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Dáil Éireann debate -
Thursday, 19 Jul 1973

Vol. 267 No. 9

Ceisteanna—Questions. Oral Answers. - Carlow Food Processing Factory.

103.

asked the Minister for Finance if he will make a statement on the likelihood of continuity of employment for the workers of Erin Foods in Carlow.

104.

asked the Minister for Finance the steps that are being taken by CSET to protect the employment prospects of workers engaged in food processing in Carlow.

With your permission, a Cheann Comhairle, I propose to take Questions Nos. 103 and 104 together.

I am informed by Cómhlucht Siúicre Éireann Teoranta that the Carlow food processing factory has incurred very heavy continuing losses and unfortunately there does not appear to be any prospect of an improvement in this position. While no plans have been made so far, the company proposes to phase out production at the factory. At my request, the company's objective is to ensure that any phasing out of production will not result in redundancy of full time employees. As a solution to the problem, the company has been endeavouring to attract alternative industry to the Carlow factory.

What success has attended the efforts the Minister mentioned in attracting alternative industry to Carlow? I asked the question because I seem to recall that there was a Government undertaking to the workers in Erin Foods at Carlow that if the running-down of their factory became inevitable it would be replaced by another factory with equal employment.

I think it would be inappropriate to indicate discussions which are at present taking place regarding alternative employment, but we are satisfied that the alternative employment which will be made available in the Carlow area will absorb any people who may find themselves laid off by reason of the phasing out of the food-processing activities in the foreseeable future. The board of the Sugar Company, whom Deputies will appreciate are the people responsible—not the Minister for Finance—have assured me that they would respect the request which I have already made to them to ensure that there is no reduction in the employment opportunities pending the introduction of alternative opportunities of employment.

Could the Minister now assure the House that, as a result of his statement, there will be no redundancies in the Erin Food plant in Carlow until such time as alternative employment is supplied by another industry? The Minister met a workers' committee from that area and I am sure he knows how perturbed they are about the situation. I should like him to reassure the House that there will be no redundancies until an alternative industry is provided.

The House may be assured that there will be no redundancies arising out of my statement. That is the question Deputy Nolan put to me. I have given the clearest answer possible in the circumstances. I have related to the House what I have been informed by the board of the Sugar Company, who are acting at our request to ensure that there will be no redundancies pending alternative employment opportunities.

Have the IDA not been asked, as a matter of priority, to provide an alternative industry in the Carlow area in the event of this plant closing down?

The Minister stated in his reply that there will be no redundancies among permanent employees. I am sure he is aware that the question of the permanent employees is only one factor in the case. The main worry concerns the people who find work there during the Erin Foods campaign. Could an assurance be given by the Minister that this processing plant will not be closed until alternative employment is found? Is the Minister aware that 12 months ago the then Minister for Industry and Commerce and the then Minister for Finance met the workers' committee and gave an undertaking to the deputation at that time—

This seems to be a long question.

A Deputy

He is making a statement.

The Chair is in control of Question Time. Give the Deputy a chance.

——that the factory would not close until alternative employment was found? Are there any records in the Minister's Department to show that any action was taken between then and the change of Government?

We did not break our promises.

I am sorry to say that during 1972 there were 175 redundancies in the Carlow area. It is our intention to ensure that a similar pattern does not occur in 1973.

I am aware that the present Minister for Finance——

The Deputy must ask a question.

Is the Minister aware that within the last few months when the Minister for Industry and Commerce and the Minister for Finance met the workers' committee from Carlow in Dublin they gave an undertaking to visit the factory.

The Deputy is engaging in an argument and is making statements on this matter. I want to help him.

Will the Minister give an undertaking that no decision will be taken with regard to the phasing out or the closure of this factory until that promise is honoured by both Ministers to meet the workers again?

The Deputy may be assured that my colleague, the Minister for Industry and Commerce, and I are looking forward to visiting Carlow in the near future.

In relation to what Deputy Governey has mentioned and the reply to it, is it not true that a very attractive industry was in fact about to be established in Carlow early last March and that since, for reasons that need not be gone into, that industry has gone to Portugal? I am not assigning blame to anybody.

The Deputy is broadening the subject matter of the question. He is bringing in new matter altogether.

How many redundancies were there in Erin Foods last year?

This is a different question altogether.

There were 175 redundancies in Carlow last year.

In Erin Foods?

I am not in a position to particularise their location but several of these were in Erin Foods?

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