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Dáil Éireann debate -
Wednesday, 6 Oct 1999

Vol. 508 No. 4

Adjournment Debate. - Job Losses.

I have raised the matter of unemployment in the Athy area on a number of occasions in this House and in the Seanad. Sadly, however, we have not seen any significant action. We have suffered lay-offs in a number of factories and numerous factory closures, including the closure of a knitwear factory in the past few days resulting in the loss of 50 jobs.

As the Minister of State is aware, I have asked his Department to establish a task force for south Kildare. Task forces in other areas of the country have been very successful when there have been major job losses. Athy and south Kildare have not suffered high profile factory closures such as Seagate in Clonmel or Packard in Tallaght. However, the loss of jobs in my constituency has been gradually increasing for the past 15 years with little or no new investment – five factories have closed in that period alone. The net effect of these job losses is equivalent to the closure of a Packard or Seagate facility. The people of south Kildare deserve the same official response as the people in towns where factory closures have hit national newspaper headlines and there is an expectation on the Minister to produce a response.

I acknowledge the Tánaiste met with Athy UDC and elected representatives of south Kildare and that she played a role in setting up the Athy Forum which is in the process of putting in place a structure which will assist Athy in the future. However, this is not enough. There is a need for the Minister to establish a task force for the area to work in tandem with Athy Forum, the chamber of commerce and other local community groups to attract significant industrial investment to the region. Athy has major advantages for industry. The River Barrow can provide ample water supply for any new industries. Land for industrial development is readily available. One of the best institutes of technology in the country is within 11 miles of Athy and produces excellent skilled graduates. Our secondary schools also have a proud record in giving pupils the skills and qualities necessary in today's labour market. However, at present, these people have to leave the area to find decent employment.

In tandem with the establishment of a task force, there is a compelling case for Athy to be included in any new decentralisation programme drawn up by the Government. The location of a major Government agency or Department in the town would transform commercial life in Athy and give a much needed economic boost to the region. The fact that no new industry has located in Athy in the past 25 years raises serious questions as regards the commitment of State agencies towards supporting employment and investment in Athy.

Athy is a marvellous location for any new industry locating in Ireland. However, I cannot understand why no prospective investor has visited the area for some time. I ask the Minister to rectify this situation immediately. Athy and its hinterland needs new industry to replace the constant job losses it has endured in recent years. A task force is a vital element in achieving this goal. I ask the Minister to focus the energies of the various State agencies on working together with the local community and the elected representatives to ensure that investment in employment is brought to the people of Athy as a matter of urgency.

I share the Deputy's concern at the loss of jobs in Athy following the recent announcement by J. A. Hickey to close its plant in the town. I am assured that Enterprise Ireland made intensive efforts over an extended period to assist the company compete against ever-increasing levels of international competition. However, in the final analysis, despite best efforts by all concerned, the company was faced with a deteriorating market situation and decided it had no choice but to cease operations.

Despite this setback for Athy, I reassure the Deputy that co-ordinated efforts are being made by the industrial development agencies to assist the growth of industry in County Kildare. In this regard, IDA Ireland has been successful in attracting overseas industry to the county. In particular, key multinational companies in the electronics, health care and pharmaceutical sectors have established significant manufacturing operations in Kildare. Specifically as regards south Kildare, Enterprise Ireland is working intensively with new and existing local industry to assist them in increasing their capability and international competitiveness, thus developing their sales and exports with a view to maintaining and increasing employment.

I understand a number of initiatives have been developed collaboratively between the local development agencies to arrange specific training and development programmes to cater for the needs of long-term unemployed in Athy. In addition, Enterprise Ireland is working closely with the Athy Investment Development and Employment Forum in examining the issues militating against the establishment and development of industrial undertakings in the south Kildare area. The forum, which was established by Athy Urban District Council, has been operating since the spring of 1998 and comprises representatives of the key State agencies, local development agencies and representatives from Athy Urban District Council and Kildare County Council.

One of the sub-groups established by the Athy forum was given the task of exploring the possibility of developing either an enterprise centre or an enterprise incubation centre in the town. However, the group which was supported by way of a technical assistance grant from the Kildare County Enterprise Board concluded there was no demand at this time for such a centre in the town. Another working group comprising representatives of a variety of State agencies and local development agencies is looking into the opportunities for training and development and is drawing on expert advice from Maynooth University. Under the auspices of the Athy forum, the local development agencies are compiling an up-to-date socio-economic profile of Athy to establish the full and current socio-economic needs of the town with a view to developing integrated solutions which best respond to such needs.

IDA Ireland is developing facilities to attract inward investment to the county. Construction of a new advance factory will commence shortly in Athy. In addition to an existing strong base of companies, Newbridge has an advance factory which is being vigorously marketed by IDA Ireland. A number of site visits have taken place so far in 1999. These two facilities will greatly enhance the promotion of the southern region of County Kildare for new investment.

I assure the Deputy that the industrial development agencies will continue to promote Kildare for both overseas and indigenous investment and will work closely with the Athy forum to ensure that efforts are co-ordinated to secure employment for the area. I have identified the action that has been taken. Against this background, I am satisfied that the establishment of a task force for this area, as requested by the Deputy, is not justified.

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