Up to 5,000 extra job cuts in social employment programmes are threatened in a report by senior civil servants to be considered by the Government.
The report, which has been seen by The Irish Times, recommends the introduction of a revamped community employment scheme, but suggests other jobs programmes will have to be dropped to pay for it.
The net effect would be the loss of nearly 5,000 FÁS-supported jobs in addition to the 5,000 places cut from the community employment scheme this year.
Prepared by a group of high-level civil servants for a Cabinet committee, the report says "hard choices" have to be made on the future of the community employment scheme.
The committee is chaired by the Taoiseach, Mr Ahern, who said yesterday that the latest live register figures showed that unemployment remained "remarkably low".
Although the trend was down in August, the latest figures show 177,600 unemployed, some 12,400 higher than a year ago.
Mr Ahern said yesterday that the Government would do all it could through State job and training agencies to help those who had lost their jobs. His primary concern was for those who were losing jobs. "That is obviously very sad, and difficult for the individuals involved."
The report resulting from the civil servants' review, however, is likely to cause serious concern in communities already affected by cuts in a number of FÁS schemes.
It recommends that the job initiative scheme, which employs 2,200, be "phased out", and also contemplates axing the social economy programme, which supports 2,300 jobs.
As well as the job losses, cuts of that scale would severely hit a range of community services.
Most job initiative participants work in the community and voluntary sector, while the social economy programme is geared towards the provision of services in disadvantaged areas.
The report recognises that phasing out the two schemes would send many onto the live register and hit community services.
However, it says savings to be made from phasing out the two schemes could be reallocated to an enhanced community employment programme, with an increased focus on training and helping participants to progress to mainstream jobs.
Costs could be contained, it suggests, by requiring community employment participants to work 30 hours a week, instead of 19.5 hours as at present, for no extra pay. Typically participants would receive about €180 per week.
This could be justified, it says, because the extra hours would facilitate enhanced training and/or work experience, providing a "valuable opportunity" for participants to progress to mainstream jobs.
"However, such decision would be open to the charge that it effectively lowers the rate paid per hour."
The introduction of a 30-hour week would make it more difficult for many lone parents, who make up 25 per cent of current community employment participants, to take part in the scheme.
The report also recommends that participation in the community employment scheme be limited to one year, rather than three as at present. The number of participants should be maintained at or around the 20,000 places already envisaged for the end of this year.
The Cabinet committee on social inclusion is due to meet on October 1st, when it is expected to discuss the community employment scheme. It is understood that meeting may be brought forward.
