Michael Creed (Cork North West, Fine Gael)
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Question 220: To ask the Minister for Social Protection the steps she will take to protect the services delivered under the community services programme as previously administered by Meitheal Forbartha na Gaeltachta; the progress being made to bring about a comprehensive resolution to the problem arising from the liquidation of MFG; and if she will make a statement on the matter. [26184/11]

Joan Burton (Dublin West, Labour)
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Meitheal Forbartha na Gaeltachta Teoranta (MFG) is an independent company with its own board of management which has responsibility under company law for the proper stewardship of the company. My Department has no role in the internal operations of this company and, therefore, does not have a role in relation to staff matters, or determining its approach to resolving its current difficulties. These matters are for the Board of the company to manage.

The Department of Social Protection was informed that MFG has decided to cease trading with effect of 7 September 2011. MFG holds contracts with Pobal, on behalf of this Department, to manage and fund three services under the Community Services Programme. The decision of MFG to cease trading has implications for the staff employed and for the communities in Gaeltacht areas benefiting from these services.

My understanding is that the Department of the Environment, Community and Local Government and Pobal are working with representatives of the MFG Board and management to resolve a range of financial, legal and employment issues. As the contract holder for the Community Services Programme, it is open to the MFG Board to propose alternative arrangements for the delivery of services. This Department will work constructively with the MFG Board to find workable resolution in support of the staff members and communities affected.