asked the Minister for Industry and Commerce if he is aware that a firm (name supplied) will cease weaving; if he has made representations to the British Government under the Anglo-Irish Free Trade Area Agreement for bilateral action during the year of review to help this type of production; the number of people who will be unemployed as a result of the cessation of production; and what plans he has for their re-employment.
Ceisteanna—Questions. Oral Answers. - Weaving Industry.
50.
I am aware that under a reorganisation scheme being carried out by the company in question in their weaving, dyeing and bleaching departments, they propose to cease plain cotton weaving, that is to say, drills and sheetings. As this sector of the industry is not one intrinsically affected under the Anglo-Irish Free Trade Area Agreement representations for bilateral action during the year of review to help this type of production have not been made.
As a result of the company's cessation of the type of production in question the number of employees affected will be 80—50 men and 30 women. At present it is estimated that of this number 20 will be redundant; of the remainder, the management expect that most of these will be absorbed in other production sections of the company which are expanding; the matter is, however, still under review by the company and the final position is not determined; my Department and the Industrial Development Authority are keeping in close contact with the company in the matter.
Is the Minister aware that the expansion in the company will probably take place in Kingscourt, whereas the disemployment will be in Drogheda? Is he further aware that the arrangements made under the Anglo-Irish Free Trade Area Agreement affect woven cloth and that, in fact, in a union statement last week it was indicated that there have been 1,800 redundancies in the past few years? That was a statement by the local representative of the Irish Transport and General Workers' Union. Is he further aware that in this sector every empty warehouse within miles and tens of miles of weaving factories is full of unsold goods? I am not in agreement with him that this matter is unaffected by the Anglo-Irish Free Trade Area Agreement. I am fully aware that there is a special arrangement in relation to textiles but I do not agree with his statement that the special arrangement had no effect on the general arrangements under the Anglo-Irish Free Trade Area Agreement. Will the Minister make a further statement now?
The reason why special concessions for cotton weaving were not sought in the course of the review was that the threat to this branch of the industry does not come so much from imports from Britain as from imports from low cost countries. Initially the Deputy indicated that the expansion to which I referred in my reply would be in Kingscourt and not in Drogheda. This is not my information. The management expect that most of the employees being let off will be absorbed in other sections which are expanding; in the garment division and possibly in the finishing division. In relation to the Deputy's reference to Kingscourt my information is that that project is very much at the initial stages.
Does the Minister not agree that this is a most unsatisfactory situation. Here we have further evidence of 80 persons being disemployed. There are hopes that they will be absorbed somewhere else but we have a union statement that 1,800 persons in the same section of industry have been disemployed in the past two years. Does he not feel that since the review year is over, as this is 1st July, action should have been taken? If bilateral action was not taken, why does he not take unilateral action under article 19?
Negotiations are still going on.
Under article 15.
Arising from the Minister's statement that negotiations are going on, am I not correct in saying that negotiations are now going on only on the specific items which were raised before today, and that any item which was not raised before today cannot be the subject of bilateral negotiations now?
I agree.
That is why the Minister is stuck and it is the Minister's fault.
Question No. 51.
Will the Minister not agree that the results of the negotiations have been announced in today's papers? How are they still going on under article 15? I will wait for the answer to Question No. 51.