The Tralee area is now one of the worst unemployment black spots in the country. At present there are 3,474 people on the live register at Tralee Employment Exchange. Its industrial base has been continuously eroded during the past ten years. One of the major industries in the town, Klopman Limited, are now experiencing major difficulties because of competition from imports from countries outside the European Community. Redundancies are inevitable but I hope closure can be averted.
On 6 May Wabco Westinghouse had to lay off 35 of their 42 employees. They manufacture railway signalling equipment and systems and have been supplying signalling equipment to Iarnród Éireann since 1980. Iarnród Éireann have been their only customer throughout this period. Since 1988, when the company were acquired by Ansaldo spa of Italy, a policy of establishing export markets has been pursued. A commercial agreement was recently concluded with Ansaldo whereby Wabco Westinghouse will manufacture and supply harmonic detector equipment to GEC Alsthom for use in British Rail channel tunnel locomotives. Work on this order is due to commence in November this year. At the end of March the company completed work on the west road contract for Iarnród Éireann. Since the beginning of the year management have been discussing with the chief signal engineer his requirements for the next stage of resignalling work. This concerns the Malahide to Dundalk line.
The company learned at the end of April that the board of Iarnród Éireann had deferred taking any decision on a new contract. At a meeting on 9 May with the managing director of Iarnród Éireann, Mr. David Waters, he indicated that a decision may not be made for "a couple of months". The company had to lay off 35 of their 42 employees from 6 May. The parent company are naturally concerned about the situation. The signalling chief executive of Ansaldo is due to visit Ireland shortly and I am concerned that unless there is positive news on a new contract at that time a decision to close the company will be made.
The signalling work proposed by Iarnród Éireann's signalling department will have to be done at some stage.
Unfortunately, unless the decision to proceed is taken sooner rather than later, the work will have to be done abroad as Wabco Westinghouse are the only indigenous signalling company. I was informed recently that Iarnród Éireann will defer a decision on their resignalling programme until a study on the cross-Border rail link has been completed. However, as this could take a number of months to complete the company could be forced to close in the meantime.
On 22 April the Minister for Tourism, Transport and Communications, Deputy Brennan, was informed of the seriousness of the problem, but he has failed to respond positively. I appeal to the Minister and to the Minister of State present in the House to ensure that funding for this resignalling project is approved immediately before Tralee loses one of its most successful industries and 42 people are left without jobs and a means of earning a decent living. Several young families will be affected if the factory closes. Last week one of their employees was married. Another one is due to be married next week. The workers are seeking positive and immediate action on the part of the Minister and the Government to ensure that the factory remains in production.