Written answers

Wednesday, 8 July 2015

Department of Jobs, Enterprise and Innovation

Company Closures

Photo of Séamus HealySéamus Healy (Tipperary South, Workers and Unemployed Action Group)
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88. To ask the Minister for Jobs, Enterprise and Innovation the steps being taken to avert the closure of a company (details supplied) in County Tipperary. [27795/15]

Photo of Richard BrutonRichard Bruton (Dublin North Central, Fine Gael)
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I understand that the company concerned was started in 1886 in Scotland and is still family owned. The company bought the Clonmel based spirits business of C&C in 2010. This comprised the brands of Tullamore Dew, Carolan’s Cream and Irish Mist. They subsequently sold the last two brands. Production of the Tullamore Dew brand was enabled by long term agreements with other whiskey suppliers and the company continued to bottle Tullamore Dew in Clonmel. The company subsequently decided to set up their own distillery. The first phase completed in late 2014 is for a malt and unmalted distillery at a total investment of €35m. A second phase to build a grain distillery is currently underway. The activities concerning Tullamore Dew that have historically been located in Clonmel will now be transferred to Tullamore and integrated into the new distillery facility.

For the other two brands, a co-packing arrangement was included on the Clonmel site, bottling Carolan’s and Irish Mist. The co-packing arrangement was reviewed in September 2014 and the company lost the contract. The notice to terminate the arrangement will take effect in September 2015. Redeployment to Tullamore as well as the timing of the relocation of business are now subject to discussions with employees. On completion of the distillery and supporting services in Tullamore, it is estimated that the employment will grow on that site from a base of 66 in 2014 to 107 by 2019.

The company reiterate that they have consistently communicated with their employees about the long term future of the business.

In regard to any possible job losses, Ireland has a robust suite of employment rights legislation, which offers extensive protections to employees. The National Employment Rights Authority (NERA) is mandated to secure compliance with employment rights legislation. NERA information personnel are available to meet staff of the affected companies, either individually or collectively, to discuss their employment rights, including matters related to redundancy. The Workplace Relations Customer Service Section can be contacted at Lo-call: 1890 80 80 90. The website www.workplacerelations.ie also provides extensive information on employment rights. The industrial relations machinery of the State is available to assist the parties, if requested.

The State agencies, Enterprise Ireland, IDA Ireland and the Local Enterprise Offices, will continue to work closely with each other, and with local interests, to support an integrated approach to job creation in Clonmel and across County Tipperary.

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