Jack Wall (Kildare South, Labour)
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Question 39: To ask the Tánaiste and Minister for Enterprise, Trade and Employment if her attention has been drawn to the announcement of the loss of 160 jobs at a company (details supplied) in County Carlow; the discussions she has had with the industrial development agencies with a view to securing replacement jobs; and if she will make a statement on the matter. [27451/09]

Conor Lenihan (Dublin South West, Fianna Fail)
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IDA Ireland has worked with the Braun Oral B management team to seek replacement projects for the Carlow operation. The Tánaiste and Minister for Enterprise, Trade and Employment and IDA Ireland have had meetings at corporate level with Proctor & Gamble in the United States to explore opportunities for Ireland.

The decision to exit certain product lines was taken following the steady decline in consumer demand for gas-powered hair care appliances in recent years. A sourcing study was initiated to examine all potential options for Carlow. Regrettably, the decision of the study is that in order to keep the business viable, the company will transfer the remaining product lines from Carlow to the Braun Oral B manufacturing site at Newbridge, with the closure of the Carlow site by mid-2010. This is disappointing for Carlow. However, a decision was made to keep the business in Ireland and Braun Oral B will be able to secure future employment for approximately 100 of the Carlow employees at the Newbridge site.

IDA Ireland's strategy for County Carlow within the south-east region is to progress the development of a knowledge economy in order that it, and particularly the county town of Carlow, can compete both nationally and internationally for foreign direct investment. Specifically, this includes the provision of world-class property solutions with supporting infrastructure and working with local development partner agencies in County Carlow to advance critical supporting infrastructure, both hard and soft, which will contribute to a sustainable business environment for the long term. IDA Ireland is also actively engaged with the existing client base in County Carlow to encourage its transition to continually higher-value activities to promote further investment in Ireland.

Carlow has traditionally been a centre of manufacturing, with a strong engineering tradition in both the indigenous and overseas sectors. For companies in the engineering and consumer products sectors, the business environment has become more challenging in recent years. With much of the investment globally in these sectors now going to low-cost destinations such as eastern Europe and China, the task of moving up the value chain becomes increasingly urgent and relevant.

Jack Wall (Kildare South, Labour)
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I am pleased that, in this instance, not all of the jobs involved will be lost. I appreciate the fact that the chief executive of the relevant company telephoned me to outline the difficulties it is experiencing. It is a welcome development that approximately 100 of the Carlow employees will be retained at the Newbridge site.

I accept that we are living in extremely difficult times. However, there have been major job losses in Carlow and Athy. Employment in the industrial sector in south Kildare and Carlow has been badly hit, at companies such as Braun, Lapple, the Irish Sugar Company and a number of others in Athy. I understand that problems exist. However, I request that consideration be given, in the context of the overall picture, to the area to which I refer.

When I was employed by Braun, the workforce there numbered some 1,400. Now, however, the doors of what is a magnificent facility are to be closed. In addition, Lapple and the Irish Sugar Company were also been closed. Carlow is now a major unemployment blackspot. Some ten companies have also moved their operations out of Athy. The State agencies must consider what action to take in respect of this area and I ask the Minister of State to provide a commitment that they will do so.

Conor Lenihan (Dublin South West, Fianna Fail)
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I would be delighted to give such a commitment. I wish to reassure the Deputy that IDA Ireland has a commitment to Carlow. It is important to note that earlier this year Merck, Sharp & Dohme announced an investment of €20 million and 160 additional jobs. In addition, the US-based company, Unum, also announced the creation of jobs in Carlow. There is a real commitment on the part of the agencies to co-ordinate their efforts in order to ensure that Carlow will not become an unemployment blackspot in industrial terms.