promotion of the Region Waterford and the South East region have undergone a period of catch up in terms of infrastructure investment
and intensify promotion activities in the region. In co-operation with the CEBS additional Ideagen and Enterprise Start events will be held in the region in 2012 building on those in Q4 2011.
SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS The Enterprise Platform Programme to incubate early stage businesses will recommence in a new format in Q1 2012.
The Central Coordination Unit (CCU) within EI will work with the CEBS to ensure that resources are deployed best to support employment creation and maintenance.
A very close relationship is maintained with these clients by the Development Advisers and an intensive round of new meetings started in September.
to assess potential for exports and employment; 155 EI clients have been contacted over October/November 2011
indigenous investment and foreign direct investment SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS Internationally trading services.
and BPO activities in the South East region and to support the displaced Talk Talk workers.
IDA actions underway IDA is very active in seeking to win additional investment for Waterford utilising the skill sets of the Talk Talk employees, the ready-togo facility and the Gateway location
Indeed, some employers have offered employment to the existing employees in other regions within the country.
Enterprise Ireland actions underway EI is progressing a number of actions to support the Talk Talk workers impacted.
Initiatives to date included EI/CEB representatives were available to employees on site every Wednesday during September/October since the announcement of closure.
EI participated in an agency information day for employees held in September and is engaged in follow-up initiatives.
‘Idea generation'and start your own business workshops for employees of Talk Talk were held in WIT in Q4 2011 and additional workshops in co-operation with the Waterford CEB will be held in 2012.
Active liaison with outplacement consultants (working with employees on site) commenced in Mid september to identify potential start-up projects
Mentor appointed to one group of employees exploring business opportunity in call centre related activities. EI is undertaking a broader range of initiatives within the South East region to intensify their efforts on start-ups.
SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS D. Measures to Support the Recently Unemployed In the South East region there is a higher concentration of those with low levels of educational attainment within both the labour force
to assist job seekers with re-entry to the labour market and to support workers in redundancy situations.
In October 2011 Skillnets announced an investment of €250, 000 for the immediate provision of training for Talk Talk employees,
to be delivered through the CCMA Ireland Skillnet and Waterford Chamber Skillnet, which is welcome. The following labour market actions are proposed to assist in supporting those impacted by high rates of unemployment in the region:
D1. Upskilling Coordination The Up-skilling Coordination Group, which comprises Department of education and Skills, FAS, CEBS, relevant Iots,
Labour market Activation The merits of a further Labour market Activation fund should be considered given the unemployment rate in the region2.
In relation to future Springboard calls for proposals, consideration should be given to increasing the regional weighting in assessments to maximise the linkages in proposals with the current and future needs of employers within the region.
Skills upgrading for contact centre employees Skills upgrading initiatives for contact centre employees to be progressed, in particular for multilingual skills through Skillsnet.
On 17 october 2011 Skillnets announced an investment of €250, 000 for the immediate provision of training for Talk Talk employees,
European Globalisation Fund Continue to progress the application for workers who have lost employment to benefit for training and other support under the European Globalisation Fund.
Job Opportunities in personal services Review the potential for further employment in the personal services areas and any barriers to jobseekers taking up opportunities available in the region.
Almost a third of the new work permits issued in the region in 2010 were for personal service staff (domestic staff, caring,
health and childcare) and further scrutiny may be required of new applications for work permits for such personal service vacancies.)
SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS 1. Background and Context Introduction All of the regions in Ireland have potential for economic growth and employment creation.
It is critical that we focus on the potential within regions to position them as key contributors to Ireland's national growth and the creation of employment.
The announcement by Talk Talk to close its contact centre in Waterford City is a devastating blow to the workers concerned.
Waterford City and the wider South East region face a particular challenge in terms of job creation in the present climate, with an above average unemployment rate,
and sectoral potential with a view to focusing attention on specific actions required to support enterprise potential and employment creation.
and outlines specific actions that can be taken to maximise employment creation in the region in the short and medium-long-term. 12 2. The South East Region An Overview Demographic Profile The South
2011 (Preliminary Results) See data in Appendix 1 SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS Map 1:
In this context, the city exerts a limited influence within the region in terms of its relative scale, physical extent and labour force catchment.
A positive is that in 2006 (latest available data) the region had a higher proportion of its population aged under 15 (Appendix 1). SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS Economic Development
After a period of sustained growth, employment levels in the region have declined significantly over the past three years.
when employment peaked at 223,000. Unemployment levels in the region have increased and at 18.2 percent the South East currently has the highest unemployment rate amongst all of the regions,
having grown from a low of 4. 9 percent in 2007. Labour force participation rates have dropped from 62.7 percent in 2007 to 58.1 percent in 2011 (below the State average.
Numbers on the Live Register increased marginally from August 2010 to 2011 from 63,700 to 63,817.
Agriculture (primary production) remains a significant employer in the region, and at 9. 6 percent is more than twice the State average and the highest proportion across all regions.
Employment in industry has dropped considerably since 2007 (from 40,000 to 27,200 in 2011) this was the most severe drop in manufacturing employment outside of Dublin over the period in actual and percentage terms (Table 2). Table 2 Employment in Industry (Manufacturing
), all regions 2007,2011 and%Change 2007 (Q1)(‘000) 2011 (Q1)(‘000)% Change 2007-2011 Border 30.7 27.9-9. 1 Midland 21.8
QNHS, Q1 2007,2011 16 Although services employment has grown in the South East, at least in the period up to 2007,
Employment in the public sector has expanded and is at a similar level proportionally to the state average.
Table 3 Employment In services, South East 2007 & 2011 South East State 2007 2011 2007 2011 Public Sector4 42,300 19.4%49,300
CSO QNHS, Q1 2011 Agency supported employment5 represents the majority of employment in trading (exporting) sectors.
In 2010, agency supported employment in the South East stood at 32,188, representing about 17 percent of total employment in the region (on a par with the average nationally) 6. Of the total agency employment,
43 percent was provided in foreign owned firms, compared to approximately 50 percent nationally. The relatively larger impact of the indigenous sector is reflected also in the fact that 20 percent of all EI's‘large companies'in Ireland are based in the South East.
Figure 1 Agency supported employment 2001-2010 South East Source: Forfás Annual Employment Survey 2010 4 Public sector figure is indicative based on the combined NACE categories)( Public Administration),
P (Education) and Q (Human Health and Social work)- P&q may contain private sector employees 5 Employment in companies that are clients of the enterprise agencies;
Enterprise Ireland, IDA Ireland, Shannon Development and Údarás na Gaeltachta 6 Based on total employment reported in CSO QNHS Q1 2010 5,
000 10,000 15,000 20,000 25,000 30,000 35,000 40,000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 All Foreign
Irish SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS While agency supported employment grew over the 2005 to 2007 period,
Since 2007, employment in agency supported firms has declined by over 4, 000, with a very slight recovery over the 2009-2010 period.
whose total employment dropped by almost 3, 500 between 2007 and 2009. EI has 430 clients in the region employing 18,237 people, with exports of over €2. 2bn and purchases of €2bn in the economy.
Employment in Waterford in EI clients was 4, 982 in 2010 (30 percent of EI employment in the South East region), down from a peak of the last decade of 6, 339
Employment in Waterford has increased by 19 percent between 2001 and 2007 in EI firms. The process of structural change is ongoing in the region
and over the early 2000s there was a shift in employment to more modern sectors with growth in employment in indigenous internationally traded services enterprises and in more modern manufacturing.
Food sector employment declined slightly, but is still extremely important accounting for 42 percent of EI employment in 2010.
IDA clients have changed similarly in the region over the last decade with growth in new sectors including Lifesciences
Of IDA supported employment, 48 percent were in Waterford. There are 11 companies that had employed up to 1, 000 at mid-2011 in customer contact and business services operations in the region.
Employment in foreign subsidiaries in sectors such as engineering have stabilised at 1, 730. There were 11 investment/job announcements in the region from 2008 to 2011
Figure 2 Agency supported employment by sector, South East, 2001 & 2010 Source: Forfás Annual Employment Survey 2010 The agencies focus is on new sectors
and on transforming and improving the competitiveness of the existing base of firms. Figures 2 and 3 illustrate the main sectors of activity amongst agency supported firms.
although these have seen declines in employment over the period since 2001 (companies include Honeywell, G-Elit, Keenans, Butler Engineering, Burnside,
Figure 3 Agency supported employment by sector, South East, 2001 & 2010 Source: Forfás Annual Employment Survey 2010 Small firms and entrepreneurship There are 20,947 micro enterprises with less than 10 employees in the South East region and an additional 1,
556 small businesses with between 10 and 49 employee taken together this is about 11.5 percent of the total small enterprises in the State7.
The region has a proportionally higher number of people employed in micro enterprises (those employing less than 10) than the average for the State.
and employment overall in these firms has declined, and at a faster rate than the decline nationally (Appendix 1). 7 Based on Forfás analysis of CSO Business Demography data.
EMPLOYMENT ACTION PLAN FORFÁS The GEM entrepreneurship survey found that the level of early stage entrepreneurship within the South East (in 2008) was compared relatively high to other regions in Ireland.
and skills of all entrepreneurs through their participation in a variety of projects that are focused all on job creation and business growth.
and to date has 170 members, many very significant employers from the region. The projects that are currently up
between WIT and Aberystwyth University and between leading experts and network participants. The project is being undertaken by the Centre for Enterprise Development and Regional Economy (CEDRE), School of business, WIT in partnership with the School of management and Business, Aberystwyth University, Wales.
The Labour market and Skills Educational profile Overall educational attainment: In line with the trend nationally, educational attainment in the South East has increased over the past number of years.
there is a significantly lower percentage of those with higher level educational attainment in the labour force within the South East (34 percent of those in the labour market have third level qualifications
and/or traineeship type qualifications. Finally, the percentage of those with lower secondary and below in the labour force in the South East is high (23 percent) compared to the national average (19 percent), highlighting a significant proportion of those with relatively low skills.
This presents significant challenges from a labour market activation perspective, in that those with lower levels of qualifications are generally hardest to reach
and engage in activation and/or education and training programmes. Figure 4 Labour force by Highest Level of Educational Attainment-South East
State Source: FAS SLMRU/CSO QNHS Data Early school leaving: Recent Department of education data on education retention at secondary level indicates that regional performance on educational attainment is likely to 8%6%15%13%25%26%16%12
Labour force (employed+unemployed) by Educational Attainment Q1 2011 Other/not stated Third level (honours degree or above Third level non (honours degree Post leaving cert Higher secondary Lower secondary No formal/primary education SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS continue to improve in the South
East. The retention rate to Leaving Cert has improved to 84.7 percent in South Tipperary for the 2004 cohort
with many students seeing an increased emphasis on school completion in 2009/2010 compared to those that may have left school to take up employment in 2005-2006.
The retention rate of graduates within counties (i e. the percentage of graduates from a given county that have employment within that county) is an indicator of the availability of relevant employment for graduates.
Graduates originating from County Dublin generally find employment in this county (94 percent; Cork also demonstrates high rates of retention of employed graduates at 67 percent as does Galway with 57 percent.
In general, graduates who originate from other counties do not commonly find employment in their home county.
as with most other counties, find employment outside of their county of origin, with the main urban areas of Dublin, Cork,
Occupational Profile9 The occupational profile is reflective of overall skill levels within the workforce and the broad sectoral profile of employment.
On the other hand there is a higher share of employment in plant and machinery and in‘other'occupations in the South East‘other occupations include:
building and civil engineering labourers; processing labourers; farm workers and counter-hands and catering assistants. The occupational profile in the South East (as in all regions) has been affected by the economic downturn.
Persons employed in Craft and Related Occupations have declined by 49 percent in the South East
Employment in these types of occupations is highly dependent on personal expenditure in the local economy, which is impacted directly by employment losses more widely.
Notably, persons employed in higher skilled occupations in the South East, particularly Professional and Associate Professional and Technical Occupations,
have not been affected by employment declines to the same degree as the national picture. The number of people employed in Professional Occupations in the South East increased by 4, 000 from Q2 2007 to Q2 2010,
Equally of interest is the relative steadiness of employment in Clerical and Secretarial occupations in the South East
since 2007(+3 percent rise) compared to a 5. 7 percent decline in employment in this category nationally.
while employment has declined regionally and nationally indicates reasonable demand for these types of occupations in the South East.
SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS competitors. There are 18 towns in the South East with a population over 1, 500,
Completing the Atlantic corridor from Galway to Waterford (including the N25) remains an important medium-term priority for the development agencies to support sustained economic growth and job creation.
as it will increase the volume of water available to meet demand without necessitating significant capital investment in new water treatment capacity SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS to supply 9, 000 cubic metres
Substantial progress has been made with the development of the‘Viking Quarter'in the city centre which aims to enhance the SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS attractiveness of the city for tourism.
A Business Support Unit has been established within the City council to work alongside the enterprise agencies and undertake promotional activities for the City internationally.
SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS Weaknesses The region has a distinctive settlement pattern with five relatively large centres of population,
As part of this structural change, some industrial relations issues have achieved national prominence resulting in some reputation loss for the region.
in particular in the ICT sector, given the structure of the region's current industrial base there are absorptive capacity weaknesses to work with the research teams
and the region has a lower than average labour force participation rate. This presents a number of challenges for the region including reduced disposable income and its impact on the local economy and increased pressure on state services.
A particular challenge in reskilling those who have lost employment from sectors that have declined significantly. While levels of educational attainment have increased,
or Midwest region and given the current high levels of unemployment and structural change required in the region,
there may be a case for seeking to agree a revised State Aid designation with the EU. SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS 4. Sectoral Performance
and fishing (primary production) employs over 18,000 people in the South East, representing 9. 6 percent of total employment in the region (compared to 4. 6 percent nationally).
again considerably above the national average (food and drink represents 24 percent of agency employment in the South East compared with 16 percent nationally).
and are significant employers and exporters, including Glanbia, Greencore, AIBP, Bulmers, Irish Country Meats, and Slaney Foods.
and 24 Regional Planning Guidelines for the South East Region SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS It is critical that the recommendations of Harvest 2020 are advanced,
and new employment opportunities for skilled individuals emerging from activities in decline. The Environmental protection agency (EPA) is located in Co. Wexford
and to allow greater access to Irish small and medium sized businesses SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS reference sites for Ireland.
and cleantech sector which builds on the work of Irish Energy Research Council and the EPA research programmes27.
Employment in The irish and Foreign-owned exporting companies30 within the sector grew by almost four percent annually31 between 2001 and 2010, to over 8, 10032.
'30 Using enterprise agency supported companies as a proxy (Forfás, Annual Employment Survey, 2008) 31 Forfás Annual Employment Survey 2010.32 Ibid.
SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS technologies. The group has secured INTERREG IIIA funding to establish an'innovation network'of Lifesciences companies
and competition from lower cost locations will impact on employment levels overall and could result in a net reduction in employment within the region over the coming years.
The development of the Lifesciences sector in the South East should be considered in the context of the sector nationally.
HEI-industry research partnerships and through labour market dynamics. The South East is placed well to leverage its particular strengths in manufacturing to support the next generation of production.
and will require knowledge and expertise across a range of disciplines, 38 and an ability to work in multidisciplinary environments33.
An Enterprise Outlook 34 Regional Planning Guidelines for the South East Region SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS Family Fun:
In Co. Wexford €2. 4m has been invested in the National Heritage Park in Ferrycarrig and in improvement works at the Dunbrody museum in New Ross.
The continued development and promotion of such heritage sites in the region, of which there are many,
such as shared services, customer support and customer management, business process outsourcing, supply-chain/procurement, IT operations, human resources and finance/transaction processing.
Key Assets The South East has a lower than average proportion of employment overall in services activities.
employment in internationally traded services has been far more rapid. Employment levels in agency supported firms (typically internationally trading) almost tripled over the 2001 2010 period from a base of c. 2, 000 to over 5, 400.
Much of the growth is accounted for by investments by overseas companies into the region such as Sunlife Financial, State street, PFPC, Equifax and Citi,
the 35 ICT Software & Services are considered separately below SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS availability of skilled people as against a tighter labour market in Dublin,
The limited scope for SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS industry collaborative research within the region will require a continued outward focus by the HEIS on developing links beyond the region.
Employment in‘core'games companies39 amounted to over 2 000 at the end of 2010, representing a fivefold increase on the level estimated in 200440.
employment growth in Ireland, which could reach 4, 500 (in‘core'games companies by 2014).
SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS 5. Unemployment and Labour Activation Measures Regional Unemployment Profile42 Overall, employment in the South East has declined by 37,200 relative
Unemployment levels in the region have reached 41,600 or a rate of 18.2 percent. Younger age cohorts have been affected by employment declines to a higher extent in the South East
largely mirroring the national trend. Unemployment by Educational Attainment Unemployment is concentrated largely amongst those with lower levels of qualifications in the South East,
and this is more acute than the national picture. In Q1 2011, those with below third level educational attainment accounted for 85 percent of unemployment in the South East compared to 78 percent of unemployment in the State.
This indicates a higher concentration of those with relatively low skills in unemployment compared to the national picture,
while, on the other hand, those with third level qualifications in the region seem to be affected less by current adverse labour market conditions.
Unemployment by Age Cohort In the South East those aged under 35 account for 51 percent of total unemployment,
even though this cohort only accounts for 38 percent of the total labour force in the region, indicating a significant over-representation of younger people amongst the unemployment relative to their contribution to the labour market.
This largely mirrors the national average, with the under 35's accounting for 54 percent of total unemployment even though they only account for 39 percent of the labour force.
Labour market Activation 2010 Labour market Activation Fund A number of education and training providers from the South East were successful in tendering for services under the 2010 Labour market Activation Fund.
The Labour market Activation Fund is currently being evaluated in relation to programme outputs and outcomes Under the previous labour market activation programmes of 2009,
WIT provided 44 places at Level 7 & 8. Bachelor of science (Level 8) in Applied Computing 5 Places Bachelor of Engineering (Level 8) in Electronic Engineering 11
Places Bachelor of science (Level 8) Pharmaceutical Science 2 Places Bachelor of arts (Level 8) in Finance and Investment 9 Places Bachelor of science (Level 7) Information technology 17 Places 42 Refer to Appendix X for data tables 46 Table 5. 1 Education Providers
in the South East participating in the 2010 Labour market Activation Fund Initiative Provider/Programme Learning Outcome Digital Skills Academy Webactivate Programme,
SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS FAS will continue to increase and improve the training options available to Job seekers to assist with re-entry to the labour market.
FAS will continue to provide employment relevant training in the two training centres in the region, Waterford and Wexford,
and at the satellite at Kilcohanon the outskirts of Water ford. FAS has facilities to train apprentices for fourteen trades
from general engineering, core employment, welding, fabrication, hairdressing to information and communications technologies and has centres of excellence for training related to Motor Mechanics, Agricultural Mechanics and Heavy Goods Vehicle
Mechanics in the region. While financial allocations are yet to be finalized, FAS is estimating a budget spend for the Region of €18m for 2012, based on its assessment of the socioeconomic and industrial environment in the Region, together with research and analysis of employment opportunities in the South East Region.
Springboard 2011 The HEA Springboard initiative, aimed at assisting unemployed people to re-enter the labour market through the provision of part-time courses in areas of identified skills needs
had good participation by South East HEIS. Data on the level of enrolments are not yet available.
According to the Jobbridge website, on 2 december 2011, there were 189 employers from the South East advertising internships
European globalisation adjustment fund 2009 2011 A number of former Waterford Crystal employees were funded under the EGF and enrolled in WIT across a range of disciplines including social studies, visual art, electronic engineering, horticulture, recreation, arts and sports management.
the Department of education and Skills (DES) approved the mainstreaming of the Job seekers Support Programme (JSSP) in 2011.
which are in demand by industry combined with direct access to employers and the workplace. The initiative is aimed solely at the unemployed
and grant funded at 100 percent to ensure that job seekers can participate at nil additional cost in line with other available Labour market Activation Fund programmes.
Both the CCMA and the Waterford Chamber Skillnets have responded to the redundancy announcement at Talk Talk in Waterford.
The CCMA completed a Training Needs Analysis with the recruitment member companies and developed a prospectus of education programmes for Talk Talk employees to review
and request a place. Of the 230 Talk Talk employees that completed profile sheets for CCMA, about 25 percent were qualified to ordinary degree (Level 7) or higher,
while just over 60 percent had qualifications ranging from Level 3 to Level 6 (Higher/Advanced Certificate).
Waterford Chamber Skillnet held a Jobs Fair where member companies with job vacancies will meet with Talk Talk employees at end October.
which will allow them to provide for the training needs identified through their engagement with the Talk Talk employees.
On 17 october 2011 Skillnets announced an investment of €250, 000 for the immediate provision of training for Talk Talk employees,
Work permits issued in the South East43 The number of new employment permits issued in recent times is indicator of the demand for labour that could not be met from domestic or EEA sources.
There was a significant contraction in the number of new employment permits issued to workers in the South East region between 2004 and 2010 the number declined from approximately 940 to 270 reflecting the national trend.
There were just under 300 new work permits issued in the South East region in 2010. Most of the permits were issued to workers in the personal services occupations, agriculture related occupation, sales and healthcare.
A question arises, given the level of unemployment in the region, as to the basis for the issuing of new work permits in these areas.
Conclusions & Policy Implications From a labour market activation perspective the general trends of unemployment disproportionately affecting younger and lower skilled cohorts generally reflects the trend nationally.
However, there is a higher concentration of those with low levels of educational attainment within both the labour force
and the unemployed compared to the national average. This cohort is generally harder to reach
and engage. 43 See data in Appendix 3 SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS In addition,
the disproportionate declines in particular occupational groups Crafts/Plant and Machinery Operatives create additional needs given the unfavourable short term labour market outlook for sectors such as construction and traditional manufacturing.
A greater focus may be required in the provision of career guidance services and mapping out career paths,
Activation Activation measures aimed at improving the employability of unemployed persons by providing career assessment and guidance,‘progression pathways'of relevant job search, training, education and employment opportunities.
Industry and education and training providers need to work more closely together in the development and revision of course curricula to ensure that students have the most relevant skills upon entering the labour market.
Learnings from the 2010 Labour market Activation Fund which is currently being evaluated, should also be taken on board.
Work Placements: Structured internships and opportunities providing work experience opportunities within enterprise are hugely valuable in improving the success of students and job seekers.
Internships should have identified goals and outcomes with a particular focus on employability. The Jobbridge programme should be examined with a view to identifying best practice
and keep people close to the labour market. The effectiveness of the programme in reaching and engaging those that are unemployed also needs to be monitored.
Management capability has a positive effect on the level of upskilling undertaken by employees. 50 Acronyms BPO Business Process Outsourcing CC Contact Centre SSC Shared Services Centres
with a view to identifying the potential for immediate opportunity in the sector for the displaced workers.
The enterprise development agencies are taking steps to assist the displaced Talk Talk workers, and these are set out at the end of this chapter.
This shift will involve employment churn as lower end activities move offshore and new higher order investments are realised.
although it is difficult in the current climate to assess the overall net employment increases for these activities in the immediate term (see Appendix 5 recently advertised call centre posts).
From the perspective of FDI in shared services, IDA continues to work to attract Greenfield and expansion activities to Ireland45.
Evidence indicates that companies investing in shared services activities 44 A recent survey by CCMA indicates that 73 percent of the contact centre companies surveyed indicated that they anticipate a growth in employment.
or an expansion of an existing mandate e g. Centralised procurement functions or other HQ activities‘attached'to an existing manufacturing facility SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS
Gartner 2009 49 Gartner, 2009 SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS An Evolving Business model and Considerations for Ireland When BPO emerged as a sector originally in the 80s,
Virtual Call centre Technology also enables people to work from home, instead of in a traditional, centralised, call centre location.
SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS compliance requirements of different jurisdictions, which positions us well in terms of achieving growth in higher order,
In general, foreign investment is attracted to the scale of the labour pool, and availability of multilingual skills in an urban area,
At the same time, the mobile and generally younger workforce employed in SSC/Contact Centres is attracted to the urban area that offers a range of potential employers as well as a dynamic and vibrant quality of life.
SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS strategic business partner to their organisation and/or becoming recognised as a Centre of Excellence, particularly for knowledge intensive activities.
EI supports a cohort of 12 Irish BPO companies providing employment for over 4, 000 people today.
As a sector, BPO/Contact Centres experience high employee churn however, in more regional locations employee churn can be as low as 8 percent (compared with 20 25 percent in Dublin.
but also for skills and labour. 56 http://www. idaireland. com/news-media/announcements/58 Future growth opportunities exist particularly in the financial services sector
Irish firms are challenged to compete effectively because of the relatively high labour cost base here. Initial savings can certainly be offered,
The Contact Centre Management Association (CCMA) estimates employment of approximately 30,000 within contact centres in Ireland from within its membership companies which also includes a number that are supported by the development agencies.
& analysis undertaken by Amarach Consulting SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS to be complacent.
more sustainable employment opportunities, by: Embedding best practice, high quality standards, client-centric offerings and continuous improvements as the norm.
in what is a high employee churn sector is a real challenge. Often individuals see BPO/Contact Centre as offering limited career opportunities,
and financial management SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS The Forfás report Ireland's Advanced Broadband Performance
The Enterprise development agencies also continue to work with existing firms through transformational change initiatives:
The Prospecting team's work will focus on emerging export opportunities which the companies could hope to start generating revenue from in the next 2-5 years.
but also for their ability to work in a customer-oriented, continuously improving organisation. Ireland's strong cohort of SSC Masters should be leveraged, sharing best practice,
Agency Responses In relation to Displaced Talk Talk Workers66 IDA Ireland IDA has been very active in its quest to win additional investment for Waterford utilising the skill sets of the Talk Talk employees,
Indeed, some employees have been offered employment to the existing employees in other regions within the country.
IDA and the Department of education and Skills are working to secure EGF (European Globalisation Fund) support for the Talk Talk employees.
Enterprise Ireland Immediate Talk Talk Related Activities Undertaken Enterprise Ireland participated in the agency information day for employees held at end September 2011.
Idea generation and start your own business workshops for employees of Talk Talk in co-operation with the Waterford City Enterprise Board took WIT.
EI/CEB representatives were available to employees on site every Wednesday and CEBS are continuing discussions with a number of participants.
EI actively liaised with the outplacement consultants that were working with employees on site from Mid-september to identify potential start-up projects.
A mentor was appointed to one group of employees exploring business opportunity in call centre related activities.
SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS 7. Higher education and Research Waterford Institute of technology (WIT) Waterford Institute of technology is particularly strong among Iots in terms of enterprise relevance and linkages.
WIT has total staff of 906, with a core staff of 766,60 Exchequer funded research staff and 80 other specialist staff.
SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS research and work with other leading research centres. The centre continues to work across the entire research cycle from basic research to collaborative applied research,
and training for staff in local companies. Notable among these companies has been Sun Life where the program is currently upgrading the skills of around 30 Sun Life employees.
The TSSG has collaborated with 425 partners in 35 countries industry and academic partners working on funded projects.
Researchers at SEAM work with a diverse range of companies in the pharmaceutical biomedical and medical devices, electronics, aerospace, food, wood composites, consumer products and precision engineering sectors.
and is one of the largest ICT employers in the local region. The TSSG and WIT established Arclabs in response to the lack of a critical mass of ICT companies in the South East.
or HPSUS the majority of this work has been funded through EI's Innovation Voucher Scheme. The TSSG has created 11 spinouts in the mobile services/internet application space.
SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS Table 7. 2: Number of EI Innovation vouchers approved by county and year 2008 2009 2010 2011 Total Carlow 31 19 19 4 73 Kilkenny 16 19
and a Bachelor of science Degree in Good Manufacturing Practice and Technology on a part-time basis for employees from companies including Dawn Meats Group, Glanbia plc, Bausch & lomb, Inc.,Genzyme Corp.,IVAX
e g. its research training programme to healthcare workers and its co-ordination of a series of master classes for HSE hospital managers on healthcare management.
and researchers in the School of engineering have links with WRH orthopaedic consultants examining materials for biomedical applications. 68 In collaboration with Teagasc,
The Centre Manager, a WIT employee cooperates with Wexford County Enterprise Board and County Wexford Partnership to deliver education and training programmes for SME owners and industry in the Wexford area.
SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS Carlow College (St patrick's College) Carlow College currently has a student population of about 700 (full and part-time.
SFI will continue to work with IDA and EI to provide the people and ideas to underpin enterprise development in the region,
Employment and Economic Development; Population Growth and Settlement Strategy; Transportation; Environmental Issues, Water Services and Waste Management;
SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS Agriculture, Marine and Rural Development; Community Development; Recreation, Amenity and Culture;
interactive group of agencies and bodies involved in the promotion and encouragement of enterprise and entrepreneurship in the South East region:
This is a significant development from a tourism promotion point of view and enhancing the quality of life within the City.
SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS 9. Actions to Maximise Employment Creation The South East region had made much progress over the last decade in restructuring it's industrial base from a reliance on agriculture
Both EI and IDA had recorded employment and export gains over the period 2000-2007, in particular in new sectors for the region such as Lifesciences and international services.
The global recession and the collapse in the construction sector nationally has impacted the South East region particularly hard, through both direct employment losses in building projects and in sub-supply.
Unemployment currently stands at 18.2 percent compared with the national average of 14.3 percent. The closure of Talk Talk is a further set back to the south East region.
A. Development of the Regional Gateway and Effective Promotion of the Region Waterford and the South East region have undergone a period of catch up in terms of infrastructure investment
and intensify promotion activities in the region. In co-operation with the CEBS more Ideagen and Enterprise Start events will be held in the region in Q4 2011.
The CCU within EI will work with the CEBS to ensure that resources are deployed best to support employment creation and maintenance.
and Wexford SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS B2. Continued focus on sustainability and upgrading of existing enterprise base The analysis highlights a clear need for continued focus on securing the sustainability
A very close relationship is maintained with these clients by the Development Advisers and an intensive round of new meetings started week commencing 19th september In addition,
to assess potential for exports and employment. -continue to engage with call centre clients regarding potential business expansions.
SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS The Advisory Group on Small Business has highlighted the importance of management development for sustainability
and BPO activities in the South East region and to support the displaced Talk Talk workers.
IDA actions underway IDA has been very active in seeking to win additional investment for Waterford utilising the skill sets of the Talk Talk employees
Indeed, some employers have offered employment to the existing employees in other regions within the country.
Enterprise Ireland actions underway EI is progressing a number of actions to support the Talk Talk workers impacted.
Initiatives to date included EI/CEB representatives were available to employees on site every Wednesday during September/October since the announcement of closure.
EI participated in an agency information day for employees which was held on Friday 30 september. Further initiatives planned include:
Idea generation and start your own business workshops for employees of Talk Talk in co-operation with the Waterford City Enterprise Board took place in WIT
Active liaison with outplacement consultants (working with employees on site) commenced on 15 september to identify potential start-up projects
Mentor appointed to one group of employees exploring a specific business opportunity related to the call centre sector.
D Measures to Support the Recently Unemployed In the South East region there is a higher concentration of those with low levels of educational attainment within both the labour force
The following labour market actions are proposed to assist in supporting those impacted by high rates of unemployment is the region:
Labour market Activation The merits of a further Labour market Activation fund should be considered given the unemployment rate in the region70.
In relation to future Springboard calls for proposals, consideration should be given to increasing the weighting in assessments to the linkages between proposals and the current and future needs of employers within the region. 70 The South East received funding
Tipperary Institute, Waterford City VEC, Waterford Area Partnership and again in the Springboard 2011 LM activation call SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS D3.
Skills upgrading for contact centre employees Skills upgrading initiatives for contact centre employees to be progressed, in particular for multilingual skills through Skillsnet.
European Globalisation Fund Continue to progress the application for workers who have lost employment to benefit for training and other support under the European Globalisation Fund.
Job Opportunities in personal services Review the potential for further employment in the personal services areas and any barriers to jobseekers taking up opportunities available in the region.
Almost a third of the new work permits issued in the region in 2010 were for personal service staff (domestic staff, caring,
health and childcare) and further scrutiny may be required of new applications for work permits for such personal service vacancies.
SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS Appendix 1 Regional Population Statistics Table A1: Population change and density by region in Ireland 2002,2006, 2011 Source:
CSO, Census of Population, 2006 SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS Appendix 2 Economic/Employment statistics Table A4:
Employment and Unemployment in the South East & the State 2007-2011 State 2007q2 2008q2 2009q2 2010q2 2011q2 Persons aged 15 years and over in Employment (Thousand) 2113.9
2112.8 1938.5 1859.1 1821.3 Unemployed persons aged 15 years and over (Thousand) 103.1 126.7 264.6 293.6 304.5 Persons aged 15 years and over in Labour force (Thousand
63.7 62.5 61.3 60.7 South East 2007q2 2008q2 2009q2 2010q2 2011q2 Persons aged 15 years and over in Employment (Thousand) 223.4 225.4 203.5
192.2 187 4 Unemployed persons aged 15 years and over (Thousand) 11.6 14.6 35.1 42.6 41.6 Persons aged 15 years and over in Labour force (Thousand) 235
Employment by Sector in the South East and State, Q1 2011 Source: CSO QNHS 2011 (Q1) South East 2011 Q1 State 2011 Q1 South East percent State percent South East percent Change
. 4 Total 188.1 1804.1 100.0 100.0-0. 9-2. 9 SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS Table A6 Employment in Agriculture
SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS Table A9: Number of persons engaged in active enterprises by size and region, 2006 & 2009 2006 2009 CAGR 06-09%of national 06%national 09 All persons engaged
Number of employees in active enterprises by size and region, 2006 and 2009 2006 2009 CAGR 06-09%of national 06%national 09 All persons engaged
SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS Table A12 Retention of graduates within the region, class of 2008 (county of origin and percent retained in the same county) County of Origin
Class of 2008 90 Table A13 Distribution of Employment in the South East Region and State by Occupational group, Q2 2010 (Number, percent) Occupational group Southeast State Southeast
100 161,300 8. 4 8. 7 Plant And Machine Operatives 15,500 134,300 8. 1 7. 2 Other Occupations (Labourers) 20,300 138,300
10.6 7. 4 Other not stated-4, 600-0. 2 Grand Total 192,200 1, 859,100 100.0 100.0 SOUTH EAST EMPLOYMENT ACTION PLAN
FORFÁS Table A 14 Employment by Occupation South East and State Q2 2004 Q2 2010 South East q2 2004 q2 2005 q2 2006
100 19,700 20,800 17,600 16,100 Plant And Machine Operatives 19,200 18,500 22,100 21,600 22,300 17,600 15,500 Other Occupations (Labourers) 20,700 23,400
300 Plant And Machine Operatives 162,100 162,400 171,000 179,200 173,100 140,200 134,300 Other Occupations (Labourers) 175,300 186,200 201,700 203,800 187,300 144,100
FAS SLMRU/CSO QNHS Data 92 Figure A 15 Employment Permits issued in the South East 2004-2010 The number of new employment permits issued in recent times
There was a significant contraction in the number of new employment permits issued to workers in the South East region between 2004 and 2010 the number declined from approximately 940 to 270 reflecting the national trend.
Number of New Work permits Issued in the South East, 2004-2010 Source: Department of Enterprise, Jobs and Innovation.
According to table A16 overleaf, there were just under 300 new work permits issued in the South East region in 2010.
Most of the permits were issued to workers in the personal services occupations, agriculture relayed occupation,
SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS Table A16 Number of New Work permits Issued by Occupation and County in the South East, 2010 Occupational Category Carlow Kilkenny
0 0 Professional occupations, n e c. 0 0 3 2 1 6 Associate Professionals 2 3 23 2 1 31 Staff
Catering occupations 6 7 11 10 12 46 Domestic staff & related occupations 1 4 18 1 1 25 Health & childcare
workers & related 4 7 9 4 2 26 Skilled Trades 5 5 4 7 0 21 Butchers, meat cutters, boners
116 46 45 293 SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS Appendix 4 List of Major Infrastructure Projects completed 2004-2010 Extract from Regional
at Oak Park Facilitating works at St. Mullins New recreation hall in Bagenalstown New Town Parks in Carlow and Tullow New Civic Offices in Tullow Restoration of civic
Improvements to waste water and water supply to Kilkenny City Works have commenced on the water supply to Belview Port (completion 2010) Contract signed for Thomastown Waste Water Treatment Plant 96 Broadband
SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS Tallow Link Road Phase 1 Broadband MAN in Dungarvan Sludge Hub Centre at Dungarvan Sewerage collection
and northwest city area Water conservation rehabilitation works. Wexford Wexford Opera house Broadband MAN in Wexford Town M11 Gorey Bypass N30 Enniscorthy-Clonroche Holmestown Landfill & Civic Amenity Site New Ross
SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS Appendix 5 Contact Centre Recent Jobs Advertised jobs. ie web search 5th october 2011 The following provides insights into
Dublin Call-text solutions Dublin Sky Livewire Dublin Manpower Dublin Conduit Dublin Sportingbet. com Dublin CPL Managed Services Dublin Reed Recruitment
Dublin Meridian Global Services Dublin Roar Promotions Dublin Popgap Games Dublin Lex Consultancy Dublin Zynga Dublin SAGE Dublin UPS Dublin
Ireland Dublin Gala Networks Dublin Accenture Dublin Eircom Dublin SAP Dublin SOUTH EAST EMPLOYMENT ACTION PLAN FORFÁS Appendix 6 Business
knowledge-intensive Drivers Costs, Labour Value, time to market, scale flexibility Stage of Industry development Mature Relatively young,
A call centre operative requires strong communication skills involving active listening and an ability to empathise as well as basic telephone etiquette.
Computer literacy, language skills, ability to work in a team and leadership skills are all relevant.
HR and recruitment services Irish UNUM Carlow Services centre Foreign State street Kilkenny Fund administration and services centre Foreign Mycroft Waterford Financial services/Software.
Overtext Web Module V3.0 Alpha
Copyright Semantic-Knowledge, 1994-2011