Tony Killeen (Clare, Fianna Fail)

I thank the Deputy for raising this matter. I was disappointed to hear that Sigma Wireless Technologies Limited has decided to make so many employees redundant from its facility at Finglas, Dublin 11. I understand that following a review of the company's financial position by its owner, PCTel Inc., in preparation for the consultation process with trade union representatives, it was confirmed that the company was in a precarious financial position and was continuing to lose money at an unacceptable rate.

I understand that PCTel Inc. has determined that it may be necessary to move all product lines from the company to manufacturing bases elsewhere to keep part of the Finglas plant in operation. Unfortunately, it seems that this revised proposal by the company will result in more redundancies than originally anticipated at the outset of the consultation process with only a small number of jobs remaining at its Finglas operation.

I am very conscious of the impact these job losses will have, not only on the employees concerned and their families but also on the community in the surrounding area. I assure the people concerned that the State agencies will provide every support they can. The priority will be to find alternative employment opportunities as soon as possible for those involved.

In this regard, I know that FÁS has been in contact with the company's human resources manager setting out the full range of services available from FÁS to the employees concerned. These will include interviews with the employees, preparation of a skills analysis report by FÁS based on the needs of the workers, details of opportunities available locally and customised training where appropriate.

In June 2005, Enterprise Ireland agreed to the acquisition of Sigma Wireless Technologies Limited by PCTel Inc. This acquisition was on the basis of a cash free, debt free sale only and the amount paid by PCTel was in the region of €20 million. Enterprise Ireland viewed the acquisition as an opportunity for Sigma Wireless Technologies to achieve scale. Consolidation in this industry was inevitable and the support and backing of a large parent company was viewed positively. While there was no guarantee to Enterprise Ireland that the Dublin operation would be developed as desired, the views from PCTel at that time were that the acquisition was a good strategic move for the company into Europe.

The industrial development agencies will make every effort to secure alternative employment for the area. Since the beginning of 2005, Enterprise Ireland has approved more than €33 million and made payments of more than €27 million in support of development projects for indigenous companies throughout the Dublin region. According to the information available, at the end of 2005, approximately 4,033 people were employed in 196 Enterprise Ireland companies in Fingal county and 23,508 people in 1,048 companies in Dublin city. This compares with 3,465 and 21,877 people employed respectively in 1996.

Enterprise Ireland has also invested significantly in community enterprise centres in the north of Dublin city to support the establishment and expansion of micro-enterprises through local community participation. Enterprise Ireland has also funded enterprise centres on the north side of the city at Ballymun, North King Street, Oxmantown Lane as well as the Bolton Trust Centre at East Wall Road, now managed by the Dublin Institute of Technology.

IDA Ireland, through its network of overseas offices, promotes north Dublin as an attractive location for foreign direct investment. IDA Ireland's strategy for Dublin is to progress the development of a knowledge economy so the region can compete nationally and internationally for foreign direct investment; work with the existing client base in Dublin to encourage them to expand and diversify into higher value added goods and services; act as a broker with the higher education authorities, key client companies and Science Foundation Ireland to encourage further research and development; provide modern property solutions with supporting infrastructure; and work with local authorities and other relevant agencies to influence the delivery of the necessary infrastructure.

Significant job announcements for the north Dublin area over the past 12 months include 100 jobs at Qlogic's EMEA headquarters locating in Blanchardstown Corporate Park and 400 jobs at Yahoo's European headquarters established in East Point Business Park. The proximity to Dublin Airport combined with access to the new port tunnel, both located in Fingal, is likely to generate a logistics base in this general area in the coming years. The completion of major infrastructural projects in the Blanchardstown-Finglas area will increase its attractiveness and suitability as a location for both indigenous and overseas business in coming years.

The State development agencies, under the aegis of my Department, will continue to market Dublin, including north Dublin for employment and investment opportunities and will make every effort to find alternative employment for the employees of Sigma Wireless who are now facing redundancy.

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