Mary Coughlan (Donegal South West, Fianna Fail)

Under the relevant EU regulations, the restructuring aid for the sugar industry has to be drawn down on the basis of an aid application submitted by the sugar processor. The applications must contain a restructuring plan, including a social plan detailing the actions planned in particular with respect to re-training, redeployment and early retirement of the workforce concerned. In July 2006, Greencore duly submitted such an application, which indicated that the proposed redundancy payments for the Mallow workers were in accordance with the ruling of the Labour Court. I am aware there is an ongoing dispute between the company and the workers over the interpretation of the Labour Court recommendation and while I regret the parties have not yet resolved their differences, I have no function in that regard. The position regarding that dispute was fully explained by my colleague the Minister of State with responsibility for labour affairs, Deputy Killeen, in reply to a parliamentary question last Wednesday.

The aid application submitted by Greencore was approved in September subject to the outcome of the judicial review proceedings instituted by Greencore in respect of the Government decisions regarding the allocation of the aid. In view of these legal proceedings, it would not be appropriate for me to comment further.

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