Dáil Éireann Debate, Tuesday - 18 December 2007
288 Deputy Pat Breen asked the Minister for Enterprise, Trade and Employment if his Department has received notification through its Department’s early warning system of Shannon free zone firms where jobs are judged to be seriously at risk or if other State agencies under his Departments remit have received this notification; the number employed in these firms; and if he will make a statement on the matter. [35169/07]
View answerNotifications of firms in difficulty and where jobs are at risk are received from all of the Industrial Development agencies under my Department's Early Warning System. However, the information is provided on a confidential basis and it must remain confidential. The Deputy will understand that this is commercially sensitive information which could be of benefit to national or international competitors in the context of Industrial Development projects already established in this country and our ability to attract further projects in the future.
289 Deputy Pat Breen asked the Minister for Enterprise, Trade and Employment if he will provide a listing by firm of job losses announced or notified by Shannon free zone firms in 2007; and if he will make a statement on the matter. [35170/07]
View answerTwo companies based in the Shannon Free Zone announced job losses in 2007. Mohawk Europa announced job losses of 92 in August 2007. The Company, a manufacturer of specialized cutting tools, attributed the losses to increasing costs, the impact of a strengthening Euro and decreased order levels. The company's survival plan did not meet with the approval of employees and the company ceased trading.
Tyco Electronics announced job losses of 178 in September 2007. This Company, a manufacturer of engineered electronic components, decided to transfer its Shannon manufacturing and assembly operations to India, Mexico and China following a strategic review of worldwide operations.
The Zone is performing well against a very difficult global business background and whilst job losses are always regrettable, significant gains have also been made in recent years and a healthy pipeline augers well for the future. Latest available figures show companies located in the Free Zone spend in excess of €610million on wages and Irish sourced materials and generate sales of €3.3billion, with over 70% of these sales accounted for by the international services sector.
Shannon Development is committed to facilitating the Free Zone's manufacturing base move up the value chain through capability enhancement programmes with a strong emphasis being placed on R&D supports. Substantial investment in next generation office space such as the 1 million sq ft Westpark Campus development at Shannon represents a serious vote of confidence in the Zone's ability to continue to attract world leaders in the international services and other sectors.
As part of its three year Corporate Plan drawn up to give effect to its new mandate, Shannon Development is at an advanced stage in overseeing a comprehensive masterplan to regenerate the Shannon Free Zone and adjoining areas. The masterplan is being prepared by external consultants in close cooperation with all key stakeholders, including IDA Ireland and Shannon Airport, and will serve as the basis for regeneration and development of the Zone in the coming years.
This multi-million investment implementation will result in large scale development of offices, laboratories, factories and warehouses, which will provide accommodation for businesses in key growth sectors and maintain the Shannon Free Zone's leading position in the international market into the future. IDA Ireland, in cooperation with Shannon Development, is continuing to market the Zone as a centre for FDI through its network of overseas offices.
