Dara Calleary (Mayo, Fianna Fail)
Link to this: Individually | In context | Oireachtas source

87. To ask the Minister for Jobs, Enterprise and Innovation the action he has taken to protect jobs at a company (details supplied) in County Clare; and if he will make a statement on the matter. [40890/15]

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

Last week’s announcement of the company’s intention to exit the plant was very disappointing. This factory has been in operation there since 1974, providing substantial levels of employment since then, with the workforce now standing at 240 employees. The company is proposing to seek a buyer for the site.

The announcement by Roche that it is planning to exit the site and market it to alternative investors arises from a global process undertaken by the company, which is resulting in the closure of other Roche facilities in the USA, Spain and Italy.

The State enterprise agencies have a strong record in finding alternative employment in facilities earmarked for closure, in particular where there is a long lead-in time which allows the site to be marketed effectively. It is of note in this case that the company has not planned any redundancies and plans to continue operation for a considerable period. I have directed the Agencies that no effort be spared in the search for an alternative investor for this facility.

I have spoken to senior executives at the company on these issues. IDA Ireland has been engaging with the company on these issues, and will continue to engage with the companies as the Agencies seek a buyer for the plant.

It is encouraging that in a number of similar situations where closures have been announced, the State enterprises have been able to find alternative investors, including GSK/Stiefel in Sligo, Pfizer/Amgen in Dun Laoghaire, J&J/Amneal in Tipperary. It is important also to remember stories like Talk Talk/Eishtec in Waterford and also Bausch and Lomb.

I have directed the IDA to actively pursue a new buyer for the plant and they will work proactively with the company, who are also committed to seeking a buyer. The IDA will draw up a detailed prospectus with the company. IDA will highlight the attractions of this facility for both its existing client companies and potential new investors, who may be interested in such a facility throughout its wide international network. The gradual wind-down period will give a welcome window in which to pursue this objective.

Despite some challenges in the pharma sector in recent years in Ireland, it is worth pointing out that the sector has adapted very well to a fast changing landscape and, between 2011 and 2014 (data for 2015 is not yet available) employment numbers in Agency-supported companies in the pharmaceutical and chemical sector has actually increased by 7%. In addition, the profile of the Irish industry has changed significantly with huge levels of investment having taken place by companies and we now have a very impressive footprint in the growing biopharmaceutical sector, in particular.

Since the launch of the National Action Plan for Jobs, we have seen 7,000 extra at work in the Mid West. This is in contract to 20,000 job losses in the previous 3 years. We have also seen the start of a strong recovery in Clare. In 2014, an additional 700 people are at work in enterprises supported by the Agencies of my Department: IDA, EI and LEO. The Live Register in Clare also fell by 10% in the past 12 months.

While all regions have experienced job growth – the recovery the Government believes we can do better with dedicated Regional Enterprise Strategies. The Mid-West Regional Action Plan which includes Counties Clare, Tipperary and Limerick, was launched last month and has a comprehensive set of proposals to drive job creation there in the years ahead.

In terms of wider FDI, it is also important to remember that Ireland continues to be competitive in attracting new investment. Over 1,000 multinational corporations have chosen Ireland as their strategic European base.

The Government's job creation efforts are illustrated in yesterday’s CSO employment data which shows our unemployment rate to have fallen again, to 9.1%, with an additional 56,000 jobs having been created in the year to Q3 2015. From a regional perspective, over the last 4 years unemployment in the Mid-West region has fallen from 17% to 9.8% which is a very impressive achievement.