Tommy Broughan (Dublin North East, Labour)
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I thank the Leas-Cheann Comhairle for the opportunity to raise this very important issue again in the House. Three weeks ago, on Friday, 3 April, 600 workers from approximately 1,200 were absolutely devastated upon losing their jobs at the world class SR Technics operation at Dublin Airport. What made it even more unbearable was the fact they left what they knew well was a very viable aviation engineering operation.

Last Friday, on 17 April, more than 100 disheartened and shattered workers were also let go. I was also shocked last week to learn that 26 senior SR Technics aviation engineering apprentices were being let go as well by the Zurich-based company. When I heard the news I described it as another savage breach of faith by the corporate affairs director of SR Technics, Stephanie Kennett, the chief executive officer, Bernd Kessler, and their Middle East master, Sheikh Mohammed al Maktoum.

More than six weeks ago, in a lengthy telephone conversation with Mr. Kessler, I asked him specifically to bring the apprentices to Zurich to finish their training and he said it would be under consideration. After meetings facilitated by the Labour spokesperson, Willie Penrose, myself and my colleagues, Deputies Roisín Shortall, Joe Costello and Joan Burton and Senators Dominic Hannigan and Brendan Ryan, it was believed that arrangements had been put in place to ensure that these young men and women made redundant last Friday would have been allowed to complete their college and practical training with FÁS, DIT Bolton Street and the remaining SR Technics operation at Dublin Airport. The 26 young apprentices are in their third year, or phase five, of the new apprentice FETAC system. They had hoped to be allowed to continue their academic education and work on the SR Technics line maintenance facility up to 31 August.

Last week I called on the director of FÁS, the CEOs of IDA Ireland and Enterprise Ireland to immediately provide facilities for all the SR Technics apprentices who have not been catered for to date. I reiterate that call now. I also asked the Taoiseach and the Tánaiste and Minister for Enterprise, Trade and Employment to urgently report to the Dáil on efforts to save the aviation engineering facility at Dublin Airport. I hope the Minister of State, Deputy Conor Lenihan, will provide a full report on the invigilation process relating to the various expressions of interest and management buy-out proposals for the Dublin SR Technics operation. Is the Minister of State in a position to indicate the number of proposals and expressions of interest that are currently deemed viable or worthy of progressing? Will he outline what is likely to be the timeframe for progressing these proposals? Will he indicate the current position regarding the leases for the SRT hangars at Dublin Airport? Is IDA Ireland confident that all the essential aviation engineering equipment has been protected for any viable successor business at the SRT facility?

Time is passing and I regret to say that the Tánaiste and Minister for Enterprise, Trade and Employment and her colleagues do not appear to be displaying the urgency necessary to protect jobs in this vital industry. The Labour Party has stated since the beginning of the crisis that everything possible must be done to ensure that the almost 1,200 jobs in aviation engineering at Dublin Airport will be saved.

I have, on the Labour Party's behalf, been in contact with the various players in this saga in Europe and the Middle East, including SRT corporate management in Zurich, the head of the Mubadala Development Company in Abu Dhabi and the ultimate beneficial owner of SR Technics, Sheikh Mohammed al Maktoum, Prime Minister of the United Arab Emirates and King of Dubai. I understand the Tánaiste and Minister for Enterprise, Trade and Employment visited Abu Dhabi recently. Will the Minister of State indicate if she received any assistance from Sheikh Mohammed Bin Zayed Al-Nahyan or Khaldoon Khalifa Al Mubarak, chief executive of Mubadala? I also understand that the chief executive of IDA Ireland visited Bernd Kessler in Zurich last week. What was the outcome of these meetings? What information can the Minister of State provide with regard to the future of this company?

The pension and redundancy arrangements for the two thirds of the workforce who have been let go are disgraceful. In that context, the Labour Court judgment in respect of this matter has not been upheld.

The devastating events at SR Technics were closely followed by the crisis at Lufthansa Technik Automotive Ireland in Rathcoole on the Naas Road, where 465 staff were put on protective notice. This will come into force from 27 April. I understand that, following the rejection of the Labour Court recommendations, unions at the Lufthansa facility have appealed directly to the Tánaiste and Minister for Enterprise, Trade and Employment to intervene in respect of this serious matter and to draw up new proposals or a rescue package. The Lufthansa facility is located close to the Minister of State's constituency. Will he indicate the actions that are being taken to resolve the crisis at Lufthansa Technik and outline the contact the Tánaiste and Minister for Enterprise, Trade and Employment has had with management at the plant in respect of this matter?

One media commentator observed yesterday that, following events at SR Technics, the loss of Lufthansa would sound the death knell for the heavy aviation engineering and maintenance sectors in Ireland. This industry was painstakingly developed over 75 or 80 years and it is now going to be wiped out.

Many families on the northside of Dublin have suffered greatly and a threat hangs over families in the area the Minister of State represents. Will he outline the developments that have taken place in respect of these two important plants?

Conor Lenihan (Dublin South West, Fianna Fail)
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I thank the Deputy for raising this matter on the Adjournment.

On 12 February SR Technics announced that it would close its operation at Dublin Airport and enter into consultation with the trade unions representing the 1,135 employees at the facility. The company cited the recent loss of major contracts from primary load customers in Dublin, current business and economic forecasts, as well as the high cost base of the operations, as the primary causes in this regard. It also indicated its view that it would not be possible to fill the resulting capacity gaps with sustainable business in the medium term.

In the interim, IDA Ireland and the Tánaiste and Minister for Enterprise, Trade and Employment have had numerous meetings with the company to express the Government's concern regarding the impact the closure will have on the economy of north Dublin and the effect the loss of 1,135 highly skilled jobs will have on the Irish aviation sector. IDA Ireland and Enterprise Ireland established a team to market the operation internationally through their overseas office network and have held discussions with more than 15 companies to encourage them to put forward investment proposals to take over all or part of the operation. Following receipt of proposals, a full evaluation will take place and each proposal will be considered on its merits and long-term viability.

The company has indicated that it has received up to 30 expressions of interest in parts of the operation and has stated that any approach or proposal would be considered in detail and evaluated in full on its merits and potential long-term benefit. At this stage, SR Technics has received five bids from interested parties for parts of the business and is currently assessing these. Following the assessment process, SR Technics will select a successful bidder. In tandem with this process, the agencies are in discussions with the interested parties on an ongoing basis to assess the viability of the bids so as to be in a position to offer appropriate support to the successful bidders to maximize the level of sustainable employment in the resulting operations.

Lufthansa Airmotive currently employs some 460 workers at its Rathcoole facility and has been planning to introduce a new engine facility, which would both secure the future and lead to an increase in employment at the plant. As part of this process, the company has been seeking agreement with the workforce regarding the introduction of flexible working arrangements and work practice reforms. Following failure to agree, the Tánaiste and Minister for Enterprise, Trade and Employment discussed the situation with both management and unions and the full services of the Labour Relations Commission and the Labour Court have been provided to assist in finding a way forward. Following six LRC hearings and a full Labour Court hearing, I understand staff at the plant yesterday voted against the proposals drawn up by the Labour Court by a margin of 17 votes out of a total of 279 cast. In a statement last night, the company said it had now halted the planned investment in the new engine line and has also issued protective notice to all workers.

The Tánaiste and Minister for Enterprise, Trade and Employment remains seriously concerned for the future of the company and activities relating to it in Ireland. As a further and perhaps final opportunity to try to resolve the problem, the national implementation body, which consists of Government, employer and union representatives, is also meeting to try to provide assistance. There is no doubt that if the current impasse in Lufthansa Technik Airmotive Ireland is not resolved swiftly, these highly skilled jobs will be lost. The Tánaiste and Minister for Enterprise, Trade and Employment is also of the view that this will have a disastrous impact on other parts of the aviation sector in Ireland which depend on business from the company. She urges the parties to re-engage immediately in order that a solution to the current impasse might be found.

Dinny McGinley (Donegal South West, Fine Gael)
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Gabhaim buíochas leis an Cheann Comhairle deis a thabhairt dom an t-ábhar tábhachtach seo a thógáil ar an athló tráthnóna - an fógra a thug Largo Foods i nGaeltacht Dhún na nGall, i bparóiste Ghaoth Dobhair, i bpáirc ghnó Ghaoth Dobhair, go mbeidh sé ag ligint 170 oibrí chun bealaigh go luath an mhí seo chugainn.

Is mór an buille é sin do cheantar Gaeltachta cosúil le Gaoth Dobhair go bhfuil 170 ag cailleadh a gcuid post. Tá an tionscal seo lonnaithe i nGaoth Dobhair le beaganch 30 bliain. Tá fostaíocht iontach curtha ar fáil aige i rith an ama sin ag déanamh táirgí bia ar nós sceallóga crisps agus mar sin de. Tá taithí ag na hoibrithe ar an tionscal sin agus bhí rudaí ag dul ar aghaidh go maith.

Anois, áfach, tá athstructúrúá dhéanamh ar an chomhlacht seo agus dá bharr sin, tá 170 á ligint chun bealaigh. Daoine iad seo atá ina gcinn teaghlaigh, an t-aon duine b'fhéidir atá ag obair sa teach agus bíonn freagrachtaí móra orthu, morgáistí agus mar sin, cionn is go bhfuil a gclann ag dul le hoideachas.

Mar sin féin is buille seo don eastát freisin. Seo an tionscal is mó agus is faide lonnaithe ar an eastát ansin sa pháirc ghnó i nGaoth Dobhair. Tuigim nach bhfuil an tAire féin anseo ach ba mhaith liom go gcuirfeadh an tAire Stáit in iúl don Aire, agus go gcuirfeadh seisean in iúl d'Údarás na Gaeltachta go mbeadh sé iontach tábhachtach go ndéanfaí gach iarracht cuid de na poist seo a choinneáil agus a chosaint. I gceantar beag Gaeltacht tá 170 post cosúil le 2,000 anseo i mBaile Átha Cliath nó sna bailte móra eile. Mar sin, is buille mór é seo don tionscal agus don eacnamaíocht sa cheantar. Cuirfidh sé isteach ar na siopaí, ar na tábhairní, ar na tithe ósta agus ar sheirbhísí de gach cineál. Mar sin, tá mé ag fiafraí den Aire agus den údarás gach dícheall a dhéanamh oiread agus is féidir chun na poist seo a chaomhnú.

In one form or another, Largo Foods has been operating in Gaoth Dobhair for over 30 years. During the difficult times, between 2000 and 2005, when 900 jobs were lost on the Gaoth Dobhair industrial estate, Largo Foods - or, more correctly, its predecessor, Smailc Bhia - provided alternative employment for many of those who were made redundant. One could say that it was the anchor employer on the estate.

For the 170 people being made redundant now, many of whom are their families' sole bread winners and who have financial responsibilities and commitments, there is, unfortunately, no such alternative employment available. The company maintains that the redundancies are necessary as a result of the need to restructure the industry. When the restructuring is complete, I hope the company will adopt a forward-looking and constructive plan for the plant in Gaoth Dobhair. The facilities there are first class, the workers are highly motivated and skilled, there is a demand for the product and there is no economic reason why the facility in Gaoth Dobhair should not have a viable future.

I ask the Minister to urge the relevant agencies, particularly Údarás na Gaeltachta, to ensure that the current level of employment - that is, post redundancy - will be maintained and that every effort will be made to increase the level of employment when the restructuring is completed. There will be no future for those who will be made redundant, particularly in light of the current economic crisis that obtains in Ireland. The only alternatives for them are the dole queue or emigration. However, these alternatives are unacceptable.

Conor Lenihan (Dublin South West, Fianna Fail)
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The Minister would like to thank Deputy McGinley for raising this important issue today. He would like to emphasise that the loss of any jobs in any Gaeltacht industry is a cause of concern for him and for Údarás na Gaeltachta, and that he can understand the Deputy's concern.

Both the Minister and Údarás na Gaeltachta very much regret the decision taken by Largo Foods Exports Limited to lay off a total of 123 full-time equivalent jobs in its subsidiary companies on the Gaoth Dobhair Business Park. The company has had to take this decision due to increased competition in the market, the unfavourable euro-sterling exchange rate and high production costs. Certain production activities carried out by the Largo Foods subsidiary companies on the Gaoth Dobhair Business Park will be transferred to its automated production plant in Ashbourne, County Meath. Údarás na Gaeltachta understands that this decision is necessary to secure the business into the future.

The Minister welcomes the decision by Largo Foods Exports Limited to continue its development and production of high value-added products on the Gaoth Dobhair Business Park. This will leave 129 full-time equivalent jobs in Largo Foods or its subsidiaries in Gaoth Dobhair, which the Minister believes shows the commitment that the company has in this Gaeltacht area. Údarás na Gaeltachta will work with the company on a continuous basis in its efforts to develop and sustain its business. Arrangements will be made with employees who are to lose their jobs to register with Údarás na Gaeltachta if they are interested in receiving information on employment opportunities or improving their skills.

While these job losses have been a great blow to the area, an t-údarás will continue its efforts to attract new investment to the area, and the Minister is confident that it will do so. A lot of investment is being made into Gaoth Dobhair Business Park, including Áislann Ghaoth Dobhair, which includes a multi-use cultural and community centre at a cost of more than €8 million.

The Minister would like to assure the House that his Department is working with Údarás na Gaeltachta in its ongoing work to generate and sustain employment in the Gaeltacht. In this context, his Department has provided €35 million to Údarás na Gaeltachta for its works programme in 2009. The Minister is confident that through the full co-operation between himself, the Tánaiste and Minister for Enterprise, Trade and Employment, Údarás na Gaeltachta, the IDA and Enterprise Ireland, that these great efforts will be rewarded with the provision of worthwhile, sustainable employment for the people of the Donegal Gaeltacht.