Written answers

Tuesday, 6 November 2018

Department of Jobs, Enterprise and Innovation

Job Creation

Photo of Eoin Ó BroinEoin Ó Broin (Dublin Mid West, Sinn Fein)
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470. To ask the Minister for Jobs, Enterprise and Innovation the status of the work carried out following meetings with local representatives in Athy municipal district to help improve employment in the area due to the announcement of the closure of a plant (details supplied). [44982/18]

Photo of Heather HumphreysHeather Humphreys (Cavan-Monaghan, Fine Gael)
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The decision by Coca Cola to close Athy International Concentrates was very disappointing for the town of Athy and its wider catchment area. I am informed that the closure is taking place on a phased basis from September 2018 to December 2019. While I very much regret this development, I understand that Coca Cola has committed to supporting staff through redundancy packages, financial advice and re-training. The company has made it clear that it remains fully committed to its other facilities in Ireland. I understand that more than half the roles that are being lost in Athy will transfer to its facility in Ballina.

The company indicated to IDA Ireland that they are exploring all options with regard to the building but have not yet confirmed an option.

On 14th June 2018, I attended a meeting in Athy with local representatives to discuss the closure of the plant. This meeting was a useful opportunity to hear first-hand the impact that this announcement will have on Athy and the surrounding area as well as specific challenges Athy faces.

At the meeting, I reiterated the Government’s commitment to work towards bringing regional unemployment to within one percentage point of the national average by 2020. I am pleased that the Mid-East, as a region, is currently performing very strongly on that measure with an unemployment figure of 5.8% which exceeds that target (CSO Labour Force Survey Q2 2018).

Regional development is a key priority of the IDA, with a target set of increasing investment in every region of Ireland - by 30%-40% by 2019. Co. Kildare is marketed by IDA Ireland as part of the Mid-East region, together with counties Meath and Wicklow. There are 28 IDA supported client companies in Kildare, collectively employing 9,282 people. IDA Ireland is working hard to increase these numbers further. A dedicated Regional Business Development Manager for the Mid-East has been appointed to assist the Agency in winning more investment for the area. The Agency will continue to draw the attention of potential investors to the particular strengths of Co. Kildare and the wider Mid-East region.

It is important to emphasise that FDI only forms one part of potential investment in regional locations. Indigenous enterprise is responsible for a significant portion of employment growth nationally, especially outside Dublin. My Department and all its agencies, including Enterprise Ireland and the LEOs, work together constantly and collaboratively to ensure that jobs and investment are spread as fairly as possible across this country.

Enterprise Ireland (EI) is working to improve the situation in Athy together with the Local Authority and the Local Enterprise Office (LEO). Following the announcement of the closure of the Coco Cola plant in Athy, LEO Kildare provided support to management and workers. Currently, 15 of the former employees are undergoing a Start Your Own Business programme, while Kildare County Council, through the LEO office, has also assisted with finding alternative job opportunities for the workers with other companies. In addition, EI is engaging with the Mid-East Regional Skills Forum in relation to the emerging skills agenda, alongside the Forum partners.

The Mid-East Region Action Plan for Jobs has been a key policy response for supporting employment growth in the Mid-East, through a collaborative approach working with public and private stakeholders. Earlier this year, I asked the Chairs of all the Regional Action Plan for Jobs committees and other regional stakeholders, to start a process to Refresh and Refocus the Regional Plans, including the Mid-East Plan, to ensure their effectiveness, relevance and impact out to 2020, particularly in light of Brexit and other challenges.

I met with the Chairs of the Regional Implementation Committees last month to review progress on the refresh of the Plans, including the chairperson of the Mid-East group, Eamonn Sinnott of Intel Ireland. The refreshed Mid-East Regional Action Plan will be an important element in driving new enterprise investment and growth in the three constituent counties of Kildare, Meath and Wicklow, and I look forward to seeing the Plan completed over the coming months.

In December last year I announced an allocation of €30.5 million in funding to 21 projects to support enterprise capability in the regions under the €60 million competitive EI Regional Enterprise Development Fund. I expect to announce the results of the second call over the coming weeks, which will allocate the remainder of the €60 million.

Co. Kildare was the location of one of the 21 successful projects under the first round and secured significant funding to develop a Mid-East Regional Innovation ‘Think-Space’ to be located in Naas. This facility will be a great support to start-ups and businesses emerging from Co. Kildare and the wider Mid-East. Also under the first round, IT Carlow was successful in securing funding for the Insurtech Network Centre, which again will be an important asset to the Carlow/South Kildare area.

The Government’s role is to ensure that the right conditions are in place to allow enterprise to thrive. I was glad to see that everyone around the table that I met in Athy – TDs, Councillors, the Local Authority, State Agencies, and local businesses – are committed to a collaborative approach to drive enterprise development in Athy and the wider region.

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