Dáil debates

Tuesday, 24 June 2014

Topical Issue Debate

Jobs Protection

6:45 pm

Photo of John PerryJohn Perry (Sligo-North Leitrim, Fine Gael) | Oireachtas source

I thank the Deputy for raising the matter. I am very conscious of the anxiety that any threat to the workforce in C&C Group's operations in Clonmel would create for the workers, their families and the local community. In terms of safeguarding the rights of the employees, Ireland has a robust suite of employment rights legislation. For employees who are concerned about the safety of their jobs, Ireland's body of employment rights offers extensive protections to employees, including the Protections of Employment Act 1977, which provides for a process of information and consultation between the employer and the employee representatives; the Minimum Notice and Terms of Employment Acts 1973 to 2005, which give employees entitlements to specified notice periods or payment in lieu of notice; the Unfair Dismissals Acts 1977 to 2007; and the Redundancy Payments Act which is administered by the Minister for Social Protection.

While the plan of the company concerned is a commercial matter for the company, the group's commitment to invest has been demonstrated by its acquisitions in Ireland in recent years. It has just released results for the year ending 28 February 2014, with profits up 30%, of which 75% is represented by Ireland and Scotland, mainly by Bulmers in Ireland and Tennants in Scotland. The company is launching a new craft beer, with the plant currently being commissioned, and is nearing production in Clonmel. The group is a key client for Enterprise Ireland and has been provided with research and development and other supports. Enterprise Ireland visited the company last month.

Employment retention and creation continues to be our primary objective and we have been working hard to create the improved economic conditions which will support the maintenance of existing jobs and the creation of new ones. While Ireland's competitiveness has improved in recent years, we must continue to do more, to ensure these competitiveness gains are not eroded as the economy begins to recover and that we continue to address the structural imbalances which had built up over the lifetime of the previous Government. Through An Action Plan for Jobs 2012 and 2013, the Government has focused on measures aimed at restoring our competitiveness and creating a supportive environment for businesses operating in Ireland.

The Government recently launched An Action Plan for Jobs 2014 which contains a range of specific measures which will build on the progress made in recent years. These measures include a review of the key competitiveness issues for business, particularly cost competitiveness, and taking actions on key challenges identified; a review of key challenges in terms of ease of doing business in Ireland and taking action on the issues identified; and quarterly reporting to Government on competitiveness issues and progress in addressing these issues. The implementation of these actions, combined with the Government's exit from the troika programme and its return to international funding markets, will play a key role in improving our competitiveness further and realising our ambition of making Ireland the best small country in which to do business. The enterprise development agencies, under the aegis of my Department, have been to the fore in delivering on the commitments set out in the action plans for jobs and continue to ensure businesses can maximise their contribution to economic recovery and employment growth.

It is very important that any adverse impact on employment creation and maintenance from any source in Clonmel is minimised and the State enterprise agencies and the local enterprise office, LEO, will continue to make every effort they can to develop new employment opportunities for County Tipperary. In terms of new initiatives for job creation, Enterprise Ireland's activity is focused on the creation of new jobs through continuing to work with established companies in its portfolio. The agency is also supporting entrepreneurs in manufacturing and internationally traded services companies. The agency works toward enhancing the innovation capability in its client companies through the support of research. The new LEO structure promotes entrepreneurship and self-help, and LEOs are now the first-stop-shops for those starting a new business. The Tipperary LEO is the local hub for enterprise support, delivering a comprehensive service. Anyone in Clonmel seeking assistance with a small or start-up business should contact it.

IDA Ireland works with its existing client companies in the county with a view to encouraging them to grow and embed their business in the county. The primary opportunity for regional locations is in respect of the existing client base and potential further investment opportunities from that base. My colleague, the Minister, Deputy Richard Bruton, is determined to ensure that Ireland can continue and he is on a trade mission this week. I listened very actively to the Deputy's concerns. I am confident that the measures outlined in An Action Plan for Jobs 2014, together with other policies and initiatives being pursued by the State agencies and the County Tipperary LEO, will continue to support enterprise development and provide employment opportunities. The State agencies will continue to work closely with each other, and with local interests, to support an integrated approach to job creation in Clonmel.

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