Dáil debates

Wednesday, 19 October 2011

10:30 am

Photo of Enda KennyEnda Kenny (Mayo, Fine Gael)

This is an awful day for employees at Aviva. Those of us who have served in this House during the years will have experienced the shock, anxiety and consequences of job losses of any scale. Jobs give people dignity and the opportunity to contribute to the local economy, as well as to maintain their own lifestyle and family life. In that respect, I share the empathy of everybody in the House at the announcement made by Aviva management to workers in the Irish centres. It was in 2009 when Aviva announced its intention to restructure its 12 separate businesses across Europe, excluding the United Kingdom and the Benelux countries. This process has been ongoing since and there has been a series of leaks, rumours and speculation, which has added to the concern and anxiety of the workforce.

I do not have a copy of Aviva's formal statement. I did not meet the European chief executive, but, as far as I know, the Minister for Jobs, Enterprise and Innovation met local, regional and European managers. When this first became known some time ago, there was an offer to have IDA Ireland stand ready to assist the company with the new outsourced jobs referred to to be based in Ireland but which would deal with issues arising abroad. IDA Ireland can only deal with that element of the company. I understand from reports that the jobs referred to will be based in Ireland. I also understand the details of the announcement made will take effect from March next year for two years. Deputy Martin is aware that Aviva acquired Hibernian, a company of long-standing in Ireland, and many of the workforce were employed by Hibernian in the first instance.

This is a stark reminder of what the Government must do in facing the competitiveness challenge for a range of companies and employment creation in general. The Deputy is also aware that the Clearing House Group of the Irish Financial Services Centre, IFSC, which is chaired by the Secretary General of the Department of the Taoiseach, is constantly considering the question of the further attraction of insurance jobs to Ireland. There has been much success in this regard in the IFSC. What is happening is a major shock for those directly involved and a stark reminder to everybody of the long road we must travel to have our competitiveness at a level at which we can protect jobs across the spectrum and grow the economy to a point where we will enjoy prosperity and create opportunities for all the people.

Like the Deputy, I feel for the employees of Aviva and, in so far as the Government can assist, it will. IDA Ireland has already been instructed by the Minister for Jobs, Enterprise and Innovation to work with the company where it can do so, but it remains to be seen what details are being given to the workers about the redundancy packages on offer, etc. I understand the decision will take effect from March next year for two years. We must focus continuously on what we must do as a country to have our competitiveness level right in order that we will be able to withstand such shocks. I empathise with the Deputy on his point about the distress caused for some workers this morning.

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