Pat Breen (Clare, Fine Gael) | Oireachtas source

I thank the Chair and Deputy Smith for their good wishes. I want to wish Deputy Smith well in his new role as Chairman of the Joint Committee on Foreign Affairs, Trade and Defence. I know he will do a good job in that position. He was a great member of the previous committee. I thank Deputy Smith for raising this issue. I apologise for the absence of the Minister, Deputy Mitchell O'Connor, who is otherwise engaged on official duties. I spoke to her this morning in advance of this debate.

I assure Deputy Smith that everything possible will be done to ensure Cavan is considered an important area in the Action Plan for Jobs. I share his concerns regarding the recent developments at Liberty Insurance. The most significant area of concern following last week's announcement of job losses at the company is the proposal to reduce the number of jobs in Cavan town. This would be a significant blow to the employees and their families. We have to think about those employees who are facing an uncertain future. The reason for these redundancies is that the company has announced that it is conducting a strategic review of its business. The company has cited difficulties in the insurance sector, including perceived market volatility and claims increases. The company has highlighted its intention to strengthen its long-term competitive position in Ireland. I suppose it is heartening that the redundancy programme is being rolled out on a voluntary basis. I hope there will be people who want to take redundancy of their own free will. It is important that the redundancies which are to be offered will have attractive terms. I remind Deputy Smith that the services of the Workplace Relations Commission, which provides information on employment, equality and industrial relations rights and obligations, are available if they are required.

Despite this bad news, there has been a positive job creation development from Liberty Insurance. In 2013, it announced the creation of 150 jobs in an information technology project at its Blanchardstown operation. This project is unaffected by the recent announcement. Our immediate focus rests on IDA Ireland and Enterprise Ireland, which are redoubling their efforts. I assure Deputy Smith that these agencies will drive job creation in County Cavan by exploring all options to replace the jobs that have been lost there. I can inform him that IDA Ireland is engaging with Liberty insurance to develop a skills profile of the affected workforce, based on feedback received regarding voluntary redundancies, so that it can aim to match staff with other potential employers. I know Deputy Smith has raised this issue. The experience of the dedicated and skilled workforce in Cavan is extremely important. The past couple of years have been encouraging for Cavan and Monaghan. It has been particularly encouraging to see the strong performance of a number of Irish-owned companies in recent times. A number of companies across the Cavan and Monaghan area, including Lakeland, Combilift, Glanbia, Swift Fine Foods and Lagan Brick, have expanded their operations in recent times.

We will press on with our efforts to drive job creation in County Cavan, which is included in the action plan for the north east and north west that was launched on 30 November last. This plan aims to deliver an additional 28,000 jobs in the region by 2020. The key targets in this regard include an increase of at least 25% in the number of start-up companies in the region, an improvement of 25% in the survival rate of new businesses and an increase of between 30% and 40% in the number of IDA Ireland investments in the region by 2019. The sectors targeted as part of this plan include the traditionally strong sectors for the region, such as agri-food, manufacturing, engineering and tourism. There will be active promotion of the tourism potential of the lakelands region, which includes County Cavan.

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Finally, both the Minister and I are fully committed to regional development. Centres like Cavan deserve to recover. Together with the relevant agencies, we will drive economic development, counteract setbacks such as this and press forward with job creation initiatives.

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