Vol. 394 No. 2
asked the Minister for Labour if he has assured the ICTU that the Great Southern Hotel group will not be privatised and that the recent media reports of discussions between the Great Southern Hotel group and various private interests about privatisation have not taken place with his knowledge or consent; and if he will make a statement on the matter.
37.
asked the Minister for Labour if he has had direct talks with private interests with a view to facilitating their applications to purchase in whole or in part the Great Southern Hotel Group; and if he will make a statement on the matter.
50.
asked the Minister for Labour if he will outline the Government's plans for the future development of the Great Southern Hotel Group; and if he will make a statement on the matter.
I propose to take Questions Nos. 14, 37 and 50 together.
The Government's position in relation to commercial State enterprises has been clearly set out in the Programme for Government:
(The) Government are committed to the maintenance of a viable and profitable commercial semi-State sector. Any changes in the ownership structure of particular State companies will only take place if it is in the public interest and in the best interest of the company and its employees and following consultation with the Social Partners.
Great Southern Hotels have recorded increasing profits over the past few years, moving from a loss of £206,000 in 1984 to a nett profit of £732,000 in 1988 with a further significant increase projected in 1989.
The Board of Great Southern Hotels are of the view — which I share — that if the group are to further improve their performance and make the maximum possible contribution to the development of tourism they must obtain additional capital beyond what they could generate from their own resources. Deputies will be aware that several offers for the purchase of the group were received last year which were not successful.
Since then, further approaches have been made to the board. A number of private interests have also approached me directly in this matter but, in all cases, I have referred them to the board. The board are currently considering these and other possibilities for the injection into the company of the additional capital necessary for continued success. I expect to receive the board's considered views on the various possibilities in the near future.
Over the past number of years the main unions concerned have been kept informed of developments. It is my intention to ensure that workers in the group will continue to be advised as appropriate.
