Plea to save job creation scheme

Job creation body Connect Ireland has pleaded for the Government to extend its contract for attracting small business to Ireland after the IDA elected not to renew the scheme.

Plea to save job creation scheme

Launched in 2012, the Succeed in Ireland programme offered Irish citizens cash incentives if they introduced foreign business to Ireland. For every job created, the person who made the introduction would get €1,500.

The IDA has paid around €2m to Connect Ireland for incentive payments, with almost 530 jobs verified as created. Another 2,000 are in the pipeline, Connect Ireland says.

The contract runs out on Sunday and at the Oireachtas Jobs Committee yesterday, Connect Ireland made a pitch for a bridging contract to extend the scheme, directly asking the Department of Jobs to take over from the IDA.

Connect Ireland chief executive Joanna Murphy said Irish diaspora abroad found the decision not to renew the scheme “utterly perplexing” considering its cost-effectiveness. It was confirmed that every Connect Ireland job created costs €4,000 to the taxpayer.

Ms Murphy said the scheme had been of particular benefit to rural Ireland and that stopping the scheme would mean contact with 957 companies abroad would be lost. She added that such schemes were vital in the context of Brexit.

Department officer Richard Scannell told the committee a review of the scheme would be undertaken but that no decision had been made to shut it down. He added that the scheme was never supposed to be an indefinite one when introduced in 2012.

The IDA and Enterprise Ireland chose not to appear before the committee despite being invited, which led to trenchant criticism from TDs and Senators.

TD John McGuinness said their non-appearance was “shocking”.

He claimed the IDA would subsequently take over the leads established by Connect Ireland upon the contract’s completion.

“The level of arrogance shown by the IDA in not turning up is at a level I have not seen before,” he said.

TD Niall Collins said “momentum built up could be for naught”.

Senator Ged Nash said letting the scheme expire was “bizarre and reckless”.

Mr Collins said: “Why doesn’t the department step in and come to an arrangement with Connect Ireland? It beggars belief.”

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