The Tanaiste, Ms Mary Harney, wearing her hat as Minister for Enterprise, Trade and Employment will present proposals to Cabinet today to shake up the semi-state bodies serving industry. She is keen, she says, to end the "duplication and confusion" in the services provided by Forbairt, An Bord Trachtala and FAS and effect a merger of sorts which will manifest a new "dynamic" agency. The Tanaiste would want to tread carefully however. Bigger is not necessarily better.
Ms Harney should also avoid the temptation of proposing change for the sake of change. A restructuring of the semi-states was planned by her predecessor in the department, Richard Bruton. A re-structuring is planned by every Minister on arrival in the department and put into place by more than a few of them; it's called `leaving one's mark'. Unfortunately, the Ministers in charge of industry through the last two decades have, on average, stayed in the department for less than three years. They move on and, before the semi-states have properly got to grips with their new modus operandi, the next Minister proposes yet more change.
Ms Harney is right when she says that the present arrangement is "not an efficient approach". Forbairt's primary function is to foster the development of Irish industry but it also provides a range of science and technology services. The latter does not have to be within Forbairt which employs a total of 800; in fact, it doesn't have to be provided by the State in the first place. An Bord Trachtla is charged with providing Irish companies with marketing experience to break into foreign markets and it has 24 overseas offices. It provides development assistance which with ease could fit alongside Forbairt's development programmes.
FAS is accused all too often of providing training for jobs which don't exist and there is some truth in that. What is also true is that FAS has been cynically deployed by successive governments to artificially reduce the unemployment figures. Ms Harney says that FAS should focus on meeting the need of the unemployed. That is only half the picture. If it does not also focus on the needs of industry then employment potential will not be maximised. There are skills shortages which need to be tackled in this booming economy. Software development would be a good place to start.
Ms Harney is right in wanting to end the duplication. But it is hoped that her merger will give rise to streamlining rather than create another monolith. If Forbairt is just to swallow up An Bord Trachtala and part of FAS then it would be better if things were left unchanged. It is also to be hoped that, when the changes have been put into place, the next government doesn't tinker around again. Enterprise is not best served by constant change.