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Dáil Éireann debate -
Wednesday, 24 Mar 1999

Vol. 502 No. 4

Written Answers. - Job Losses.

Andrew Boylan

Question:

36 Mr. Boylan asked the Tánaiste and Minister for Enterprise, Trade and Employment the number of jobs which have been closed down in 1998 in each county indicating jobs which have gone, or announced to go shortly; if a redundancy package was paid in each instance; where the jobs have gone; if they have been relocated in another county or country; the jobs which commenced in each of the counties which have lost jobs; and the jobs which have been announced but not commenced in each of these counties. [8358/99]

Nora Owen

Question:

81 Mrs. Owen asked the Tánaiste and Minister for Enterprise, Trade and Employment the number of jobs closed down in 1998 in each county indicating jobs that have gone or announced to go shortly; if a redundancy package was paid in each instance; where the jobs have gone; if they have been relocated in another county or country; the jobs commenced in each of the counties which have lost jobs; and the jobs announced but not commenced in each of these counties. [8472/99]

I propose to take Questions Nos. 36 and 81 together.

The total number of job losses during 1998 based on data compiled by IDA Ireland, Enterprise Ireland and Shannon Development is estimated at 16,483. The total number of jobs created in 1998, as returned by the agencies, amounted to 30,728, resulting in a net increase in jobs of 14,245. A table showing the breakdown of jobs lost and new jobs created on a county by county basis is being circulated in the Official Report.

Under the Protection of Employment Act, 1997, my Department has received a total of 996 collective redundancy notifications so far in 1999. A breakdown of these notifications on a county by county basis is also being circulated in the Official Report. In addition to the notified redundancies, Fruit of the Loom has announced job losses of 770 in 1999 at its Donegal plant. IDA Ireland has advised of a further 320 redundancies at Arlington Ltd. in County Laois. It should be noted that notified redundancies may not actually arise in all cases.
Qualifying employees are entitled to statutory redundancy under the Redundancy Acts. Any individual who is concerned about the question of redundancy entitlements should contact my Department which will be glad to assist in clarifying the position regarding entitlements.Ex gratia redundancy packages are a matter for the companies themselves and I am not in a position to provide details in regard to this aspect.
There are many reasons why companies close or reduce the numbers employed including, for example, rationalisation, competition in the market place, especially from low-cost countries, and relocation. During 1998 and 1999, among the significant closures announced by foreign companies, relocation to Greece and Malaysia was cited as a reason in the case of two large employers.
A full comparison of job announcements and closures is not available as neither Shannon Development nor Enterprise Ireland announce details of the smaller job creation projects.
In the case of IDA Ireland, job announcements in 1998 amounted to 24,595. This compares with a total of new jobs created in 1998 of 15,996. The number of jobs announced would in many cases be phased in over a period of years and would not all fall to be created in the year of announcement.
Employment losses must be seen in the context of overall strong economic growth, declining unemployment, and sustained employment expansion throughout the economy. Employment is dependent on the success or failure of individual firms in the market economy and it is inevitable that some firms will fail, as indeed, many will thrive and generate additional employment. 1998 was the fifth successive year of strong economic growth and this is reflected in the numbers of new jobs created with the assistance of the development agencies.
Job Gains and Losses in 1998

County

New Jobs

Job Losses

IDA

EI/SFADCo/IDA/SFADCo

Carlow

72

263785

Cavan

49

30931186

Clare

39

0214752179

ShannonFree Zone

981220

Cork

2343

12161021 866

Donegal

54

365311222

Dublin

7371

47312075 3296

Galway

673

701144200

Kerry

182

14711110037 109

Kildare

435

472486388

Kilkenny

58

2328291

Laois

7

10910823

Leitrim

17

758441

Limerick

1681

366796663288

Longford

57

25510 52

County

New Jobs

Job Losses

IDA

EI/SFADCo/IDA/SFADCo

Louth

346

56072416

Mayo

484

26033226

Meath

79

41970181

Monaghan

24

46010145

Offaly

90

130 793510760

Roscommon

70

2383052

Sligo

241

10985 137

Tipp-North

8

23195750125

Tipp-South

204

185 101870

Waterford

702

37576470

Westmeath

238

234 247116

Wexford

137

257140287

Wicklow

335

312169 417

Total

15996

12473225971868316981

Source: IDA Ireland, Enterprise Ireland and Shannon Development
24 March 1999
Collective Redundancy Notifications 1999

County

No. of RedundancyNotifications

Clare

85

Cork

339

Donegal

148

Dublin

103

Kerry

11

Kilkenny

97

Limerick

52

Meath

19

Tipperary

142

Total

996

Source: Department of Enterprise, Trade and Employment
24th March 1999
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