Dinny McGinley (Donegal South West, Fine Gael)

Go raibh maith agat, a Cheann Comhairle, as deis a thabhairt dom an cheist seo a thógáil. I also acknowledge the presence of the Minister of State at the Department of Enterprise, Trade and Employment, Deputy Treacy, who will respond to the debate. It is certainly better than having a Minister or a Minister of State here who has nothing to do with that Department.

The bombshell announcement by Hospira of Donegal town on 23 August last is still sending shock waves throughout the entire county. This was the latest in a savage litany of such job loss announcements in Donegal over the past five years that have brought the total of industrial job losses in the county to more than 7,000. Our industrial base has been virtually wiped out, leaving the county with the highest unemployment rate in the country, at more than four 4 times the national average.

Prior to the Hospira announcement the vast majority of job losses in the county were in the textile sector. Names such as Fruit of the Loom, Comer Yarns, Herdsman's, Nena Models and, more recently, Clubman Omega come to mind. The textile and clothing industry in Donegal — with a few honourable exceptions, such as Magee and Company of Donegal town and Sioen Protective Clothing in my own parish of Gweedore — has vanished off the employment map.

We were conditioned into accepting that the loss of these traditional type jobs was inevitable and were transferring to low-cost economies. However, Hospira, a pharmaceutical company involved in the production of health care products, was looked upon as the industry of the future, a virtual flagship for the county. The 560 workers were confident of their future. Such modern type industries require the skills and training of an educated work force, or so we were told. However, we now realise that even such modern industries are not immune to closure. The Hospira jobs are not being lost. They are simply being transferred to Costa Rica and the Dominican Republic in Central America.

The loss of the Hospira jobs will have devastating economic and social consequences for south-west Donegal, an area already suffering from economic depression from the crisis in the fishing industry. The main breadwinners for hundreds of families are being consigned to the already bulging ranks of the unemployed, with little or no immediate prospects of finding alternative employment in their own county. Many have huge financial and family commitments. Mortgages are outstanding and families have to be educated.

The fall-out is not confined to those immediately losing their jobs in Hospira. It will have a knock on effect on every business and service industry in the area, including hotels, restaurants, cafés, hairdressers and crèches. Every single service will suffer from the impact.

The management of Hospira had the highest praise for the skills and the commitment of the workforce. The closure is not a reflection on their loyalty or dedication. Instead, the finger of blame has been pointed directly at the Government's failure to control costs for manufacturers. Many of these costs are imposed directly by the Government in the form of stealth taxes. Others arise where the Government has a direct influence, such as the high cost of energy, insurance, PRSI payments and exorbitant commercial rates.

When the news broke we had the usual chorus of sympathy and promises from Ministers, saying that "every effort must be made" and "we must harness all the agencies". The old time-worn scripts were just being recycled and regurgitated. We have heard it so often before. Empty promises and pious platitudes are no longer sufficient. They do not put bread on the table.

A new departure is required. We do not need yet another task force or the commissioning of a further report. The special status of the county must be recognised. An extraordinary situation requires extraordinary measures. Incentives must be offered to industries willing to locate in County Donegal. This can be done in many ways, such as tax incentives and rates concessions. Access and communications must be further improved.

In spite of the industrial body blows in recent years, County Donegal has so much to offer — an attractive and pleasant environment, excellent educational facilities, a skilled and educated workforce, excellent housing at reasonable prices and the absence of traffic jams, to name but a few attractions.

With proper marketing, promotion and commitment, jobs can be attracted to the county. Our citizens only wish to live and work in their own environment. It is the responsibility of the Government to deliver these jobs. We are often told of the numbers of jobs created in the past seven years and I do not dispute the figures, which are probably accurate. However, very few of these have been created in County Donegal. We have lost more than 7,000 jobs in the period and fewer than 1,000 jobs have been created to replace these losses. In future the Government will not be judged on what it promises but on the number of jobs provided for the thousands of unemployed throughout the county. I ask for the commitment of the Minister of State and his colleagues. I hope that in his response he will hold out some hope for the thousands who have lost their jobs and the many who never had jobs in Donegal.

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