Dáil Éireann Debate, Thursday - 7 February 2008
15 Deputy Caoimhghín Ó Caoláin asked the Minister for Enterprise, Trade and Employment the measures that were taken to avoid the recently announced job losses (details supplied); and the steps being taken to help those being made redundant to find other sources of employment. [4083/08]
View answerRegarding measures taken to avoid the job losses, I understand that IDA Ireland had discussions with Allergan management in Arklow with a view to having the company invest more heavily in technical process development and in significant process automation. Unfortunately, the decision taken by the company was to move production to a more modern plant in Costa Rica which has spare capacity. However, the company has confirmed that its other plants in Ireland will not be affected by the decision.
In relation to Jacobs, I understand that Enterprise Ireland has had a number of discussions with the company over the last twelve months in relation to its development plans, and assistance has also been given to the company's innovation agenda. After reviewing a number of options, the company has now taken the strategic decision to outsource its biscuit manufacturing operation. However, the company has also indicated its commitment to undertaking new product development in Ireland by deciding to establish an innovation centre of excellence in biscuit manufacturing. This decision is very much in keeping with Enterprise Ireland's strategy for innovation with the agency's client companies, as innovation is accepted as the key to gaining competitive advantage in the fast moving consumer goods sector.
Regarding the steps being taken to help those being made redundant, the role of FAS, the Industrial Training agency, will be particularly important in this respect. I understand that, in response to a request from the company for assistance, the agency is meeting with Allergen to discuss its full range of services. I also understand that FAS has written to Jacobs indicating that it is prepared to offer its full range of services to any employees who wish to avail of them.
While Dawn Meats does not come under my area of responsibility, I am aware of the situation in the company. The company is consolidating beef production in its other plant some 25km away in Ballyhaunis, Co. Mayo in which, I understand, it plans to invest some €15m to provide scale and efficiency in processing for very competitive markets. Furthermore, I understand that a Beef Forum is being established. The Forum is to examine the beef sector in the light of prevailing opportunities and challenges and is to set out a framework for future development. It is to hold its first meeting this month and report in the Summer.
In relation to all three cases, I am confident that the enterprise agencies under the aegis of my Department have taken and are taking all appropriate measures to deal with the situation and that, in their on-going activities, they will continue to create investment and employment opportunities in the future.
16 Deputy Liz McManus asked the Minister for Enterprise, Trade and Employment if his attention has been drawn to the announcement by a company (details supplied) of the loss of 360 jobs at its Arklow, County Wicklow plant; if his attention has been drawn to the potential social and economic damage to the Arklow area of job losses on such a scale; if he will organise a meeting with the industrial development agencies and public representatives from the county to come up with a plan to provide alternative employment for the area; and if he will make a statement on the matter. [4049/08]
View answerI am aware of the situation at the Allergan plant in Arklow. The decision taken by the company to close its facility by the middle of 2009 is very disappointing particularly for the workers and families involved. I am confident that the Industrial Development agencies together with other local interests will make every effort to secure alternative employment for the area. I will, of course, be prepared to meet with the various interested parties to discuss the situation.
The decision by the company to phase out operations over a lengthy period will allow its workforce to seek alternative employment. I also understand that the company has committed to seeking suitable positions for staff at the Arklow plant in its other facilities in Ireland and overseas where possible.
As regards retraining, the role of FAS, the Industrial Training agency, will be particularly important in assisting people who will lose their jobs. I understand that, in response to a request from the company for assistance, the agency is arranging a meeting to discuss its full range of services. This will include training and other supports.
In its ongoing drive to attract investment opportunities to Arklow and Co. Wicklow in general, I understand that IDA Ireland is currently in negotiations with investors with regard to commencing or expanding operations in the agency's Arklow Business Park. In addition, Servier Ireland Industries Limited, which is based in Arklow, is actively recruiting at present and employment figures have consistently increased over the last number of years.
I should point out that according to the last Quarterly National Household Survey published by the Central Statistics Office on 15 November, 2007, the unemployment rate in the mid-East area, which includes Arklow, was 3.9%. As this is one of the lowest unemployment rates in the country, the workers who will be laid off should have good prospects of obtaining other employment.
I am satisfied that IDA Ireland, Enterprise Ireland and the local County Enterprise Board will continue to promote Arklow and Co. Wicklow in general as attractive locations for employment and investment opportunities.
