Dáil debates

Tuesday, 22 November 2005

9:00 pm

Photo of Jimmy DevinsJimmy Devins (Sligo-Leitrim, Fianna Fail)

I thank the Ceann Comhairle for the opportunity to contribute to the debate. Yesterday the workforce in Tractech was informed that a so-called review of the factory was ongoing and that in 60 days a decision would be made on whether the company would maintain a manufacturing base in Sligo. While no decision has been made and everybody is the town is hoping against hope that the factory will remain open, the more realistic interpretation of the announcement is that the new owners intend to move the manufacturing process from Sligo to a low cost country.

Our thoughts in the first instance must be with the employees who have this dreadful news hanging over them as we enter the Christmas period. To be put in a potential redundancy scenario at any time of the year is bad news but it is appalling when the news is received a few weeks prior to Christmas. This company was successful financially over recent years and last year it recorded a profit in excess of €3 million. However, the problem is that the company, which has operated successfully since 1983, was taken over by Eaton Corporation of America in August 2005. The company and the employees have encountered the unpalatable and unacceptable face of globalisation.

I know many of the employees and I ask the Minister for Enterprise, Trade and Employment to use his good offices to ensure every State apparatus is used to protect them. I refer to two issues in this regard. I would like the Minister to ensure IDA Ireland, in conjunction with the company, will put in place the best redundancy package should the Sligo factory close. I also ask that outplacement services should be made available to all employees, including career guidance, interview skills and business start-up advice, and that a co-ordinated effort should be put in place involving FÁS, Sligo Institute of Technology, Enterprise Ireland and the county enterprise board so that employees can be reskilled and retrained as soon as possible. It is also important that IDA Ireland should work with the company during the consultation period to ensure the impact of the closure on local suppliers and subcontractors is kept to a minimum.

Eaton Corporation has a subsidiary in Manorhamilton, County Leitrim. It is important that these jobs should be protected and secured. IDA Ireland must monitor the company and liaise with the Minister and the workforce. Enterprise Ireland must redouble its efforts to establish a high-tech cluster of businesses in Sligo with the benefit of Sligo IT's facilities, staff and graduates. Given the proximity of Sligo and Leitrim to Northern Ireland, greater focus must be put on cross-Border trade. I acknowledge new jobs were created in Sligo recently, including 300 jobs in Tucon and a similar number in Abbot Ireland. However, our thoughts must be with the employees of Tractech and the positive steps the Minister, the Government and the State agencies could take to help them at this difficult time.

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