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€1m local development companies cash redundancy scheme: memo to go to government

The Minister for the Environment, Community and Local Government Phil Hogan informed Michael Healy-Rae (ind, Kerry S) of the arrangements for redundancy for staff of local development companies due to budget cuts (Dail Eireann, Debates, 2nd July 2013, 449-450).  Funding for the programme may be used for redundancy in certain defined circumstances, he outlined and in 2009 and 2011 the department had already made available technical assistance to fund statutory redundancy costs.  Each company could spend up to 20% of programme spending on administration, including employment-related overheads.  Like other sectors of the economy, the voluntary and community sector has to deal with reduced funding and financial shortages.   The government was now considering a cash scheme: his department had began discussions with the Department of Public Expenditure and Reform and a memorandum would be brought to government.  Pending a decision, ‘provision for a redundancy support scheme for the sector had been made in the revised estimates for 2013’ (heading E.14, revised estimates, p 105 – ed.  The amount set aside is €1m).


Separately, Sean Kyne (Lab, Galway W) asked about a value for money report on local development companies undertaken by the Irish Local Development Network (Dail Eireann, Debates, 2nd July 2013, 461).  The minister, Phil Hogan, told him that the report was still in draft format and had yet to be approved by its executive committee.  It was expected to be completed shortly and forwarded to the alignment working group.  He also informed Sean Kyne that the future of the community fora, of which 34 had been established, would be considered in the context of alignment.


Later, the Minister for the Environment, Community and Local Government Phil Hogan told Niall Collins (FF, Limerick) that drafting of the Local government Bill 2013 was proceeding for the Putting people first policy and would be published in good time for enactment ahead of the 2014 local elections (Dail Eireann, Debates, 16th July 2013, 163).