Dáil debates
Thursday, 17 April 2008
Job Losses.
3:00 pm
Willie Penrose (Longford-Westmeath, Labour)
I thank the Minister of State. Perhaps it was a Freudian slip when he referred to "Monday, 12 April", given that last Monday was 14 April. Did somebody know more than their prayers on Saturday, 12 April? I am sure the Minister of State is aware of the huge devastation that was visited on the 430 employees of Iralco Limited and their families last Monday when they were informed, without prior notice, that their place of employment was to go into liquidation. It was a devastating bombshell, as Deputy Johnny Brady said, to learn that the liquidators had been appointed earlier that day. It will be a terrible blow for north Westmeath and the north midlands as a whole if a factory that has been a bedrock of employment since 1964 has to close. This week's news is a bitter blow for many families who have worked for Iralco Limited over the years. The factory has provided employment to three generations of some families — the parents and grandparents of some current workers are former employees of the company. I know of an extended family that has eight people working there. Other families have been working there for years. Such people are very worried.
Is the Minister of State aware that, on top of the 430 likely job losses, many ancillary industries will be affected? I refer to companies which supply parts, services and goods to this long-standing factory. Is the Minister of State aware that it is estimated that the 430 job losses will have an impact on approximately 2,000 people? That is how the impact of the closure of this factory can be gauged. That shops and other businesses in Collinstown will be affected was made clear by the comments of Mr. Bernie Conaty of the local post office the other night. When one considers that the company has been employing large numbers of people for the best part of five decades, it is clear that last Monday's announcement represents a black day for County Westmeath and the north midlands in general. When the loss of 66 jobs at Kimball Electronics in Longford and the loss of a further 100 jobs at Nexans Ireland in Athlone are taken into account, it is evident that over 600 jobs have been lost in the midlands over the past week. Will the Minister of State establish a dedicated task force to confront the serious problems being encountered in the manufacturing sector? This would focus absolute priority on the search for replacement industries.
Is the Minister of State aware that the magnitude of the impact of the loss of 420 jobs in a rural area such as Collinstown is the equivalent of the loss of 8,000 to 10,000 jobs in a large city such as Cork or Galway? Collinstown is home to the Collinstown Glenidon hurling club and the late Jobber McGrath. It is a great hurling area and the people are very resilient.
Iralco has been a bedrock of employment for families. Will the Minister of State take steps to ensure that every assistance is given to the liquidator, Mr. John McStay, whom we met, the managing director, the shareholders, Mr. John Bolger and Mr. Peter Kenny who are negotiating, the suppliers, customers and, most importantly, the employees, who are carrying out ongoing assessments? All shoulders must be to the wheel with no excuses to secure as many jobs as possible, if not all, of the 420.
Does the Minister of State accept a talented and skilled workforce is available? Their skills were utilised by the company to manufacture high-quality motor components for some of the largest manufacturers in the world, including Ford, Bentley, Volvo and Volkswagen. Families have been devastated as five, six or seven members of the same family are involved. Will the Minister of State ensure that upskilling, training and education facilities are made available? People have indicated to me that if this cannot be secured they will not be able to find alternative employment.
Has the Minister of State ascertained from the company why it abruptly applied for a liquidator to be appointed? Is it because of the cost of energy or the strength of the euro? The employees have not received an increase since 2005. They have forgone increases. Admittedly, an industrial relations issue arose. Will all agencies such as the IDA, Enterprise Ireland and FÁS get involved through a focused taskforce to ensure an all-out effort is made, with no obstacles, to help the workers and their families secure the maximum amount of employment?
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