Combating Youth Unemployment mployment Opportunities and Challenges for Ireland
February 2010 1
Contents
Preface
Executive Summary
Youth Unemployment in Ireland, Consequences & Characteristics
Proposals 1. Supporting Graduates Public Sector Work Experience Programme Work Experience and Placement Reforms in Third Level Education supports
2. Creating and Securing Jobs Supporting Private Enterprise Supporting Entrepreneurship Job Sharing Scheme
3. Training, Skills and Local Communities Reform of employment and training supports Society, Community and Voluntary Experience
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Preface
It is with great pleasure today that I launch ‘Combating Youth Unemployment’, an Ógra Fianna Fáil document of proposals to combat this pressing concern. Youth unemployment presents a great challenge for Ireland in 2010, with one third of people under the age of 25 out of work and youth emigration at its highest level in a generation. Today, Ógra Fianna Fáil is contributing a number of proposals to help combat the effects of youth unemployment. Ógra recognises the serious financial situation the State finds itself in today, and the policies proposed here are largely cost neutral. In developing its proposals Ógra Fianna Fáil looked at a range of policy options used in other jurisdictions around the world. The measures proposed are largely complementary to the re-negotiated Programme for Government and are in line with current Government fiscal strategy. Finally, I’d like to thank John Regan Ógra Policy Coordinator, Joseph O’Neill Leas Cathaoirleach and members of the National Youth Committee for compiling this important document. Young people have an important role to play and I know that Government is already considering some of the proposals contained herein.
Thomas Byrne T.D.
Cathaoirleach Ógra Fianna Fáil
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Executive Summary Over the past decade, the Irish government led by Fianna Fáil, have presided over a dynamic economy undergoing rapid change. The recent international downturn, credit crisis and domestic construction bubble collapse have dashed the hope of many young people. In the following sections, we are proposing some new schemes and reforms that we believe would be in the best interests of young people in Ireland. The sections have been divided up as follows: Supporting graduates; Creating and securing Jobs; Education, Training and the Community. An important consideration to be borne in mind when assessing policies to reduce unemployment among young people is cost. Many of the stimulus proposals currently put forward by the opposition parties and interest groups would require significant expenditures by the Irish Government. However, Ógra Fianna Fáil believes the problem of youth unemployment in Ireland is sufficiently serious to warrant a modest reallocation of funds towards programs intended to lessen the hardship of unemployment. Although governments must play a critical role in addressing youth unemployment, the private sector and community groups can also make a worthwhile contribution by cooperating with public policy initiatives and by developing voluntary programs to increase the opportunities available to young people to gain employment experience. In this document Ógra Fianna Fáil recommends the following: - A Public Sector Work experience programme be established - A Further Education loan scheme be established - Minimum wages be maintained at existing levels until 2012 - Bankruptcy reforms be introduced to stimulate entrepreneurship - Reforms to R&D tax credit to promote creation of jobs in R&D - A radical job sharing scheme to offer an alternative to lay-offs - FÁS and the VEC system be reformed into a State Training Service.
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Youth Unemployment, Consequences & Characteristics Youth unemployment1 in Ireland has risen from around 30,000 (’04 – ’07) to over 100,000 today. Coupled with the rise in unemployment has been a rise in emigration of young people from 15,000 per annum (’05-’07) to 29,000 (to April 2009, CSO estimate). These figure will likely rise over the coming year as further people emigrate to take up positions or look for jobs abroad. There may also be a rise in people returning to the country as foreign working visas come to an end or are not renewed.
100,000 90,000 80,000 70,000 60,000 50,000 40,000 30,000 20,000 10,000 0
All classes
2009M11
2009M09
2009M07
2009M05
2009M03
2009M01
2008M11
2008M09
2008M07
2008M05
2008M03
2008M01
2007M11
2007M09
2007M07
2007M05
2007M03
2007M01
Jobseekers allowance applications Jobseekers benefit claims
Youth unemployment affects the individual lives of jobless youth, but the effects transcend the individual. The economic, social and health effects of youth unemployment affect society on a macro level. The ”collective wellbeing”, which is families, communities and the nation, suffers as a result of youth unemployment. Financial problems are
among the most
tangible
effects of
youth
unemployment. Low incomes, coupled with a lack of acquired assets, place unemployed youth at a high risk of poverty. The cost to individuals, 1
Defined here as being under 25, using CSO statistics (seasonally adjusted)
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governments and the rest of society as a result of higher unemployment, lower incomes and other costs arising from early school leaving in Ireland are considerable. Youth is a period of significant change for individuals. It is a time when identity is formed, independence is often attained and a form of ‘political and civil citizenship’ is developed. Employment plays a crucial role in these changes. Independence is directly related to income. Even if individuals are not dependant on the state, they are usually dependant on family or friends. While income is important, the psychological benefits that usually accompany employment are also key factors in this developmental stage. Thus unemployment becomes a barrier, not only because of financial limitations, but also because individuals miss out on the sense of personal, social and adult identity that is derived from employment. Unemployment and the possible subsequent exclusion from society may result in low self-esteem, dependence, pessimism, life dissatisfaction, depression, and/or even suicide. Unemployment has been shown to affect an individual’s sense of well-being. Many studies have shown the correlations between ‘unemployment and low life satisfaction, low self-esteem, and high levels of anxiety, depression and suicide’.2 Two links between unemployment and crime are popularly discussed. One is the belief that boredom and other situational factors of unemployment increase opportunity for, and thus likelihood of, criminal activity. Another common view holds that if needs and wants cannot be sufficiently and legitimately met by employment, then individuals will seek illegitimate ways to meet these.3 It would be simplistic and overly reductive to argue that unemployment causes crime in a direct straightforward, without-exception fashion. Unemployment may be one influence on an individual’s likelihood of undertaking criminal activity. And, as with other aspects of disadvantage, youth unemployment may combine with other disadvantaging factors (e.g. socioeconomic disadvantage, duration of unemployment, prior criminal behaviour, early school leaving and 2
B. Headey, ‘The psychological Impact of Unemployment’, in P. Saunders and R. Taylor (eds), The Price of Prosperity, p. 213. D. Weatherburn, ‘The impact of unemployment on crime’ in P. Saunders and R. Taylor (eds), The Price of Prosperity, pp226- 248. 3
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weak links to the labour market) to result in criminal activity. A poor expectation of future employment prospects combined with a period of unemployment is more likely to result in criminal activity than the combination of unemployment with more positive expectation of future employment. For many unemployed youth, the above characteristics may be coupled with the first significant time in their life course where they are not subject to supervision and authority. They are without a significant degree of formal supervision and authority and without ‘place’ and occupation. Unemployed youth often have little, or no, experience in the labour market. While these challenges confront unemployed people of all ages, they are particularly adverse, and may be amplified, for youth. Once social effects have arisen, it becomes difficult for individuals to overcome these effects. Consequently, re-employment may be unlikely because of low self-esteem and isolation. Disillusionment may be such that some youth may opt out of the labour market altogether. These individuals may not only be lacking the human capital to gain employment, but also the networks. Youth who come from households where others are unemployed are less wellconnected to labour markets and potential labour markets. Their knowledge of paid work and the labour market is understandably limited. Full-time participation, even in the first year out of school, has been found to have long-term implications on the labour market outcomes of individuals. Youth who are unemployed, working part-time and not studying or outside the labour force in the first year after they leave school are much less likely to make a successful future transition into full-time employment. In the long-term, unemployed youth are also more likely to experience low hourly wages, under-employment, repeated unemployment and increased periods of unemployment. Unemployed youth are also less likely to find future employment because of the negative stigma surrounding unemployment. Future underemployment is known to be another consequence of youth unemployment. The longer an individual is unemployed the less working hours they are likely to get in the future and the more likely they will remain unemployed. Underemployment may entrench individuals in poverty.
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Proposals
Supporting Graduates
Creating and Securing Jobs
Training, Skills and Local Communities
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Supporting Graduates
1. Public Sector Work Experience Programme Ógra Fianna Fáil are proposing a new work experience programme to support college graduates and unemployed young people. Ógra Fianna Fáil recognise that many employers will not be hiring recent and upcoming graduates in many areas of the Irish economy over the coming year. However, we believe that when these employers are in a position to hire in the future, they would most certainly be interested in people who undertook something worthwhile when opportunities did not allow. This programme aims to be more than just an internship in the Public Service, and is aimed at the personal and professional development of Irish graduates who want to gain experience in the Public Sector (Civil and Public Service). Participants can be placed across the civil and public service to gain first hand experience at the work of the Irish Government, Departments or Public Service bodies. This intensive programme aims to equip the participants with team working and leadership skills, as well as work experience in their chosen area. The participants will be teamed up with a senior staff within each department or body. They will work independently and undertake job sharing. Participants will also work in teams with other participants on a group project, which will form an integral part of the Scheme. It is proposed that this scheme will supplement the existing summer employment schemes (replacing term time employees). There are currently 250,000 people employed in the Public Service and a further 110,000 employed through the Department of Health and Children, bring the total number of State employees to 360,000. Ógra Fianna Fáil are proposing an ambitious scheme which will have up to 20,000 participants on a rolling basis, with programmes lasting 3-12 months each. Participants retain their social welfare status, but receive the full rate of social welfare payment.
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Each Department and government funded body would have to put forward an internship programme that meets certain criteria, participation of the department or body would be mandatory. The number of interns will be directly linked to staffing levels in the Department or body. A specific number of interns could be placed in each primary and secondary school, depending on numbers enrolled and subjects offered. Departments or bodies can propose internships aimed at specific graduates and broad ranging schemes where the skills and educational background of each participant will be matched to the requirements of each section. The selection of participants would be the responsibility of the Public Appointments Service or the HR sections of the body.
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2. Work Experience and Placement Ógra Fianna Fáil has made several submissions to the Department of Enterprise, Trade and Employment regarding a work placement scheme in the past. The Work Placement Programme offers unemployed people, including unemployed graduates, the opportunity to obtain 6 months work experience while on a work placement with a company. While on the work placement participants retain their social welfare status and entitlements. We welcome the recent reforms that were introduced to the Work Placement Scheme in November. Ógra Fianna Fáil are now proposing further changes to the scheme that will see FÁS removed from this scheme so that employers can interact directly with potential employees. Currently unemployed people require approval from FÁS to part-take in this scheme. We propose that unemployment benefits would act as a voucher system that could be used when taking up such a position. We are also proposing that young people retain their social welfare status, but receive the full rate of social welfare payment while part of this scheme. Once a Work Placement has been agreed between an employer and employee, the employer would be required to register this placement with the Department of Family and Social Affairs. Ógra Fianna Fáil are also proposing that the three month requirement be removed to allow anyone receiving benefits to take part in this scheme. Ógra Fianna Fáil recommends that a database of potential applications be placed online containing people who are interested in taking part in the Work Placement Programme. This would allow employers to assess the availability of the skills they require for their business. Ógra Fianna Fáil believe work experience has significant advantages for young people who want to acquire skills in the workplace. One strategy to improve the employment prospects of young people is to make more use of work-study or the cooperative education concept. In some university and
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college courses, students spend a portion of their time in work assignments that may extend over a few weeks or months. This job experience may be obtained in either public or private sector institutions. Cooperative education offers many attractions for young prospective workers, and should be used more extensively. In addition, consideration should be given to greater use of cooperative education at second level, especially for students unlikely to go on to formal post-primary education. Ă“gra Fianna FĂĄil are proposing that job experience become a fundamental part of college courses such as Commerce, Engineering, Science and Social Science just as is fundamental to students of health science subjects.
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3. Reforms in Third Level Education supports Educational institutions and FÁS can do a better job of providing young prospective workers with the kind of information they need to participate effectively in the labour market, and to make rational educational and career choices well in advance of taking up a job. This is crucial for young people and initial entrants into the labour force, who often require career counselling and placement assistance. Young people must be made aware of current and projected
occupational
demands;
the
need
for
and
availability
of
apprenticeships, training and job-related educational programs; and the techniques for effective job searching. The private sector should cooperate by making available detailed occupational forecasts and other labour market information. Although better information about the labour markets will not solve the present problem of youth unemployment, it will benefit young people and the economy as a whole over the medium and long term. Ógra Fianna Fáil are also recommending that the Departments of Education and Enterprise, Trade and Employment undertake a study, examining the long-term labour requirements of each sector of the Irish economy, the availability of such workers and the skills and training needed to upskill unemployed people to fill such roles in the future. Ógra Fianna Fáil are proposing that the government ensure everyone has access to funds to attend college or further training. The state makes a significant investment in the third level education of students through the free fees initiative. However, in order to secure this investment in the human capital of young people it is necessary to ensure there exists sufficient access to loanable funds to attend further education courses. When applying to the CAO, many students will choose degree or diploma courses that may not have a direct path into a career or are broad in their study. These decisions are often made at the age of 17 or 18, when young people are undecided about their chosen career. Many students in these areas then specialise through graduate courses or conversion courses later in life. These graduate
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courses are expensive and money is usually borrowed, where the student does not qualify for a maintenance grant. Given the current state of the banking sector and the level of youth (graduate) unemployment; Ă“gra Fianna FĂĄil are proposing the government ensure everyone has sufficient access to funds to attend a graduate course or further training. The Department of Education should establish a Graduate and Parttime students Loan Scheme, allowing students to borrow funds directly from State institutions at a reasonable rate of interest. The scheme would allow for deferred payment of 12/24 months and be available to everyone.
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Creating and Securing Jobs
Ógra Fianna Fáil urges the Government not to engage in extensive job subsidy schemes (PRSI exemptions or wage subsidies) or other blanket labour market intervention schemes. It is the view of the National Youth Committee that large-scale interventions in the labour market have limited success and suffer from deadweight loss and substitution effects. The McCarthy Report, World Bank and other academic articles support this view. Similar schemes were used during the 1980’s with little effect, and their extensive use this time should be avoided. Measures like this, which erode the tax base and have little effect on employment, are a step in the wrong direction.
However,
employment
subsidies
aimed
at
the
long-term
unemployed or at those sectors of the Irish economy that are vulnerable due to the weakness of sterling should be supported temporarily through the downturn. Ógra Fianna Fáil has been a strong supporter of the National Minimum Wage since its introduction in 2001. The Minimum Wage is currently €8.65 and is one of the highest in Europe. It has helped lift thousands of young people and families out of poverty. Ógra Fianna Fáil rejects suggestions that a broad cut in the National Minimum Wage would be in the best interest of country. However we do support the recent changes proposed by the Minister for Labour regarding Employment Regulation Orders. Ógra Fianna Fáil recommends that the National Minimum Wage be frozen for 24 months, until 2012. 1. Supporting Private Enterprise It is the view of the Ógra Fianna Fáil that cutting business costs and the associated costs of doing business in Ireland would be a preferred way to support private enterprise. The best solution to unemployment is sustained economic growth and more competitive industries. The only basis for long-term job creation can be a
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strong economy. The creation of a climate in which economic and employment growth will occur must remain the government’s highest priority. Steps taken by the Government over the past year to promote investment, to enhance Ireland’s competitiveness, and to improve the fiscal position of the public sector are welcome steps forward. Success in achieving these objectives is the best guarantee of future jobs in Ireland. Ógra Fianna Fáil support the creation of the National Assets Management Agency, the Bank Guarantee Scheme and bank re-capitalisation. Getting our banks lending to the public and private enterprise must remain a priority for the Government. The Government has initiated the Employment Subsidy Scheme to support the retention of full time and part time jobs in viable enterprises that might otherwise be made redundant as a result of the impact of the global and financial economic crises. Employment subsidies of up to €200 per week per full time employee and €120 per week per part time employee are available for the first 26 weeks and then on a reducing scale. There is €65 million available to eligible enterprises. Ógra Fianna Fáil recommend that this scheme be broadened to include other specific sectors of the Irish economy, including those engaged in supply to exporting firms and those with a highly trained workforce. Ógra Fianna Fáil welcome the proposals made by the Commission on Taxation regarding the R&D tax credit. We believe businesses should be allowed to offset the credit against their corporation tax OR employers’ PRSI. The lack of flexibility regarding the tax credit should be addressed with immediate effect in the Finance Bill at no additional cost to the State. Ógra Fianna Fáil urge the government to ensure R&D grants are not cut over the next few years. In spite of the contraction in the public finances R&D grants are essential to creating high quality jobs. Maintaining such grants was key to the Finnish strategy during their banking crisis in 1991. In this regard we disagree with the views of the McCarthy report calling for a reduction in research investment. We also recommend that the Strategy for Science, Technology and Innovation be fully implemented.
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The programme of supports available to entrepreneurs through development agencies has been a key to Ireland’s success as business hub. A range of supports are available locally through City and County Enterprise Boards, regionally and nationally through Enterprise Ireland and other bodies. Ógra Fianna Fáil are recommending the streamlining of state agencies that support enterprise (Enterprise Ireland, IDA, County and City Enterprise Boards, Western Development Commission, Business Innovation Centres and LEADER) into a single body better aimed at the support of enterprise and creation of jobs. Merging these bodies would achieve significant savings in administration and property rental. Ógra Fianna Fáil also recommends that all business support / innovation funds be pooled together and simplified for business and potential entrepreneurs. A rationalization of such funds, with no reduction in the actual amount spent would produce significant savings in administration. Ógra Fianna Fáil are calling on the government to assist new and small firms through changes to government procurement policies. Existing EU rules provide significant latitude for government to be directive in their procurement policies in a manner that could benefit new and small Irish firms. 2. Supporting Entrepreneurship The Total Entrepreneurial Activity index (TEA) for Ireland is 7.6% (2008). This means that about one in 13 adults of working age in Ireland are currently engaged in early stage entrepreneurial activity. Ireland is to the fore in Europe in terms of its entrepreneurial activity rate. The recent decline in the international and national economy has had a knock on effect on the entrepreneurial
environment
and
on
the
opportunities
available
for
entrepreneurs and new enterprises. Ógra Fianna Fáil believe the current bankruptcy laws in Ireland are overly restrictive, outdated and hinder entrepreneurship. Many viable businesses and entrepreneurs have been hit by the lack of access to credit and the
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banking crisis. These entrepreneurs will play a vital role in the rebuilding of the Irish economy when economic growth returns. The European Commission has put forward the position that the legal systems of EU member states should be more favourable to business startups and should not stigmatise legitimate business failure as this stifles further entrepreneurial activity. Entrepreneurs learn from their mistakes and fresh starts should be facilitated. It states that a distinction should be drawn between fraudulent bankruptcies and non-fraudulent bankruptcies by legal systems. Legal proceedings should be simplified and made quicker; it recommends that proceedings should last a maximum of one year. Individuals who become bankrupt are penalized for 12+ years in Ireland, while in Britain bankruptcy penalties apply for 12 months. The bankruptcy procedure in Ireland is unwieldy, expensive and very heavily court controlled. The contrast with the various flexible and debtor friendly procedures available in England and Wales could not be starker. This more favourable legislation in the UK is hindering Irish business creation. In September 2009, the Law Reform Commission (LRC) produced a consultation paper on Personal Debt Management and Debt Enforcement that has made provisional recommendations relating to the reform of bankruptcy law in Ireland. Ógra Fianna Fáil recommend that these proposals are implemented as soon as possible. 3. Job Sharing Scheme Ógra Fianna Fáil are proposing a radical job sharing scheme, similar to WorkShare which exists across the US and in Germany. Under this job sharing scheme existing employees could be retained by an employer who has been forced to cut staffing levels. The employer would continue to hire existing workers on a reduced hours basis to meet the needs of the business. This reduction in hours could take the form of paid sick days, paid family leave, shorter working weeks or longer holidays. This would allow the
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employer to retain a experienced skills set within the business and avoid training costs. Employees who have their hours and wages reduced would receive a top-up using their social insurance (PRSI) contributions. Employers who reduce workers’ hours rather than laying them off could also receive a financial incentive. Such a job-sharing scheme could be adapted to allow for business employing new staff as businesses expand. We believe that the social costs of making 1 in 5 of a firms workers unemployed is greater than having all workers being underemployed by 20%. The total gross wage being received by the employee would not exceed ₏450 under this scheme, and taxes would be paid on the total amount of pay (wage & contributions top up). The businesses would be required to prove they are facing a difficult environment and capable of surviving the downturn in business. Benefits would last for 12 months, and be reviewed every 3 months. Employees would not have to file a claim or report to an unemployment office each week to show they’ve been looking for work, since they are still employed.
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Training, Skills and Local Communities
In addressing the unemployment problem, Ógra Fianna Fáil believe there must be improvements in the quality of labour market supports and information. In the case of young people, this might involve more careers counselling, better placement services, mobility assistance and, above all, improving skills training. Ógra Fianna Fáil support the recommendations of the McCarthy “Snip” report in its findings regarding Labour force activation measures. The report notes the fragmented nature of the State-funded employment services and recommends a single body be charged with such responsibilities.
1. Reform of employment and training supports The Irish government spends over €1 Billion annually on skills training and development through FÁS. A major concern with recent state training programs through FÁS has been that they do not reflect conditions prevailing in the Irish labour market. To a significant extent, people have received skill training in areas such as construction where jobs are now scarce and are not likely to materialize in significant numbers in the near future. Steps must be taken to align government-training programs more appropriately with the needs of the Irish and European labour markets. Ógra Fianna Fáil believe that the state should provide additions places in PLC and further education courses (rather than FÁS) as many existing FÁS courses do not have certification through the National Framework of Qualifications. Last year 60,000 jobseekers and school leavers applied for one of the 30,000 PLC courses available through the VEC. PLC courses offer students a chance to study for one year and provide an all round education with a certified qualification at the end. The vast majority of FÁS courses are shorter and provide no certified qualification at the end. In addition to this, PLC courses offer students the chance to progress in Higher Education
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courses, while in the main FÁS do not. It is the view of Ógra Fianna Fáil that FÁS should be merged alongside the VEC system into a single State Training Service. It is our view that a single body should be charged with this responsibility and other bodies be subsumed into the State Training Service or abolished. We are also recommending that the department responsibility for training, welfare and social services be conferred on one department, in line with OECD norms. Ógra Fianna Fáil are also proposing that the Department of Education and Department of Enterprise, Trade and Employment come together to provide a new range of day & evening courses to all adults and unemployed. Such courses would aim to up-skill everyone in the community and be available to all at low cost or free to medical card holders. New courses could include Introductions to Finance, Irish Law (Consumer, Contract etc), Economics, Business Management, European Languages, International Business and Environmental Awareness. The teachers required for such courses are available in the VEC system or through third level institutions. Courses would range from level 5-7 within the National Qualifications Framework. Lifelong learning for those in employment is essential for boosting productivity and enhancing competitiveness (Building Ireland’s Smart Economy report). The government has committed to providing training for people in employment through the National Training Fund. Ógra Fianna Fáil are calling on the government to ensure this fund is used to maximum benefit and that surplus funds which exist from 2009 (€205 million) should be released over the next 12-18 months. Ógra Fianna Fáil are proposing a change in the dynamic between the Dept of Enterprise, Trade and Employment, Dept of Education and Science and Dept of Family and Social Affairs. We are recommending that the position of Junior Minister for Labour Affairs being reformed to encompass Labour, Education and Social Welfare with responsibility for the Irish labour force, their training and welfare needs.
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2. Society, Community and Voluntary Experience Ógra Fianna Fáil believe that community organisations and voluntary bodies should be empowered to tackle unemployment directly in their area. Ógra Fianna Fáil are proposing a new system for the Community Employment Scheme. This scheme would empower community, voluntary and non-profit bodies4 to tackle unemployment in their area. These bodies would be allowed create schemes to undertake tasks in the local community that could otherwise go undone. Such schemes could cover a broad range of area’s and target specific types of unemployed people with different backgrounds, skills etc. Ógra Fianna Fáil recognise that different communities require different schemes to efficiently tackle youth unemployment. Allowing flexibility in the type, size and requirements of each scheme will maximise the effectiveness of these schemes. These schemes would be submitted to each local authority for initial approval and oversight, while the administration and management of the schemes would be the responsibility of the body. The people who apply for these positions would undergo an initial interview and selection procedures to ensure those best suited to the proposed scheme are selected. Participants retain their social welfare status and entitlements. Ógra Fianna Fáil believe voluntary and community bodies will benefit significantly from this proposal. Schemes focusing on promoting local tourism, helping young/older people learn new skills or undertaking tasks which otherwise go undone in the local community will all help local communities develop. Each scheme would be required to submit a detailed proposal to the local authority for approval. This proposal must state the requirements of each placement as well as the total number of placements being offered. 4
These could include, but are not limited to the following: Parish groups, voluntary bodies, local Chamber of Commerce, local groups (environmental, tourism, youth, education, health etc.), neighborhood groups and local authorities
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Participants would be required to work 20 hours a week, or 80 hours over a calendar month if the needs of the body require more flexibility. Participant bodies cannot be for profit or be in the process of laying off staff. Ógra Fianna Fåil believe the Department of Community, Rural and Gaeltacht Affairs should commission a report in how best to promote the use of Social Enterprise in Ireland. A social enterprise is a business with primarily social objectives whose surpluses are principally reinvested for that purpose in the business or in the community, rather than being driven by the need to maximise profit for shareholders and owners.�
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