Paudie Coffey (Waterford, Fine Gael) | Oireachtas source

I thank the Leas-Cheann Comhairle for allowing me to raise this important topic. I am glad the Minister, Deputy Bruton, is in attendance in the Chamber to hear my concerns in this regard. Over the years, the manufacturing sector has contributed substantially and positively to the Irish economy. It has provided good and honest employment to thousands of workers and their families. I believe the manufacturing sector was neglected during the Celtic tiger years, unfortunately. Competitiveness was lost and priority was given to an unsustainable construction sector. We lost our focus on manufacturing.

As the Minister knows, Waterford city and the rest of the south east have traditionally had a strong manufacturing base due to the presence of companies like Waterford Crystal, Waterford Stanley, ABB, Teva, Honeywell, Bausch and Lomb and GlaxoSmithKline. Many hundreds of small and medium sized enterprises in the region have been and are very productive in the manufacturing sector. The thousands of jobs provided by these companies have sustained the lives of workers and their families, and in turn the local economy, for many years. That is why we cannot give up on this essential sector. It needs continued Government focus and support.

Bausch and Lomb continues to employ over 1,700 people in Waterford city. GlaxoSmithKline employs over 750 people in its Dungarvan plant. Teva employs more than 450 people and Waterford Stanley employs more than 100 people. Small and medium sized enterprises in the area continue to employ thousands of people in the manufacturing sector. We heard the sad news on Tuesday that Honeywell, which is a strong traditional company in Waterford, had announced a redundancy programme for 74 of its employees. The only positive thing I can take from this devastating news for these employees and their families is that the company is committed to retaining 700 jobs in the city. The redundant workers must be given every assistance and support at this difficult time. More importantly, they need to be given some hope that they have a real prospect of finding new employment opportunities.

Today, I carry a message directly from the people of Waterford to the floor of this Chamber and to the Minister. Waterford city and the south east region are in urgent need of Government assistance and intervention to achieve economic recovery. We all know the region has suffered and continues to suffer disproportionately by comparison with the rest of the country. It is very difficult and frustrating to note that more than 3,000 manufacturing jobs have been lost in Waterford and the south east region over the last six years. I know that the Minister and IDA Ireland are doing their best and have been very active over the past couple of years. IDA Ireland visits to Waterford have increased substantially. According to figures I have seen, there were 11 such visits in 2011, 26 in 2012 and 12 to date in 2013. We need delivery on that now. We need to see some foreign direct investment in Waterford city.

The Government and the Minister have been proactive. We have seen some positive progress since we came into government, having taken the reins of power during the worst economic crisis this country has ever seen. I would like to compare the employment situation in the south east in June 2011 with the position in June 2013. The number of people in employment in the region increased by approximately 3,000 during that period. I welcome that increase. The unemployment rate in the region has decreased from a high of over 20% to the current figure of 18.3%, which is still far too high in comparison with the State unemployment figure of 13.3% last month. The live register in Waterford is now at its lowest level since April 2009. This is further progress.

I have mentioned some positive statistics, but I emphasise that we are starting from a very low employment base. The job losses in Honeywell highlight the fact that the recovery in Waterford and the south east is extremely fragile. Additional help is now required to address the higher than normal unemployment rates being experienced in Waterford and the rest of the south-east region. Direct Government intervention is required to help us at this stage.

See this speech in context