Dáil debates

Thursday, 30 July 2020

Ceisteanna ó Cheannairí - Leaders' Questions

 

12:15 pm

Photo of Leo VaradkarLeo Varadkar (Dublin West, Fine Gael) | Oireachtas source

I thank the Deputy for raising the issue of job losses and employment in Kerry. As a result of what has happened to the economy due to this pandemic, we have all seen a major increase in unemployment in recent months. Thankfully, it is falling, and people have seen that the number of people on the pandemic unemployment payment, which peaked at more than 600,000, is now below 300,000 and is still falling at a rate of approximately 20,000 to 30,000 per week, which is encouraging. In addition, more than 400,000 people are having their employment sustained through the Government's temporary wage subsidy scheme.

As for BorgWarner, the news of those job losses came as a terrible blow to the staff and to the town of Tralee. I have spoken to the IDA about this and have been in touch by conference call with the company to express my disappointment that there was no advance notice of this to any Government agency. The company explained to me that demand for its product is in terminal decline, which is unrelated to Covid, and that it does not see any future product line for the factory, so it has to close. It will close by the end of the year, although some people will remain on site until the second quarter of next year. I discussed the issue of redundancy and the need to make sure the workers get a good redundancy package. The company said that that would be put in place and that it will negotiate with the representatives on it. I also asked about the site because the company owns it and I would like to see a new company come in there and bring more employment back into Tralee. The company has agreed to work with the Government and the IDA to find either a new investor or a buyer for the site in order that we might replace some, if not all, of those jobs with new jobs for Tralee. That is what we are working on.

In addition to that, as is always the case, Government agencies and supports will click in. The Department of Employment Affairs and Social Protection will make sure all the workers know their rights in respect of redundancy and welfare payments if they are losing their jobs. The education and training boards, the institutes of technology and so on will go in to make sure people are given a whole set of opportunities such as alternative employment, education and training and possible grants to set up businesses. All these things will be offered to the workers in order that they know their options and opportunities. This is separate from the fact that we will try to find an alternative investor for the plant. The job losses are really bad news not just for the workers affected but also for the impact on the local economy. I know it comes at a really awful time, when people are going into a labour market that is very difficult, but I assure the Deputy that the Government and its agencies will do everything we can to help the people who have lost their jobs and to find alternative employment for Tralee.

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