Written answers

Wednesday, 4 March 2015

Department of Jobs, Enterprise and Innovation

Job Losses

Photo of Michael Healy-RaeMichael Healy-Rae (Kerry South, Independent)
Link to this: Individually | In context | Oireachtas source

82. To ask the Minister for Jobs, Enterprise and Innovation his views on correspondence (details supplied) regarding job cuts in County Kerry; and if he will make a statement on the matter. [9556/15]

Photo of Richard BrutonRichard Bruton (Dublin North Central, Fine Gael)
Link to this: Individually | In context | Oireachtas source

My first thoughts are with the workers concerned and their families as they receive this very difficult news. All the supports of the State will be made available to workers as and when needed. I engaged with senior management of the company in question last week and have urged them to reconsider this decision, and asked if there is anything the State or its agencies can do to mitigate its effects. However, due to a cost base which is significantly out of line with competitor countries, the company has announced a rationalisation at its Kerry plant. The company has pledged to support departing workers with placement services.

In response to these developments, I have established an inter-agency group to coordinate the Government’s response to the job losses at the company. The group will be led by Enterprise Ireland, and will both seek to secure alternative employment for the areas affected, and also ensure that departing workers have access to supports they need from State agencies for retraining, access to social welfare supports and access to advice on employment rights.

In an effort to coordinate constructive cross-party action to support workers affected, I invited TDs and Senators from the areas affected, including Kerry, to a briefing in my Department on the situation yesterday. The situation at the company was also the subject of a Topical Issues Debate in the Dáil yesterday.

The company have said that they would work closely with workers in an effort to ensure that the impact of its decision is minimised to the greatest extent possible and to discuss investment it will be making in Ireland in order to build a stronger business here for the long term. Enterprise Ireland will be involved in those discussions and I have directed the agencies of my Department to step up their efforts to bring employment to the areas affected. Enterprise Ireland is in ongoing interaction with the company to support the retention of the existing jobs and to support the Group going forward. In addition, Enterprise Ireland will continue to support entrepreneurs, enterprises and job creation in Kerry.

The number of people at work in IDA supported companies in Kerry has increased by over 360 in the period 2011-2014, while the number of people at work in Enterprise Ireland supported companies has increased by over 170 in the same period.

Last month, I announced details of the Action Plan for Jobs: Regional Initiative which will seek to maximise the strengths and assets of each region to support enterprise growth and job creation. The Regional Action Plans will identify specific measures that can be taken to help each region to realise its economic potential, with a view to increasing the number of people at work in the region. My objective is that six Regional Action Plans will be launched by July, with two remaining Plans in development at that stage. It is not intended that Regional Action Plans will target every individual town for job creation or investment but, rather, that these plans will identify measures that can be taken to enable the region as a whole to build on its competitive strengths and increase the number of people at work.

As part of this initiative, new funding of up to €250 million will be made available over the next five years to support job creation through enterprise growth in the regions. This includes €150 million for an IDA property investment programme to attract foreign direct investment into the regions, and €100 million to Enterprise Ireland to support indigenous enterprises to start up, grow and export.

Comments

No comments

Log in or join to post a public comment.