Regional Co-Working Analysis 16112020 FINAL

Northern &Western Regional Assembly

REGIONAL CO-WORKING ANALYSIS

FOREWORD The outbreak of COVID-19 has had a profound impact on all of our working environments. In a matter of weeks, the operations of many private sector companies – whose activities were traditionally concentrated within urban areas – have been forced to suddenly shift to remote working, with companies utilising technology and adopting work practises in a manner and scale never seen before. With remote working very much becoming part of normal working patterns in certain sectors, it is clear that such changes have the potential to open up an array of economic and environmental opportunities for all of our regions. By supporting remote working, policy makers could help provide a wider range of options for workers and open opportunities for business solutions. This includes allowing some workers to live and work in geographical areas of their own choice, reducing business costs associated with commercial properties, staff retention and wellbeing benefits, access to a greater pool of applicants and talent, increasing productivity, reducing traffic congestion, enhancing quality of life and family time and

reducing the level of greenhouse gas emissions from car usage. From a strategic perspective, the ability of policy makers to utilise the potential benefits of remote working will also be a key factor in ensuring the vision and objectives of each Assembly’s Regional Spatial and Economic Strategy (RSES) can be implemented, allowing for effective economic development to be achieved across Ireland. In this regard, the development of urban centres of scale continues to be a crucial component in addressing regional imbalances and remote working has the potential to enhance the growth prospects of our Metropolitan Areas, Designated Regional Growth Centres and Key Towns, as defined by each Assembly’s RSES. Furthermore, remote working has the potential to provide greater employment flexibility to all private sector workers whose jobs are considered to be remote workable, which could enhance the quality of life offering of each of our regions; a key objective of each Assembly’s RSES. In the long term, the degree to which regions can capitalise on these potential benefits will depend on a variety of factors - including but not limited to - the availability of co-working hubs with high quality facilities and the provision of high speed broadband within such hubs.

WITH REMOTE WORKING VERY MUCH BECOMING PART OF NORMAL WORKING PATTERNS IN CERTAIN SECTORS, IT IS CLEAR THAT SUCH CHANGES HAVE THE POTENTIAL TO OPEN UP AN ARRAY OF ECONOMIC AND ENVIRONMENTAL OPPORTUNITIES FOR ALL OF OUR REGIONS.

Considering the potential use of co-working hubs in stimulating an inclusive economic recovery in our regions, the need to quantify the potential benefits of remote working across all of our regions has never been more important. In this context, the three Regional Assemblies of Ireland play a key role in advocating for policies and preparing research that will support regional development across Ireland. This involves providing advice and support to other appropriate public bodies of the regional implications of their policies and plans, with specific focus on planning and economic development. Under our remit, and in advance of the proposed “National Economic Recovery Plan” the three Regional Assemblies of Ireland are fully committed to utilising the potential benefits of remote working so all of our regions can experience an inclusive economic recovery.

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THE THREE REGIONAL ASSEMBLIES OF IRELAND

On this basis, and considering the need to quantify the potential benefits of remote working across all of our regions, the three Regional Assemblies of Ireland have prepared a “Regional Co-Working Analysis”. The purpose of the “Regional Co-Working Analysis” is to provide data that will assist in developing the potential of remote working in our regions. This will be achieved by using employment data from the CSO’s Q2 2020 Labour Force Survey and recent research from the European Commission 1 . The “Regional Co-Working Analysis”: 1. Identifies the actual number of private sector workers that are capable of operating remotely on a national and regional basis, as of Q2 2020 2. Estimates the number of private sector workers that are capable of operating remotely on a county basis, as of Q2 2020 3. Identifies the name, location and type of co-working hubs in each county in Ireland, as of September 2020 4. Provides a series of considerations that should assist policymakers in developing additional co- working hubs across Ireland In doing so, the three Regional Assemblies of Ireland will provide a greater level of data in the public domain - that may be complemented by further datasets and future analysis - informing policy makers of the remote working capabilities of the private sector across Ireland while providing details of existing co-working infrastructure on a county basis. That said, it is accepted that the “Regional Co-Working Analysis” will not provide the complete picture on remote working in Ireland. This analysis is only the beginning of a process that involves providing an evidence base to grow remote working - through the delivery of strategically located co-working hubs - and this will be an important component in the implementation of the economic strategy of each Assembly’s RSES, which will be delivered in partnership with relevant stakeholders. Further areas of analysis and research are required in order to build up an appropriate evidence base before specific recommendations can be outlined on how to grow remote working in Ireland. With this in mind, the three Regional Assemblies of Ireland have identified eight areas for consideration , the purpose of which is to identify how gaps in information can be addressed, commence a discussion on actions that could be taken and to establish an evidence-based approach to grow remote working. These eight areas of considerations should further inform policy makers of the next steps needed to deliver additional co-working hubs in line with the spatial and economic objectives of each Assembly’s RSES. It should be noted that certain considerations refer to financial incentives. In this regard, the intention is not to prescribe a direct course of action - at this early stage - but rather to begin a discussion on the best financial methods that will grow remote working. Therefore, the areas of considerations are: 1. Prepare detailed consultation with private firms in sectors that are capable of operating remotely, seeking their views on factors that need to be addressed to allow employees to work remotely from co-working hubs on a permanent basis. 2. Prepare a nationwide survey of the current capacity of co-working hubs – both privately and publicly owned – in consultation with the Department of Enterprise, Trade and Employment, Enterprise Ireland, the Regional Assemblies of Ireland and the Local Enterprise Offices. 3. Prepare a nationwide survey that identifies the ideal work location of private sector workers whose jobs are considered to be remote workable, while simultaneously identifying the up-to-date habits of commuters who have remote workable jobs.

1 https://publications.jrc.ec.europa.eu/repository/bitstream/JRC120578/jrc120578_report_covid_confinement_measures_final_updated_good.pdf

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REGIONAL CO-WORKING ANALYSIS

4. Explore the possibility of providing employers with a tax credit for every employee that is allowed to operate outside of its own head office in Ireland, as a means of encouraging private firms to let employees work in geographical locations of their own choice. 5. Enhance the level of funding provided to the “Regional Enterprise Development Fund” (REDF) in order to deliver more co-working hubs in line with the findings of the above consultation process. Such funding should also be delivered using local knowledge from appropriate local authorities and the Regional Assemblies of Ireland. Additional funding in this regard should be concentrated on delivering high quality co-working hubs of scale within or in close proximity to designated Regional Growth Centres and Key Towns as defined by each Assembly’s RSES and prominent rural communities.

THE PURPOSE OF THE “REGIONAL CO-WORKING ANALYSIS” IS TO PROVIDE DATA THAT WILL ASSIST IN DEVELOPING THE POTENTIAL OF REMOTE WORKING IN OUR REGIONS.

6. Explore a range of match funding opportunities for REDF projects that will deliver additional co-working hubs of scale within or in close proximity to Designated Regional Growth Centres and Key Towns as defined by each Assembly’s RSES and prominent rural communities. This could involve – but wouldn’t be limited to – encouraging private sector companies to provide an element of match funding for these type of REDF projects or possibly removing the 20 per cent match funding requirement for these type of REDF projects that will provide a sizeable economic uplift to a geographical area. 7. Utilise resources from the “European Regional Development Fund” to assist in developing high quality co-working hubs of scale within or in close proximity to designated Regional Growth Centres and Key Towns as defined by each Assembly’s RSES and prominent rural communities. Such funding should be delivered using the findings of the above consultation process and local knowledge from appropriate local authorities and the Regional Assemblies of Ireland. 8. Safeguard funding for the National Broadband Plan to allow for the delivery of up to three hundred “Broadband Connection Points” across Ireland, providing remote working opportunities in rural communities.

Ultimately, a sizeable proportion of the private sector workers that have been identified as being able to operate remotely may prefer to work from their own homes or from company offices that comply with public health guidelines. However, whether it be due to a lack of broadband, a desire to avoid long commutes or personal factors, a reasonable proportion of these private sector workers may wish to utilise co-working hubs as an alternative option. Providing greater employment flexibility to all private sectors workers capable of operating remotely can open up an array of economic and environmental benefits for our regions. In doing so, the provision of co-working hubs can act as a significant tool in facilitating the vision and objectives of each Assembly’s RSES, ensuring each of our regions can achieve effective economic development at a time when an inclusive economic recovery is needed now more than ever.

John Daly Economist of the Three Regional Assemblies of Ireland

Northern &Western Regional Assembly

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THE THREE REGIONAL ASSEMBLIES OF IRELAND

INTRODUCTION From a regional development perspective, sectors of the economy that can operate remotely open up an array of economic and environmental opportunities for every region in Ireland.

The ability of policy makers to utilise the potential benefits of remote working – and specifically co- working hubs – will be a key factor in ensuring the vision and objectives of each Assembly’s RSES can be implemented. Under our remit, and in advance of the proposed “National Economic Recovery Plan” the three Regional Assemblies of Ireland are fully committed to utilising the potential of remote working so all of our regions can experience an inclusive economic recovery. On this basis, and considering the need to quantify the potential benefits of remote working across all of our regions, the three Regional Assemblies of Ireland have prepared this “Regional Co-Working Analysis”. The purpose of the “Regional Co-Working Analysis” is to provide data that will assist in developing the potential of remote working in our regions. This will be achieved by using employment data from the CSO’s Q2 2020 Labour Force Survey and recent research from the European Commission. The “Regional Co-Working Analysis”: 1. Identifies the actual number of private sector workers that are capable of operating remotely on a national and regional basis 2 , as of Q2 2020 2. Estimates the number of private sector workers that are capable of operating remotely on a county basis, as of Q2 2020 3. Identifies the name, location and type of co-working hubs in each county in Ireland, as of September 2020 4. Provides a series of considerations that could assist policy makers in developing additional co-working hubs across Ireland In doing so, the three Regional Assemblies of Ireland will provide a greater level of data in the public domain that may be complemented by further datasets and future analysis.

Using data from the CSO’s Q2 2020 Labour Force Survey and research from the European Commission 3 , the Regional Assemblies of Ireland have identified the number of private sector workers that are capable of operating remotely on a national and regional basis as of Q2 2020. By collating this information with equivalent county data from Census 2016, the three Regional Assemblies of Ireland have also been able to estimate the number of private sector workers that are capable of operating remotely in each local authority area, as of Q2 2020. It should be noted that such research 4 also stated that the majority of workers involved in “Public Administration and Defence, and Compulsory Social Security” and “Education” were also capable of operating remotely, but these sectors were excluded as the primary focus of this analysis is with respect to the remote working capabilities of private sector workers. The focus on private sector workers was primarily for three reasons, namely:

1. Prior to the publication of the “Regional Co-Working Analysis”, there has been no

examination of the remote working capabilities of the private sector on a national or regional level, whereas the remote working capabilities of the public sector has been discussed through

the previous decentralisation process. 2. Remote working offers a significant

opportunity for the private sector to enhance its competitiveness, offer possible solutions to property constraints, lower operational costs, enhance staff wellbeing and employee retention, increase labour productivity while opening up a greater pool of applicants to available positions in the private sector.

NUTS 2 Regions of Ireland

2

3 Remote working is referred to as “Teleworking” in the European Commission Research: https://publications.jrc.ec.europa.eu/repository/bitstream/ JRC120578/jrc120578_report_covid_confinement_measures_final_updated_good.pdf 4 https://publications.jrc.ec.europa.eu/repository/bitstream/JRC120578/jrc120578_report_covid_confinement_measures_final_updated_good.pdf

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REGIONAL CO-WORKING ANALYSIS

3. The degree to which regions can develop and attract high valued private sector firms and individuals will be fundamental to a region’s ability to enhance its overall economic performance. Nevertheless, private sector workers that were deemed capable of operating remotely will be based on recent European Commission research 5 which identified sectors of the economy that were capable of remote working following the outbreak of COVID-19. Activities in the private sector that were capable of operating remotely are listed in Table 1. 6

Such sectors would be in line with the 2 digit NACE codes provided by the CSO’s Q2 2020 Labour Force Survey, allowing us to identify the number of private sector workers that are capable of operating remotely in the State but also for the three NUTS 2 regions of Ireland, namely:

The Northern and Western Region (Cavan, Donegal, Galway, Leitrim, Mayo, Monaghan, Roscommon, Sligo) The Southern Region (Clare, Cork, Kerry, Tipperary, Limerick, Waterford, Kilkenny, Wexford, Carlow) The Eastern and Midland Region (Dublin, Wicklow, Kildare, Meath, Louth, Longford, Westmeath, Offaly, Laois)

g

g

g

Table 1: Activities in the private sector that were capable of operating remotely

Figure 1: NUTS 2 Regions of Ireland

2 digit NACE codes Computer programming, consultancy and Information service activities (62,63) Financial service activities, except insurance and pension funding (64) Insurance, reinsurance and pension funding, except compulsory social security (65) Activities auxiliary to financial services and insurance activities (66) Legal and accounting activities (69) Activities of head offices management consultancy activities (70) Architectural and engineering activities; technical testing and analysis (71) Scientific research and development (72) Advertising and market research (73) Other professional, scientific and technical activities (74)

N O R T H E R N I R E L A N D

NORTHERN AND WESTERN REGION

EASTERN AND MIDLAND REGION

SOUTHERN REGION

Security and investigation activities (80) Activities of membership organisations (94)

Source: European Commission 6

5 https://publications.jrc.ec.europa.eu/repository/bitstream/JRC120578/jrc120578_report_covid_confinement_measures_final_updated_good.pdf 6 https://publications.jrc.ec.europa.eu/repository/bitstream/JRC120578/jrc120578_report_covid_confinement_measures_final_updated_good.pdf

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THE THREE REGIONAL ASSEMBLIES OF IRELAND

As evident from Table 1, many of these private sector workers are involved in high valued sectors such as “Information and Communication Activities”, “Financial and Insurance Activities”, “Professional, Technical and Scientific Activities” and “Administrative and Support Service Activities”. It should be noted that the workers that have been identified as having jobs that are capable of operating remotely relate to residents who live and work within their own regions as well as residents that commute to work in other regions. Prior to the outbreak of COVID-19, these type of private sector workers were rigidly tied to their physical place of work a factor which was – amongst other issues – contributing to traffic congestion, house price and rental inflation in certain areas, high greenhouse gas emissions from car usage and population imbalances across communities. However, the outbreak of COVID-19 has showed that these type of jobs are capable of operating remotely, highlighting the potential of developing additional co-working hubs in strategic locations across all of our regions, with the view of facilitating these type of workers in the long term and thereby assisting policy makers in addressing the above challenges. If possible, a sizeable proportion of these private sector workers may prefer to work from their own homes or from company offices that comply with public health guidelines. However, whether it be due to a lack of broadband, a desire to avoid long commutes or personal factors, a reasonable proportion of these private sector workers may wish to utilise co-working hubs as an alternative option. The “Regional Co-Working Analysis” will also inform policy makers of the name, location and type of co- working hubs that currently exist in Ireland, as of September 2020. To achieve this, the three Regional Assemblies of Ireland have – through desktop research and consultations with Local Enterprise Offices – identified the actual number of co-working hubs for each local authority area, as of September 2020. Local authorities are grouped by their respective NUTS 2 regions.

PRIOR TO THE OUTBREAK OF COVID-19, THESE TYPE OF PRIVATE SECTOR WORKERS WERE RIGIDLY TIED TO THEIR PHYSICAL PLACE OF WORK A FACTOR WHICH WAS – AMONGST OTHER ISSUES – CONTRIBUTING TO TRAFFIC CONGESTION, HOUSE PRICE AND RENTAL INFLATION IN CERTAIN AREAS, HIGH GREENHOUSE GAS EMISSIONS FROM CAR USAGE AND POPULATION IMBALANCES ACROSS COMMUNITIES.

It is accepted that “Regional Co-Working Analysis” will not provide the complete picture on remote working. Further areas of analysis and research are required. Taking this into account, the “Regional Co-Working Analysis” identifies eight areas of consideration. These will identify how gaps in information can be addressed, commence a discussion on actions that could be taken and help to establish an evidence- based approach to help progress remote working. By addressing these areas, policymakers can build a better picture of how to utilise remote working in a manner which could facilitate effective economic development across all of our regions, allowing for an inclusive economic recovery. It will also assist policymakers in developing additional co-working hubs across all of our regions, allowing high skilled workers to live and work in any geographical area of their own choice while opening up an array of economic and environmental opportunities for our regions.

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REGIONAL CO-WORKING ANALYSIS

Remote Working Capabilities – National and Regional Level

Using Q2 2020 data from the CSO’s Labour Force Survey 7 and the previously mentioned research from the European Commission, the three Regional Assemblies of Ireland identified 387,000 private sector workers that are capable of operating remotely in Ireland, implying that just over one in four private sector workers are capable of operating remotely 8 .

Of the national total, 91,300 were based in the Southern region as of Q2 2020, accounting for 23.6 per cent of the total number of private sector workers capable of operating remotely in Ireland. As a share of total employment in the Southern region, private sector workers that were based in the region and capable of operating remotely accounted for 12.8 per cent of all workers within the region, which was below the corresponding State average of 17.4 per cent. Of the national total, 42,100 were based in the Northern and Western region, representing 10.9 per cent of the total number of private sector workers capable of operating remotely in Ireland. As a share of total employment in the Northern and Western region, private sector workers that were based in the region and capable of operating remotely accounted for 11.3 per cent of all workers within the region, which was below the corresponding State average of 17.4 per cent.

As a share of the overall labour market 9 in Ireland, private sector workers capable of operating remotely accounted for 17.4 per cent of total employment in the State, as evident from Table 2. Of this total, 253,600 were based in the Eastern and Midland region as of Q2 2020, representing 65.5 per cent of the total number of private sector workers capable of operating remotely in Ireland 10 . As a share of total employment in the Eastern and Midland region, private sector workers that were based in the region and capable of operating remotely accounted for 22.3 per cent of all workers within the region, which was above the corresponding State average of 17.4 per cent. This is to be expected considering the Greater Dublin Area acts as an employment hub for remote workable sectors such as “Information and Communication Activities”, “Financial and Insurance Activities”, “Professional, Technical and Scientific Activities” and “Administrative and Support Service Activities”.

Table 2: The number of private sector workers capable of operating remotely, Q2 2020

Private Sector Workers Capable of Operating Remotely, as a % of all workers 11 in Geographical Area

% Share of Total Private Sector Workers Capable of Operating Remotely

Total Private Sector Workers Capable of Operating Remotely, Q2 2020

Geographical Area

Northern and Western Region

42,100

10.9%

11.3%

Southern Region

91,300

23.6%

12.8%

Eastern and Midland Region

253,600

65.5%

22.3%

State

387,000

100.0%

17.4%

Source: Regional Assemblies of Ireland calculations using CSO data

7 https://www.cso.ie/en/releasesandpublications/er/lfs/labourforcesurveylfsquarter22020/ 8 Total private sector workers in Ireland amounted to 1,412,500 as of Q2 2020, implying that 27.4% of private sector workers are remote workable based on our methodology. CSO data on the total number of private sector workers is only available on national level and not on a regional level: https://www.cso.ie/en/releasesandpublications/er/elcq/earningsandlabourcostsq12020finalq22020preliminaryestimates/ 9 Overall labour market includes both private and public sector workers 10 Employment relates to the resident population in employment and would include individuals that live and work in the same region and individuals that live in a certain region and commute to work in a different region 11 “All workers” includes both private and public sector workers

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THE THREE REGIONAL ASSEMBLIES OF IRELAND

the specific demands of an individual’s job, the ability of employers to ensure their commercial properties comply with public health regulations, the availability of essential equipment for workers, the availability of high quality co-working hubs within their region along with personal factors.

It is important to note that these figures should be considered the upper bound of the number of private sector workers capable of operating remotely. Ultimately, the actual number of workers that will be able to work remotely will depend on a number of factors - including but not limited to - the quality of broadband within their household, company policy,

Figure 2: The number of private sector workers capable of operating remotely, Q2 2020

NORTHERN AND WESTERN REGION

42,100

EASTERN AND MIDLAND REGION 253,600

SOUTHERN REGION

91,300

National Total 387,000

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REGIONAL CO-WORKING ANALYSIS

Figure 3: Private sector workers capable of operating remotely, as a share of total employment, NUTS 2 region, Q2 2020

NORTHERN AND WESTERN REGION

11.3%

EASTERN AND MIDLAND REGION

22.3%

SOUTHERN REGION

12.8%

National Average 17.4%

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THE THREE REGIONAL ASSEMBLIES OF IRELAND

Remote Working Capabilities – County Estimates Although the CSO is unable to provide detailed Q2 2020 employment data on a sub- regional 12 and county basis due to sample sizes, the three Regional Assemblies of Ireland have been able to estimate the number of private sector workers that are likely to be capable of operating remotely on a local authority basis, as of Q2 2020.

It is important to reiterate that employment figures quoted in this section relate to the usually resident population in each local authority area; which would include individuals who work and live in the same local authority area and individuals that live in a certain local authority area and commute to work in another local authority area. The potential number of private sector workers capable of operating remotely was notably high in local authorities with high populations, with the highest number of private sector workers capable of operating remotely likely to be in Dublin City (84,702 private sector workers), Dún Laoghaire-Rathdown (39,982), Fingal (34,178), Cork County (29,074) and South Dublin (27,614). Other local authorities that are likely to have a high number of private sector workers capable of operating remotely included Kildare (18,475), Meath (14,659), Wicklow (12,887), Limerick City and County (10,555) and Cork City (10,333).

This can be achieved by using the previously mentioned European Commission research 13 , the regional employment data outlined in the previous section and local authority sectoral employment data from Census 2016, which would be the latest available data with respect to sectoral employment on a local authority basis. As previously mentioned, research from the European Commission has identified which sectors are capable of operating remotely following the outbreak of COVID-19. Such sectors would be in line with the 2 digit NACE codes provided for employment data in each local authority area as part of Census 2016. This allows us to identify the number of private sector workers that were capable of operating remotely for each local authority area as of Census 2016, which can then be expressed as a percentage share of its respective NUTS 2 region at the time of Census 2016, as evident from Tables 7 to 9 in Appendix A. In order to estimate the number of private sector workers that are capable of operating remotely in each local authority area as of Q2 2020, we assume that each local authority area’s share of these type of workers within their own NUTS 2 region have remained unchanged since Census 2016. By applying these county ratios to the actual number of private sector workers capable of operating remotely at a NUTS 2 regional level as of Q2 2020, we can estimate the potential number of workers capable of operating remotely by local authority area 14 for this time period. Using this approach, the three Regional Assemblies of Ireland have estimated the number of private sector workers capable of operating remotely for each local authority area as of Q2 2020, as evident from Table 3 on page 11 of this analysis.

IT IS LIKELY THAT A TOTAL OF 186,476 PRIVATE SECTOR WORKERS IN DUBLIN WERE CAPABLE OF OPERATING REMOTELY.

As per these estimates, it is likely that a total of 186,476 private sector workers in the four Dublin local authorities were capable of operating remotely, while other urban oriented local authorities that are likely to have a high number of private sector workers capable of operating remotely included Limerick City and County (10,555 private sector workers), Cork City (10,333), Galway City (6,620) and Waterford City and County (5,761).

NUTS 3 regions of Ireland

12

13 Remote working is referred to as “Teleworking” in the European Commission Research: https://publications.jrc.ec.europa.eu/repository/bitstream/ JRC120578/jrc120578_report_covid_confinement_measures_final_updated_good.pdf 14 Local authority area as of Census 2016

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REGIONAL CO-WORKING ANALYSIS

Table 3: Estimated number of private sector workers capable of operating remotely, by local authority area, as of Q2 2020 15

Estimated Number of Private Sector Workers Capable of Operating Remotely

Ranking

Local Authority

1st

Dublin City

84,702

2nd

Dún Laoghaire-Rathdown

39,982

3rd

Fingal

34,178

4th

Cork County

29,074

5th

South Dublin

27,614

6th

Kildare

18,475

7th

Meath

14,659

8th

Wicklow

12,887

9th

Limerick City and County

10,555

10th

Cork City

10,333

11th

Galway County

9,739

12th

Louth

8,478

13th

Donegal

8,001

14th

Wexford

7,163

15th

Kerry

6,775

16th

Galway City

6,620

17th

Tipperary

6,396

18th

Clare

6,350

19th

Kilkenny

6,061

20th

Waterford City and County

5,761

21st

Mayo

5,043

22nd

Westmeath

4,461

23rd

Laois

3,888

24th

Cavan

3,346

25th

Offaly

2,953

26th

Carlow

2,831

27th

Sligo

2,803

28th

Roscommon

2,785

29th

Monaghan

2,383

30th

Leitrim

1,380

31st

Longford

1,322

Actual National Total (Q2 2020)

387,000

Source: Regional Assemblies of Ireland calculations using data from the CSO’s Q2 2020 Labour Force Survey / Census 2016 15

15 Local authority areas based on definitions as of Census 2016

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THE THREE REGIONAL ASSEMBLIES OF IRELAND

Co-Working Infrastructure The degree to which regions can capitalise on the potential of remote working will depend on a variety of factors - including but not limited to - the quality and strategic location of co-working hubs within its region. As part of this analysis, the three Regional Assemblies of Ireland have – through desktop research and consultations with Local Enterprise Offices – identified the estimated number of co-working hubs in each county in Ireland as of September 2020. Counties are grouped by their respective NUTS 2 regions and the following type of co-working hubs 16 – both privately and publically owned – are included in this analysis, namely:

ENTERPRISE AND CO-WORKING HUBS

Any hub whose primary remit is largely enterprise oriented and provides facilities and co-working desks that allows firms and workers to work remotely is included in our analysis. High degree of variation here as some hubs aim to accommodate anything from certain “High Potential Start Ups” with high quality Wi-Fi, co-working desks, online meeting and conference facilities, to hubs that will be far more modest by nature and simply aim to accommodate any kind of remote workers with some co-working desks, meeting rooms and good quality Wi-Fi. Such hubs may facilitate some community activities but the overall remit of these hubs is largely enterprise oriented, allowing businesses and workers to work remotely with a reasonable degree of business supports available.

COMMUNITY HUBS

Any hub whose primary remit is largely community oriented but also provides some co-working desks and Wi-Fi to allow workers to operate remotely - albeit on a relatively small scale - is included in our analysis. Only community hubs that provide co-working desks to workers are included in our analysis and the majority of these hubs will be based in rural areas. Any community hub that only facilitates community activities (i.e. community meetings, teaching etc.) and do not facilitate remote workers are not included in our analysis.

HIGHER EDUCATION AND KNOWLEDGE INTENSIVE HUBS

Any hub whose remit is largely research and knowledge intensive and provides facilities and co-working desks that allows relevant and knowledge intensive firms and workers to work remotely is included in our analysis. Such hubs would include relevant knowledge intensive businesses and workers who may have some strategic relationship to a Higher Education Institute. Many of these hubs will be based in the campuses of Higher Education Institutes.

16 Hubs that exclusively facilitate businesses are not included in this analysis. Only hubs that facilitate both businesses / remote workers or solely remote workers are included in this analysis

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REGIONAL CO-WORKING ANALYSIS

To allow for consistency of reporting across public bodies, our three listed groupings are a high level agglomeration of the five hub classifications reported by the Atlantic Economic Corridor (AEC) Enterprise Hubs Project 17 . It is important to note that this analysis only includes the number of co-working hubs that were available as of September 2020. Additional co-working hubs are expected to become available by the end of 2020, but these hubs have not been included in this analysis unless they were expected to become available by the end of September 2020. Through our research, it was found that the vast majority of these co-working hubs continue to operate and provide remote working spaces. That said, a very small number of these co-working hubs have closed since the outbreak of COVID-19. Nevertheless, due to the ever-changing nature of the COVID-19 crisis, we have included these co-working hubs as there may be potential for them in the future, depending on the prevalence of COVID-19 in the coming years.

IN THE LONG TERM, THE DEGREE TO WHICH REGIONS CAN CAPITALISE ON THESE POTENTIAL BENEFITS WILL DEPEND ON A VARIETY OF FACTORS - INCLUDING BUT NOT LIMITED TO - THE AVAILABILITY OF CO-WORKING HUBS WITH HIGH QUALITY FACILITIES AND THE PROVISION OF HIGH SPEED BROADBAND WITHIN SUCH HUBS.

17 The Assembly’s grouping titled “Enterprise and Co-Working Hubs” includes hubs that the AEC would classify as “Co-Working Hubs”, “Enterprise Hubs” or “Scaling Hubs”. The Assembly’s grouping titled “Community Hubs” includes hubs that the AEC would classify as “Community and Enterprise Hubs”. The Assembly’s grouping titled “Higher Education and Knowledge Intensive Hubs” includes hubs that the AEC would classify as “R&D Hubs”. https://www.atlanticeconomiccorridor.ie/hubs-map/

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THE THREE REGIONAL ASSEMBLIES OF IRELAND

Northern and Western Region’s Co-Working Hubs As evident from Figure 4, the three Regional Assemblies of Ireland identified a total of 67 co-working hubs – both privately and publicly owned – in the Northern and Western region, as of September 2020.

As previously stated, the Regional Assemblies of Ireland identified 387,000 private sector workers that are capable of operating remotely in Ireland, with 42,100 of these workers already based in the Northern and Western region. Furthermore, the Regional Assemblies of Ireland – using the above figures, research from the European Commission 18 and data from Census 2016 – estimated the number of private sector workers that are capable of operating remotely in each of the local authorities based in the Northern and Western region, as evident from Table 4.

In terms of local authorities, the highest number of hubs were located in Mayo, with 12 co-working hubs identified in the county as of September 2020. This was followed by Galway County and Donegal (11 Co- Working Hubs each), Leitrim (9), Galway City (8), Roscommon (7) and Sligo (5). The lowest number of co-working hubs were located in Cavan and Monaghan, with 2 co-working hubs located in each of these counties as of September 2020.

Table 4: Estimated number of private sector workers that are capable of operating remotely in the Northern and Western Region, Q2 2020

Estimated Number of Private Sector Jobs Capable of Operating Remotely

Local Authorities

Galway County

9,739

Donegal

8,001

Galway City

6,620

Mayo

5,043

Cavan

3,346

Sligo

2,803

Roscommon

2,785

Monaghan

2,383

Leitrim

1,380

Northern and Western Total

42,100

Source: Regional Assemblies of Ireland

18 https://publications.jrc.ec.europa.eu/repository/bitstream/JRC120578/jrc120578_report_covid_confinement_measures_final_updated_good.pdf

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REGIONAL CO-WORKING ANALYSIS

Figure 4: Estimated number of Co-Working hubs, as of September 2020 and number of remote workable private sector jobs as of Q2 2020, in the Northern and Western Region

Donegal 8,001 Jobs 11 Hubs

Mayo 5,043 Jobs 12 Hubs

Sligo 2,803 Jobs 5 Hubs

Monaghan 2,383 Jobs 2 Hubs

Cavan 3,346 Jobs 2 Hubs

Leitrim 1,380 Jobs 9 Hubs

Roscommon 2,785 Jobs 7 Hubs

Galway City 6,620 Jobs 8 Hubs

Galway County 9,739 Jobs 11 Hubs

Hub Categories:

Degree of remote working capabil

Enterprise and Co-Working Hub

Higher Education and Knowledge Intensive Hub

Community Hub

Lowest

High

15

THE THREE REGIONAL ASSEMBLIES OF IRELAND

Eastern and Midland Region’s Co-Working Hubs As can be seen from Figure 5, the three Regional Assemblies of Ireland identified a total of 158 co-working hubs – both privately and publicly owned – in the Eastern and Midland region, as of September 2020.

As previously stated, the three Regional Assemblies of Ireland identified 387,000 private sector workers that are capable of operating remotely in Ireland, with 253,600 of these workers already based in the Eastern and Midland region. The three Regional Assemblies of Ireland – using the above figures, research from the European Commission 19 and data from Census 2016 – were also able to estimate the number of private sector workers that are capable of operating remotely in each of the local authorities based in the Eastern and Midland region, as evident from Table 5.

Just under half of these hubs were located in Dublin City, with 75 hubs identified in its local authority area. This was followed by Dún Laoghaire-Rathdown (17 co-working hubs), Fingal (11), Wicklow (10), Louth, Laois (both 9), South Dublin (8), Kildare (7), Westmeath, Offaly and Meath (all 4). Although Longford has a few projects expected to come on stream in the foreseeable future, the county had no registered co-working hub as of September 2020.

Table 5: Estimated number of private sector workers that are capable of operating remotely in the Eastern and Midland Region, Q2 2020

Estimated Number of Private Sector Jobs Capable of Operating Remotely

Local Authorities

Dublin City

84,702

Dún Laoghaire-Rathdown

39,982

Fingal

34,178

South Dublin

27,614

Kildare

18,475

Meath

14,659

Wicklow

12,887

Louth

8,478

Westmeath

4,461

Laois

3,888

Offaly

2,953

Longford

1,322

Eastern and Midland Total

253,600

Source: Regional Assemblies of Ireland

19 https://publications.jrc.ec.europa.eu/repository/bitstream/JRC120578/jrc120578_report_covid_confinement_measures_final_updated_good.pdf

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REGIONAL CO-WORKING ANALYSIS

Figure 5: Estimated number of Co-Working hubs, as of September 2020 and number of remote workable private sector jobs as of Q2 2020, in the Eastern and Midland Region

Meath 14,659 Jobs 4 Hubs

Longford 1,322 Jobs 0 Hubs

Louth 8,478 Jobs 9 Hubs Fingal 34,178 Jobs 11 Hubs South Dublin 27,614 Jobs 8 Hubs

Westmeath 4,461 Jobs 4 Hubs

Offaly 2,953 Jobs 4 Hubs

Dún Laoghaire-Rathdown 39,982 Jobs 17 Hubs

Laois 3,888 Jobs 9 Hubs

Kildare 18,475 Jobs 7 Hubs

Wicklow 12,887 Jobs 10 Hubs

Dublin City 84,702 Jobs 75 Hubs

Hub Categories:

Degree of remote working capability:

Enterprise and Co-Working Hub

Higher Education and Knowledge Intensive Hub

Community Hub

Categories:

Degree of remote working capability:

Lowest

Highest

Enterprise and Co-Working Hub

Higher Education and Knowledge Intensive Hub Lowest Degre of remote working capability:

Community Hub

Highest

Higher Education and Knowledge Intensive Hub

Community Hub

Lowest

Highest

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THE THREE REGIONAL ASSEMBLIES OF IRELAND

Southern Region’s Co-Working Hubs As evident from Figure 6, the three Regional Assemblies of Ireland identified a total of 105 co-working hubs – both privately and publicly owned – that were located in the Southern region, as of September 2020.

91,300 of these workers already based in the Southern region. Furthermore, the three Regional Assemblies of Ireland – using the above figures, research from the European Commission 20 and data from Census 2016 – estimates the number of private sector workers that are capable of operating remotely in each of the local authorities based in the Southern region, as evident from Table 6.

In terms of Local Authorities, the highest number of co-working hubs were located in Cork City and Cork County (17 in each). This was followed by Limerick City and County (14), Kerry, Waterford City and County (both 13), Clare (11), Wexford, Carlow (both 6), Tipperary and Kilkenny (both 4). As previously stated, the three Regional Assemblies of Ireland identified 387,000 private sector workers that are capable of operating remotely in Ireland, with

Table 6: Estimated Number of private sector workers capable of operating remotely in the Southern Region, Q2 2020

Estimated Number of Private Sector Jobs Capable of Operating Remotely

Local Authorities

Cork County

29,074

Limerick City and County

10,555

Cork City

10,333

Wexford

7,163

Kerry

6,775

Tipperary

6,396

Clare

6,350

Kilkenny

6,061

Waterford City and County

5,761

Carlow

2,831

Southern Total

91,300

Source: Regional Assemblies of Ireland

20 https://publications.jrc.ec.europa.eu/repository/bitstream/JRC120578/jrc120578_report_covid_confinement_measures_final_updated_good.pdf

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REGIONAL CO-WORKING ANALYSIS

Figure 6: Estimated number of Co-Working hubs, as of September 2020 and number of remote workable private sector jobs as of Q2 2020, in the Southern Region

Limerick City & County 10,555 Jobs 14 Hubs

Tipperary 6,396 Jobs 4 Hubs

Kilkenny 6,061 Jobs 4 Hubs

Carlow 2,831 Jobs 6 Hubs

Clare 6,350 Jobs 11 Hubs

Wexford 7,163 Jobs 6 Hubs

Waterford City & County 5,761 Jobs 13 Hubs

Cork City 10,333 Jobs 17 Hubs

Kerry 6,775 Jobs 13 Hubs

Cork County 29,074 Jobs 17 Hubs

Hub Categories:

Degree of remote working capabil

Enterprise and Co-Working Hub

Higher Education and Knowledge Intensive Hub

Community Hub

Lowest

High

19

THE THREE REGIONAL ASSEMBLIES OF IRELAND

Areas of Consideration The ability of policy makers to utilise the potential benefits of remote working – and specifically co-working hubs – will be an important factor in ensuring the vision and objectives of each Assembly’s RSES can be implemented, allowing for effective economic development to be achieved across Ireland.

Furthermore, the potential of remote working could provide greater employment flexibility to all private sector workers whose jobs are remote workable, enhancing the quality of life offering of each of our regions; a key objective of each Assembly’s RSES. To capitalise on this potential, the three Regional Assemblies of Ireland have identified eight areas for consideration. The purpose is to identify how gaps in information can be addressed, commence a discussion on actions that could be taken and help to establish an evidence-based approach to progress remote working. Ultimately, a sizeable proportion of the private sector workers that were identified as being able to operate remotely may prefer to work from their own homes or from company offices that comply with public health guidelines. However, whether it be due to a lack of broadband, a desire to avoid long commutes or personal factors, a reasonable proportion of these private sector workers may wish to utilise co-working hubs as an alternative option. Work that progresses these eight areas of consideration should assist in providing greater employment flexibility to all private sectors workers capable of operating remotely. This could open up an array of economic and environmental benefits for our regions.

The economic vision for all regions, as expressed in the three RSES policy documents, is to enable sustainable, competitive, inclusive and resilient growth. Remote working has already played a large part in managing public health vulnerabilities and has created a capacity to weather this unprecedented economic shock. The three Regional Assemblies believe that it has also considerable longer-term potential in creating smart, resilient and sustainable regions. This will assist in sustaining our capacity for growth and realising RSES and Project Ireland 2040 policy objectives.

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REGIONAL CO-WORKING ANALYSIS

The areas of consideration are:

Prepare detailed consultation with private firms in sectors that are capable of operating remotely, seeking their views on factors that need to be addressed to allow employees to work remotely from co-working hubs on a permanent basis. Prepare a nationwide survey of the current capacity of co-working hubs – both privately and publically owned – in consultation with the Department of Enterprise, Trade and Employment, Enterprise Ireland, the Regional Assemblies of Ireland and the Local Enterprise Offices. Prepare a nationwide survey that identifies the ideal work location of private sector workers whose jobs are considered to be remote workable, while simultaneously identifying the up-to-date habits of commuters who have remote workable jobs. Explore the possibility of providing employers with a tax credit for every employee that is allowed to operate outside of its own head office in Ireland, as a means of encouraging private firms to let employees work in geographical locations of their own choice. Enhance the level of funding provided to the “Regional Enterprise Development Fund” (REDF) in order to deliver more co-working hubs in line with the findings of the above consultation process. Such funding should also be delivered using local knowledge from appropriate local authorities and the Regional Assemblies of Ireland. Additional funding in this regard should be concentrated on delivering high quality co-working hubs of scale within or in close proximity to designated regional growth centres and key towns as defined by each Assembly’s RSES and prominent rural communities. Explore a range of match funding opportunities for REDF projects that will deliver additional co-working hubs of scale within or in close proximity to Designated Regional Growth Centres and Key Towns as defined by each Assembly’s RSES and prominent rural communities. This could involve – but wouldn’t be limited to – encouraging private sector companies to provide an element of match funding for these type of REDF projects or possibly removing the 20 per cent for these type of REDF projects that provide a sizeable economic uplift to a geographical area. Utilise resources from the “European Regional Development Fund” to assist in developing high quality co-working hubs of scale within or in close proximity to designated regional growth centres and key towns as defined by each Assembly’s RSES and prominent rural communities. Such funding should be delivered using the findings of the above consultation process and local knowledge from appropriate local authorities and the Regional Assemblies. Safeguard funding for the National Broadband Plan to allow for the delivery of up to three hundred “Broadband Connection Points” across Ireland, providing remote working opportunities in rural communities.

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THE THREE REGIONAL ASSEMBLIES OF IRELAND

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