Séamus Kirk (Louth, Fianna Fail)
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Question 436: To ask the Minister for Jobs, Enterprise and Innovation if his attention has been drawn to the serious threat to the employees of a company (details supplied) in Dundalk, County Louth; if he will examine the current position; and if he will make a statement on the matter. [17857/12]

Richard Bruton (Dublin North Central, Fine Gael)
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The position is that Vodafone tendered for its Mobile Customer Service work in 2012. Rigney Dolphin was the incumbent provider with 290 full-time-equivalent positions at Vodafone's offices in Dundalk and Dublin. A French company, Teleperformance (also Vodafone's UK provider) won the new tender. Teleperformance has operations in Newry, Co Down. I understand that this change has arisen out of Vodafone's on-going review of customer care and the necessity for the company to provide services as cost effectively as possible. As I'm sure you can appreciate the market for these types of contract is extremely competitive.

Vodafone Ireland has advised that it envisages that all of Rigney Dolphin staff based in Vodafone will transfer as employees to Teleperformance and that the transfer will observe the Transfer of Undertakings – Protection of Employees (European Communities (Protection of Employees on Transfer of Undertakings) Regulations 2003) Regulations.

The Regulations require that in a transfer situation, both the original employer and the new employer inform employee representatives of the reasons for the transfer and the date on which it will take effect. There is also a requirement to advise employees of the legal, economic and social implications for them of the transfer. This information is required to be given no later than 30 days in advance of the intended date of the transfer.

I understand that Vodafone Ireland and Rigney Dolphin are entering a six-week consultation process with employee representatives, prior to the new arrangements taking effect and therefore, it would be inappropriate for me to comment further at this point.

As always, the State's industrial relations machinery, including the Labour Relations Commission, is available to assist in this process, if requested and it goes without saying that the State enterprise agencies, Enterprise Ireland and IDA Ireland, and Louth County Enterprise Board will continue to make every effort that they can to develop new employment opportunities for Dundalk.

Recent developments such as the announcement last month by PayPal to create 1,000 jobs in Dundalk, which is being supported by the Government through IDA Ireland, demonstrates that Dundalk provides the key skills and business infrastructure required by global leaders such as PayPal and is an encouraging sign for the future.