Review urges new permit system for overseas seasonal workers

A new permit system allowing people from outside the European Economic Area (EEA) to work in the State temporarily in seasonal roles should be put in place, a review of Irish economic migration policy has found.

The review, to be published on Friday by Minister for Business Heather Humphreys, also calls for changes to the existing twice-yearly review of the list of occupations for which work permits can be granted.

The proposed reforms are aimed at making the system for securing work permits more flexible and responsive to emerging challenges.

Under the reforms, Government departments would have an active role in compiling a business case for permits within particular sectors when pressures emerge, with these then submitted to the Minister for a decision.

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This is likely to be modelled on a pilot scheme announced earlier this year for the agricultural sector which has seen 276 permits issued for meat processing operatives, dairy farm assistants and horticultural workers.

The employment permit system allows sectors to recruit workers from outside the EEA areas where labour shortages exist and staff cannot be recruited either domestically or from EEA countries.

Department of Business figures show 11,238 applications for employment permits have been received so far this year, up 29 per cent on the same period last year.

More than 8,000 permits have issued to date, an increase of 6 per cent over same period last year. Of these, 3,580 have been for critical skills employment permits and 2,466 have been for roles in information and communications technology.

‘Caution is needed’

The review maintains Ireland is "an outlier in not having a seasonal employment permit". It also calls for a review of existing income thresholds and other criteria for the various employment permit types.

The inter-departmental review maintains that while there is some evidence of a tightening labour market in some sectors, particularly for lower skilled, lower wage workers, there are 209,900 people on the live register, and a potential pool of 16.8 million unemployed across the EU.

“Therefore, caution is needed when considering whether to open up the labour market to unskilled non-EEA workers on wage levels at or just above the national minimum wage,” the report says.

“A significant concern is that employment permit holders working for relatively low levels of pay may influence the rate and conditions for other workers in the same occupations and sectors, ie wages may not increase in line with increasing productivity and/or there may be downward pressure on wage rates. Impacts would need to be closely monitored including any increases in demand for in-work State subsidies.”