Written answers

Wednesday, 24 October 2007

Department of Enterprise, Trade and Employment

Job Losses

8:00 pm

Photo of Jan O'SullivanJan O'Sullivan (Limerick East, Labour)
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Question 96: To ask the Minister for Enterprise, Trade and Employment his views on the recent announcement that 178 jobs are to be lost at a plant (details supplied) in County Clare; his plans to ensure that replacement jobs are found for the area; and if he will make a statement on the matter. [25375/07]

Photo of Micheál MartinMicheál Martin (Cork South Central, Fianna Fail)
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On 26 September 2007, the company in question notified me that it was proposing collective redundancies in order to streamline and improve operating efficiencies. The company employs 200 staff. I understand the redundancies will take place between January / February 2008 and September 2009. However, some 20 jobs will be retained in research and development and engineering / project management. Accordingly, there is a possibility of future growth in these activities at Shannon.

I am very conscious of the effect that the proposed job losses will have on the workers involved and their families as well as the community in the surrounding area. I wish to assure the people concerned that the relevant State agencies will provide every support they can. The priority will be to find alternative employment for those involved at the earliest opportunity. The industrial training agency FÁS has already been in contact with the company regarding the assistance available from the agency. The full range of support services available from FÁS will be provided to the workforce. The full range of support services provided by FÁS include:

Intensive interviews, individually and/or in groups, with affected workers to outline the range of supports and services available;

Preparation of a Skills Analysis Report by FÁS based on identified workers' needs, and local opportunities;

Referral by FÁS of redundant workers to jobs, training courses or other options;

Establishment by FÁS of special or customised training courses where necessary;

On-going support and action to keep redundant workers in touch with the labour market.

There is a strong diverse manufacturing base existing at Shannon. Shannon Development has now commenced a process, in conjunction with this company's phased downsizing, where it will bring Shannon Free Zone and regional potential employment opportunities to the attention of the company. In addition, the new Westpark Business Campus development will assist Shannon in winning new investment in key sectors into the future.

As part of an integrated mid-West strategy, IDA Ireland is actively promoting County Clare for foreign direct investment in line with its objective to pursue balanced regional development. The agency's strategy for the region involves a transition to the knowledge economy by winning new foreign direct investment in innovation driven, high value sectors and working with its existing company base to expand their presence in Ireland.

Enterprise Ireland continues to support the existing business base in County Clare. An extensive high potential start-up company promotion campaign will commence in the area. Indeed, Smithstown Industrial Estate near Shannon Airport is the location of a significant cluster of Irish owned manufacturing companies.

The Government and the State Development agencies, in partnership with other key players, recognize the need to provide high value employment opportunities in County Clare that provide sustainable long-term jobs. I am confident that the strategies and policies being pursued in the County, together with the ongoing commitment to regional development, will maximise the flow of potential investors for the area and convert these into investment and job opportunities.

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