Damien English (Meath, Fine Gael)
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Question 87: To ask the Minister for Enterprise, Trade and Employment the action he intends to take on the threatened closure of a plant (details supplied) in County Sligo; and if he will make a statement on the matter. [37857/05]

Micheál Martin (Cork South Central, Fianna Fail)
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The company in question has announced that it intends to close its Sligo operation by the end of 2006. I understand that the company has commenced an extended staff consultation process of 60 days and the outcome of this process is likely to be a phased transfer of the operation outside of Ireland next year.

The company was acquired earlier this year and, I understand, the parent company considers that there is a need to consolidate operations as there is not enough business to support the operation of a number of facilities that make similar product. A review of the operations at Sligo has led to the conclusion that the Sligo business should be relocated. The review was the direct result of the competitive pressure being experienced by the company's customers and a requirement to continue to reduce manufacturing costs. While the most likely scenario is a phased shutdown of the Sligo operation beginning in spring 2006, nonetheless, IDA Ireland will continue to work closely with the company while the review process is under way.

Job losses are of ongoing concern and the Government is doing all in its power to create structures through its enterprise development and training agencies to facilitate those who lose jobs to gain new ones, particularly ones that offer more opportunity in terms of skills and permanence. While FÁS has already visited the company, the agency is awaiting confirmation as to when it can commence the process of interviewing the staff. The full range of FÁS services will be offered to the staff if the staff wish to avail of those services.

There have been two particularly significant job announcements for Sligo in recent times. These are Abbott Ireland, which is to add 350 new jobs to its existing facility, and IDT Toucan, which is to create 300 new jobs at its customer service centre. I can assure the Deputy that the State development agencies under the aegis of my Department will continue to work closely together and with local interests in promoting Sligo for further job creation and investment.