Mary Coughlan (Donegal South West, Fianna Fail)
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On 5 January, 2009, CIGNA announced that it would reduce its global workforce of 28,000 by four percent, including all 180 positions in Loughrea on a phased basis from March, 2009. The closing of the Loughrea operation arose mainly due to developments in the US market, as the Irish company supported U.S. based customers. IDA is continuing in contact with CIGNA to discuss alternative future activities for Ireland. The company has worked closely with IDA in the marketing and promotion of the building at Loughrea as a location for other IDA target companies.

Last May, I visited Loughrea and met with local CIGNA management and assured them of the full support and assistance of the State development agencies as regards any future proposals that they might have. Senior Management from Enterprise Ireland, along, with IDA, FÁS, City & County Enterprise Board, Údarás na Gaeltachta, Department of Social and Family Affairs and the Local Authority have met on three occasions under the chairmanship of the County Manager to ensure that an integrated and strategic response was put in place to address the loss of 180 jobs in Loughrea. The 4th Meeting is planned for the 20th October, 2009.

On the 24th February Enterprise Ireland and the City and County Enterprise Board visited Cigna for a workshop on Start Your Own Business. Arising from this, there were ongoing discussions in response to various staff queries. FAS and the Department of Social Welfare were also actively involved with the staff on an ongoing basis.

Another initiative from the response group involved the County Manager inviting representatives from three groupings in Loughrea who had demonstrated a wish to be involved in the process to meet with all of the Agencies. This meeting was held on the 12th March in the County Buildings Loughrea and the three groups involved included Loughrea Chamber, Enterprise Development Committee and the Town Commissioners. The purpose of this meeting was to discuss the appropriate strategy to foster Enterprise Development in Loughrea.

Outside of the above meetings, Enterprise Ireland has met with the Loughrea Enterprise Group on four occasions and it has ongoing regular discussions with its Chairman. In this difficult economic environment, Enterprise Ireland is in very early discussions with two entrepreneurs regarding developing their business plans. Discussions have also been held regarding a Community Enterprise Centre for the town.

Terence Flanagan (Dublin North East, Fine Gael)
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Question 164: To ask the Tánaiste and Minister for Enterprise, Trade and Employment if she will respond to a matter (details supplied); and if she will make a statement on the matter. [36356/09]

Dara Calleary (Mayo, Fianna Fail)
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I can confirm that my Department received applications in June under the Insolvency Payments Scheme from the administrator of this company for minimum notice and holiday pay on behalf of Mr. Duffy. These claims are currently being processed. I understand that it is hoped to complete processing of the claims for Mr. Duffy, along with those of other former employees of the company, and make payments within the next week.

I should point out that the impact on business of the severe economic circumstances currently pertaining has resulted in a significant rise in the level of company receiverships and insolvencies. Consequently, an increasing number of claims are being submitted to the Insolvency Payments Section, with 17,933 new claims recorded from January 1 to September 30 - an increase of over 144% against the corresponding figure for this period in 2008. My officials endeavour to process all claims as quickly as possible and claims are dealt with in order of date of receipt.