Olivia Mitchell (Dublin South, Fine Gael)
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This topical issue is in the names of Deputies Seamus Healy and Mattie McGrath. I understand that they wish to share some of their time with Deputy Lowry.

Séamus Healy (Tipperary South, Workers and Unemployed Action Group)
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That is correct.

Olivia Mitchell (Dublin South, Fine Gael)
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Is that agreed? Agreed.

Séamus Healy (Tipperary South, Workers and Unemployed Action Group)
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The announcement of the closure of the William Grant and Sons' facility in Clonmel last Thursday was a cruel blow to the 50 workers and their families. This company had a dedicated workforce who worked hard over the years at this facility and this closure has come as a shock to them. It is a big blow also to the town of Clonmel and the surrounding area. This closure is a concern because it is part of a pattern of job losses in Tipperary over the last period, including the significant reduction in jobs at the Cantrell & Cochrane, C&C, site, the Bulmers plant, which is also the site of the location of the Grant's facility. There has been significant job losses there, an undermining of terms and conditions of employment and the transfer of production from the site. There has also been job losses - some 12 jobs - at Gleeson's in Borrisoleigh, another C&C facility, and 20 job losses nationally in administration and sales in C&C. There was a significant loss of 200 jobs at Intellicom in Clonmel in the recent past and also the closure of the Fairgreen supermarket in Carrick-on-Suir.

Last Friday, Oireachtas Members from south Tipperary met the company, Grant's, and a number of disturbing elements arose, particularly the fact that the company had not made contact with the Minister's Department or with any jobs agencies either locally or nationally. Also, the jobs agencies under the Minister's Department have given the company grants to build a distillery in Tullamore. In other words, the Government has subsidised the transfer of jobs from Clonmel to Tullamore and, worse still, the Minister's Department took no steps to ensure the continuation of production of Tullamore Dew or an alternative product at the Clonmel facility. What steps will the Minister take now to ensure that this closure is averted and that those jobs are saved?

Mattie McGrath (Tipperary South, Independent)
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I also appeal to the Minister to get involved in south Tipperary. Some 6,452 people are unemployed in south Tipperary and 7,995 people are unemployed in north Tipperary. The blow of the loss of these jobs to Clonmel is huge. I compliment the employees in Grant's, wish them well and also sympathise with them. Grant's has moved from Clonmel. Action is needed now to work on developing opportunities in other areas.

I appeal to the Minister, who is sitting beside his Minister of State, Deputy Tom Hayes, to stop the nonsense of his Cabinet colleague who, as we find today, is going around the globe, out in the United Nations. He is like an apostle. He might even go to Rome altogether and announce in the Vatican that he has found employment for Cashel. The Minister of State, Deputy Hayes, is working with all of us to try to fill the Johnson & Johnson factory in Cashel. We do not need Allah coming along and telling us that he has it filled and wheeling out a former ambassador to back up his claim. This is ridiculous. I appeal to the Minister and his colleagues to reign in this desperate Minister. That is what he is because, as I said last week, he would turn up for the opening of a can of Coke. He is insisting on boards of management opening schools. He is ringing the schools and giving them misinformation.

His colleagues should rein him in and tell him to cop on to himself. This is a serious business we are in, and he should not be making high profile statements.

Michael Lowry (Tipperary North, Independent)
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I ask the Minister to clarify the position regarding the former Johnson & Johnson plant in Cashel. Last February, the IDA and the Minister of State, Deputy Hayes, announced that this plant had been purchased. Today, we had an announcement on Tipp FM by the Minister, Deputy Kelly, that it had been purchased and that it would reopen under new ownership with the provision of jobs. All of us in Tipperary have been making representations to the IDA about this plant and we were encouraged by the response we got from the IDA, but I would like the Minister to clarify whether the negotiations are ongoing or whether they have been completed. How many jobs does he expect will prevail in the former Johnson & Johnson plant in Cashel?

Richard Bruton (Dublin North Central, Fine Gael)
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I thank the Deputies for raising the matter. I am very conscious that the announcement of a possible transfer of the operation in Clonmel by the company creates problems for the workers there, and my first thoughts are with those workers and their families, as well as the members of the local community, who have received this very difficult news.

I understand the company concerned was started in 1886 in Scotland and is still family owned. The company is the third largest producer of Scotch whisky. The company made a strategic decision to broaden its spirits portfolio beyond Scotch and, in 2010, bought the Clonmel based spirits business of C&C. This comprised the brands of Tullamore Dew, Carolan's Irish Cream liquor and Irish Mist. It subsequently sold the last two to Campari. This gave the company the Tullamore Dew brand and production, and it is enabled by long-term agreements with other whiskey suppliers. This was always going to be a temporary arrangement as, long-term, the company would not rely on direct competitors for whiskey. The company continued to bottle Tullamore Dew on the C&C site in Clonmel. In addition, a co-packing arrangement was included on the Clonmel site bottling Carolan's Irish Cream liquor and Irish Mist liquor.

The company subsequently decided to set up its own distillery. The first phase, completed in late 2014, is for a malt and unmalted distillery at a total investment of €35 million. I am aware that the second phase to build a grain distillery is currently under way. I understand that the activities concerning Tullamore Dew, which historically have been located in Clonmel, will now be transferred to Tullamore and integrated into the new distillery facility.

The co-packing arrangement was reviewed in September 2014 and the company lost the contract. The notice to terminate will take effect from September 2015. There are 50 jobs concerned and redeployment to Tullamore, as well as the timing of the relocation of businesses, is now subject to discussions with employees. On completion of the distillery and supporting service in Tullamore, it is estimated that the employment will grow on that site from a base of 66 in 2014 to 107 by 2019.

I should point out that the company reiterates that it has consistently communicated with its employees about the long-term future of the business.

In regard to any possible job losses, Ireland has a robust suite of employment rights legislation which offers extensive protections to employees. The National Employment Rights Authority, NERA, is mandated to ensure compliance with employment rights and it will be available to assist workers. The Workplace Relations Commission can be contacted as well in terms of assistance and any workers who need support will have access to the State agencies concerned.

I can assure the Deputies that on the wider front employment in the county and the region has been very much to the fore. As they know, I decided earlier this year that we would develop regional action plans in all of our eight regions. I will be working on an action plan, both for the mid-west and the south east, as a part of that. We have put significant resources into that, and we are working with all stakeholders on the ground - chambers of commerce, agencies and education bodies - to ensure we get the very best ideas. The Deputies will be aware that competitive calls have been made, and the local enterprise office is an area from which competitive calls can be made.

In respect of the issue raised by Deputy Lowry, I am aware of reports in the media that the former J&J factory in Clonmel has been sold to a United States pharmaceutical company. As the Deputy knows, this was not an IDA site. It was owned by J&J, and there have been a series of deals. IDA has been actively involved with all of the owners seeking to ensure that the best outcome would be secured for the prospect of bringing jobs to the site after the J&J closure. That continues to be the case. The IDA will work with the new owners but for reasons of commercial confidentiality, I am not at liberty to give any details of discussions that may be going on with the new owners. This is a very competitive business. No deal is ever done until it is finalised, and the IDA will work with the new owner to try to secure a good outcome for the area.

Séamus Healy (Tipperary South, Workers and Unemployed Action Group)
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The unemployment rate in Tipperary is 18.5%, almost double the national average. In the past three years, there was a net loss of 321 IDA jobs in the county. All towns in Tipperary have been excluded from the building of advanced factories and offices by the IDA. Tipperary is not getting its fair share of investment and job creation.

The Minister's Department and the jobs agencies have been aware since 2012 that the Tullamore Dew facility at Clonmel was to cease operations. Effectively, he subsidised the transfer of jobs to Tullamore by way of giving grants for the distillery. In the current circumstances, will the Minister at least set up a jobs task force for the county to ensure that Tipperary gets its fair share of jobs investment into the future?

Mattie McGrath (Tipperary South, Independent)
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I am happy with the Minister's honesty about Cashel. This is too serious a situation for elected representatives in Tipperary to be playing political football with it and travelling to Geneva, Hong Kong or wherever and making these announcements. I am talking about the Minister, Deputy Kelly. We need to respect the people who are unemployed. We need to support the small businesses in Tipperary which are giving employment. We have serious worries about C&C in Clonmel and Gleesons. We have issues and we should sit down, negotiate and support the families, the workers and self-employed people in Tipperary. We are lucky to have the farming industry. I hope something comes to Cashel but eaten bread is soon forgotten, and I will not believe anything until I see jobs in place there. Whatever the Minister, Deputy Kelly, says is poppycock.

Michael Lowry (Tipperary North, Independent)
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I appreciate what the Minister said in regard to Cashel, the necessity for confidentiality and the space and time for the IDA to conclude its negotiations with Amneal, the Jersey-based company. I ask the Minister to keep an observant eye on that and make sure that negotiations are concluded satisfactorily.

Richard Bruton (Dublin North Central, Fine Gael)
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I can assure the Deputies that I am absolutely committed to developing a balanced spread of employment throughout the country. It is encouraging to see that, for the first time, Tipperary has seen employment growth across our agencies - IDA, Enterprise Ireland and the local enterprises offices - and 260 additional people are at work in Tipperary in 2014 as a result of their efforts. That is a start, and we need to build on that.

In terms of unemployment, it has come down by close to 3,000 in Tipperary. That is in sharp contrast to the previous period when 11,000 extra people became unemployed. We are making some progress. The decline in unemployment is around 17% in the county but I am very keen that more progress would be made, and that is the reason we have established the regional enterprise strategy. That gives the Deputies but also various stakeholders in the region an opportunity to become involved in developing proposals, and competitive calls are being made to assist people.

To respond to Deputy Healy, the provision of support for the development of a distillery is not about displacing work elsewhere. This is a valuable asset that this country needs. There is a strong resurgence of distilleries here. For 100 years not a single distillery had been opened, and now there are close to 25 either in planning or being opened. It is a significant opportunity to use native grown material to develop a strong branded product that is inherent to our country and, therefore, it is something worth promoting. It is disappointing to see jobs lost in any situation but I assure the Deputy that the grants provided to support a distillery is not to displace people elsewhere.

I thank Deputy Lowry for his encouragement. I assure him that my determination is to see a good outcome.

It was very disappointing when J&J pulled out of the business there. It was quite unexpected, it being such a significant player here. J&J is a tremendous investor in Ireland. It has disposed of this plant but I am hopeful we will be able to work on this.