Address by Mr. Noel Treacy, T.D.,Minister for Science, Technology and Commerce,at the Launch of the Report of the North East Galway Teleworking Groupin Mountbellew Regional Development Co-operative Society Ltd.,Mountbellew, County Galwayon 27th November, 2000 at 7.00pm

I am delighted to have been invited here to launch your Report "Teleworking Initiative Business Plan for the North East Galway Teleworking Group". As the Report concerns the subject of telework, in which I have a long standing interest, I am particularly pleased to be here with you all.

I sincerely congratulate you on the initiative which you have shown in commissioning this Report. It is a clear indication that the people of North East Galway are keeping abreast of developments in this rapidly evolving digital age. I know that you are determined not to be left behind in the opportunities which it offers. As you know, advances in information and communications technologies are rapidly transforming many aspects of Irish business. As well as facilitating the growth of e-business and e-commerce, these technologies also open up the way to new forms of work organisation such as e-work or telework. Ireland’s young, computer-literate workbase puts this country in a strong position to capitalise on these developments and allows us to be at the forefront in implementing these innovative new work practices.

I personally believe that teleworking can be a powerful tool in both regional and rural development. The existence of employment opportunities locally can prevent migration to larger urban centres and stem the drift from the land. It can also counteract the under utilization of the valuable skills possessed by many people who are excluded from the workforce by reason of geographical disadvantage. In an era of skills and labour shortages, when problems of staff recruitment and retention are assuming greater importance for many employers, such a valuable potential resource cannot be ignored. Telework can assist in reversing the paradigm of the past, bringing work to the people rather than bringing people to the work.

I would like to congratulate all of those involved in preparing this Report. This study, which is a truly collaborative initiative, was commissioned by Glenamaddy Development Association, Mountbellew Regional Development Co-operative Society Limited and Kilkerrin/Clonbern Teleworking Group, and represents an excellent example of a self-help community initiative. The study was made possible, of course, by funding of £10,000 made available from Galway Rural Development, and was conducted by the consultants Foireann BDS, a Galway based team of specialist managers who have been providing a service to commercial, industrial and service sectors within the Irish economy for almost fifteen years.

This study was overseen by a steering committee with representatives from Galway Rural Development, Glenamaddy Development Association, Kilkerrin/Clonkern Teleworking Group, Mountbellew Regional Development Co-Operative Society Ltd, FAS and the Department of Social, Community and Family Affairs.

The purpose of this study was to evaluate the potential for a teleworking business in North East Galway, to prepare a regional business plan, and to give some general information regarding funding and business organizations and how to progress the early stages of the business. It was done in the context of regional development and the positive social impact associated with local training, employment and commercial success.

I understand that, as a result of this study, it is anticipated that two teleworking organisations will be formed in this region. The one in Glenamaddy will be organised on traditional business lines. The Mountbellew organisation will be established on worker co-operative principles, as Mountbellew Regional Development Co-operative Society feels that a teleworking enterprise, in a rural area, should serve social and community needs as well as commercial objectives.

This is an important step for the North East Galway region. It represents a concerted self-help initiative by the local communities. This Report contains an ambitious plan which will require hard work and dynamism to bring to fruition. A successful outcome to this project will help ensure that this region will be equipped to avail of the benefits of the e-services revolution.

National Advisory Council on Teleworking / e-Work Action Forum My personal interest in telework led me to establish the National Advisory Council on Teleworking in April of 1998. Its purpose was to advise me on the development of teleworking employment opportunities in Ireland. In response to the National Council’s Report, I established the Telework Action Forum, now called the e-Work Action Forum. The establishment of such a Forum was one of the key recommendations of the National Report. The new Forum provides a focal point for the ongoing development of an environment which will stimulate e-working employment opportunities. During 2000, good progress was made in progressing the recommendations in the National Council’s Report and I will refer briefly to the most significant.

e-Work Business Awareness Campaign Combating lack of awareness was identified as a crucial area for action in the National Council’s Report. For this reason, in April of this year, I launched Enterprise Ireland's e-Work Business Awareness Campaign. This Campaign aims to make business more aware of the benefits of e-working and to dispel apprehension and uncertainty surrounding its introduction. The Campaign is focusing on influencing business decision makers and prompting them to consider eWork as a conventional business solution. The campaign has also funded eleven companies to experiment with e-working and the results of this pilot are currently being evaluated.

Code of Practice An integral and important part of the Report of the National Council was a Code of Practice on Teleworking, which the Council recommended be endorsed by the Social Partners. The Code of Practice aims to encourage best practice in companies engaged in e-work arrangements, to the mutual benefit of both employers and employees. I am pleased to say that the Code has been endorsed by this Government, IBEC and ICTU, in fulfilment of a commitment in the Programme for Prosperity and Fairness. It was launched by me on the 10th May, last, as the "Code of Practice on e-Working in Ireland" and has recently won a major European Award.

Budgetary Submission Much of our taxation legislation was drawn up in an era before teleworking was contemplated. As a result, there are a number of anomalies in the tax code that create barriers to the up-take of teleworking. For this reason, there is a commitment in the Programme for Prosperity and Fairness that we will review relevant fiscal structures. As part of this process, the eWork Action Forum, our Department of Enterprise, Trade & Employment, Enterprise Ireland, and the Information Society Commission, jointly commissioned an evaluation from KPMG to examine the fiscal barriers to telework and to make recommendations as to what incentives might facilitate its uptake. Their Report " eWorking in Ireland Fiscal Barriers and Incentives" has been submitted to the Minister for Finance for his consideration in the context of the forthcoming budget. I believe that the adoption of the recommendations outlined in the Report would provide Ireland with an opportunity to establish itself as a world leader, as regards the creation of a favourable fiscal environment in which e-working can flourish. I can assure you that I will do my utmost to support the case for the introduction of measures which will contribute to this aim.