Written answers

Wednesday, 22 May 2013

Department of Jobs, Enterprise and Innovation

Company Closures

Photo of Andrew DoyleAndrew Doyle (Wicklow, Fine Gael)
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50. To ask the Minister for Jobs, Enterprise and Innovation the steps he and his Department have taken to date in order to secure the long term future and to find a new employer for the Merck site in Rathdrum, County Wicklow, where 280 people are currently employed; if he has engaged the key stakeholders to collectively seek a solution for a buyer to come in and take over this site; the role of the Industrial Development Agency in this process; the progress that has made to date since the announcement regarding the site closure in 2015; and if he will make a statement on the matter. [24140/13]

Photo of Richard BrutonRichard Bruton (Dublin North Central, Fine Gael)
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Both I myself, and IDA Ireland, fully recognise the seriousness of the situation as announced in March last, that this company intends to cease operations at its facility in Rathdrum, Co. Wicklow, which will result in all 280 positions at that site being lost.

Layoffs will start around the end of 2014 and the facility will close in 2015. Some production will transfer to other Merck facilities and to contract manufacturers. The proposed action is an outcome of the company's on-going review of its worldwide manufacturing capabilities that has, unfortunately, resulted in sites being sold, closed or consolidated in all regions of the world.

IDA Ireland is actively engaged with local company management and with the relevant company officials at corporate HQ level, to seek to find a buyer for the Rathdrum site and is currently in the process of contacting a number of companies around the world to pursue this option. To date there are no developments on a new buyer, but it is still very early in the process.

It is worth noting that Merck has a substantial and strategic presence in Ireland, having invested over €2.2 billion in this country. There are currently 7 facilities with 1,957 permanent jobs supported by IDA That Agency is working closely with Merck’s corporate executive leadership and their Irish management on future investments, including R&D, IT/business services and transformation projects. The goal is to secure the majority of those 1,957 existing jobs in Ireland and to embed them further in Merck’s future manufacturing network and research infrastructure.

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