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Dáil Éireann díospóireacht -
Wednesday, 2 Feb 1983

Vol. 339 No. 7

Ceisteanna—Questions Oral Answers - County Waterford Industries.

6.

asked the Minister for Industry and Energy if he is aware of redundancies taking place in Irish Tanners Limited, County Waterford; and if he will make a statement on the future of this very important industry.

I am aware that, as part of the rationalisation programme required to secure Irish Leathers' future, some 200 redundancies have been announced. Almost all of these will have taken place by the end of February.

As to the future of the company, I would hope that the substantial financial assistance being provided by State agencies and accompanying measures being taken by the group would provide a sound basis for the continued operations of Irish Leathers. Naturally, I regret very much that the measures to put the group on a sound footing should have necessitated the loss of jobs to the extent that it did but I am advised that there was no alternative to this if the employment of the majority of the workers was to be safeguarded.

Is it not appropriate that the Government and the Minister should look into the whole business of the Irish leather industry with a view to protecting jobs which are now being lost through the export of live cattle? Does the Minister intend to do anything about this? Thousands of jobs could be provided in this area.

The question of live cattle exports is a matter for the Minister for Agriculture.

I beg to differ. This is a matter for the Minister of State. He should be informed as to the position the Government are taking on the matter of live cattle exports and the tanning industry. I do not think the Minister is taking it seriously and it is not fair and reasonable that he should sit there and pass over responsibility.

A speech is not in order.

The Minister should not smirk at a serious question.

I submit that the question of live cattle exports is a matter for the Minister for Agriculture. If the Deputy puts down an appropriate question it will be answered. The question put to me specifically relates to Irish Tanners Limited. State agencies have provided substantial funds to Irish Leathers to protect employment in the group.

Deputy Fahey put down a question relating to tanneries in general.

A question, please.

I will come to that. The Minister is apparently unprepared to answer the supplementary questions I have put to him. Has the Minister, or the Minister of State, any perception of the approach they will take to prevent such redundancies taking place in the national interest to provide jobs for the people in the tannery industry? I am not relating my question to one job but the Minister is trying to isolate it.

If the Deputy wishes to put down a question about cattle exports he is at liberty to do so, but in relation to this firm I should like to tell the House that it experienced difficulties towards the end of the seventies. Indeed, the tannery in Gorey closed in 1979 with the loss of 186 jobs. Since then State agencies have been involved in assisting the company. A short time ago Fóir Teoranta approved a facility, not exceeding £2 million, to ensure the continuity of the group.

Is the Minister aware of the anxiety of the employees of Irish Tanners Limited who have witnessed more that 200 redundancies in that industry? Those people are not satisfied that the Minister has given a specific assurance with regard to the future of the leather industry. Is it true that the industry has to cope with unfair competition? If that competition is allowed to continue I am afraid the prospects for the industry are poor.

I have answered the question in regard to Irish Tanners Limited and if the Deputy wishes to table a question relating to the industry in general he is at liberty to do so and it will be answered.

On a point of order, the question relates to Irish Tanners Limited.

I agree.

7.

asked the Minister for Industry and Energy if he is aware that a factory (details supplied) in County Waterford is in danger of closing; and if he will make a statement on the matter.

As already announced the Industrial Development Authority have concluded negotiations for the takeover of the assets of the company in question by a new company, Kingsford Industries Limited. A formal agreement will be signed when arrangements with the appropriate financial institutions have been concluded. The takeover would preserve the jobs of the 90 people currently employed in the factory. The new company also plans to create a further 50 jobs over the next 18 months.

8.

asked the Minister for Industry and Energy the steps he proposes to take to reopen a company, details supplied, in Waterford; and if he will make a statement on the matter.

I share the concern, implicit in the question, concerning the closure of this company. I can assure the Deputy that the relevant State agencies, in close co-operation with the receiver, are actively pursuing the possibilities of securing a takeover project which would result in a resumption of production at the Waterford factory.

Is the Minister aware there were further lay-offs in that industry last week? Is the Minister aware that the remaining employees are concerned about the future of the industry?

A receiver was appointed in 1982 and following that the parent company in Canada went into receivership. The IDA, in close co-operation with Fóir Teoranta and the receiver, are actively seeking a company to take over the concern. There is a problem in regard to the licence to produce the laser boats at the factory. That is a complicating factor but I can assure the Deputy that everything is being done to get another concern to take over.

Due to the fact that the factory is located in west Waterford, a depressed area as far as employment is concerned, will the Minister give this matter urgent attention? There is a lot of unrest in that area.

Is the Deputy confusing this with the subject matter of the previous question?

We cannot return to the previous question.

If the Deputy approaches me later about those cases I will give him the information at my disposal.

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