CUTTING down on unnecessary bureaucracy within government could help to create new jobs, according to the Manx government’s own quarterly economic report.
The report, issued by the Council of Ministers this week, says that a number of factors are helping create new jobs, but admits that there have been stumbling blocks which have deterred some outside investors from relocating their businesses to the Island.
“There is a genuine commitment to cutting unnecessary bureaucracy if it will help create jobs,” says the report. “Evidence is also emerging that Government’s efforts to assist businesses relocating to the Island, or international groups seeking to send staff to the Island on an intermittent basis, has worked, as the number of intermittent visitor permits being issued monthly has fallen by 80% in the first quarter of 2010 alone.
“It is hoped that this facility will continue to assist employers and thereby assist job creation going forward, as well as spreading the word further afield that the Island is an increasingly easy place to do business.”
The report adds that the Department of Economic Development currently plans to continue this process with a new Control of Employment Bill later this year.
The Council of Ministers also say that announcements by the Department of Trade and Industry (now the Department of Economic Development) in February and March 2009 concerning targeting work permit refusals towards new arrivals to the Island in five low skilled sectors where there is a clear availability of suitable Isle of Man workers, continues to limit local unemployment.
“In the twelve months to the end of March 2010 8,577 work permits were issued, compared to 9,174 during 2009. The Department of Economic Development continues to monitor the number of jobseekers alongside the number of vacancies in all sectors, and will continue to react appropriately if the employment situation deteriorates.
“It should be noted that in the five targeted sectors (Retail, Hospitality, Wholesale Distribution, Construction, and Office Administration) work permits are being issued for shorter periods (sometimes up to four permits in a 12 month period) and this has the effect of inflating the numbers of work permits issued. In reality the numbers of people who have work permits has fallen more than these numbers would suggest.”
Job creation in the Island remains at the long term average. In the last 12 months for instance the Jobcentre recorded 6,539 vacancies, which, whilst lower than the 2008 record of 7,700 vacancies, compares well to the preceding four calendar years.
The international economic slowdown has seen the Island affected by several well publicised redundancy announcements, but no further major announcements affecting large numbers of workers have occurred in the last quarter.
The slight fall in the number of jobseekers would appear to suggest that the Manx economy continues to replace lost jobs with new employment opportunities elsewhere in the economy, at a marginally faster rate than they are being lost.
The report adds, “There is room for some optimism that the average periods which a jobseeker will be out of work have now peaked, and it is anticipated that this may now fall marginally in the next quarter as the economic recovery takes hold, and as employment opportunities are preserved for Isle of Man workers, and those with a demonstrated commitment to the Island.
“There is also some evidence that jobseekers are using more opportunities to find work. The numbers of people registering with the new ‘Job Club’ at the fully refurbished Jobcentre has more than doubled in just six months to 471, and appears to be helping those who require basic skills training and access to a computer for on-line job applications.”
