Dáil Éireann díospóireacht -
Wednesday, 18 Feb 1998

Vol. 487 No. 4

Written Answers. - Pharmaceutical Industry.

Billy Timmins

Ceist:

40 Mr. Timmins asked the Tánaiste and Minister for Enterprise, Trade and Employment if she makes immediate contact with merged companies to avert the possibility of job losses when multinational companies which have manufacturing facilities in Ireland merge, as in the case of companies (details supplied); and if she will make a statement on the matter. [4175/98]

John Gormley

Ceist:

48 Mr. Gormley asked the Tánaiste and Minister for Enterprise, Trade and Employment the impact being measured by her Department of the effect of impending and future mergers within the pharmaceutical industry, particularly the likely effect, if any, on employment in this country. [4189/98]

Tánaiste and Minister for Enterprise, Trade and Employment (Miss Harney)

I propose to take Questions Nos. 40 and 48 together.

In recent years there has been major activity in the pharmaceutical industry in mergers and takeovers. This is being driven by a corporate desire to consolidate positions in the marketplace, reduce costs and, in the case of public companies, to improve investor confidence in the company's stock.

Employment and other implications, including possible job losses in Irish plants, are monitored by my Department and the relevant industrial development agencies. In the case referred to by Deputy Timmins, IDA Ireland is in direct contact with the parties involved with a view to ensuring, as far as possible, that Irish interests are not adversely affected by the proposed merger. The Deputy can rest assured that I will be following developments closely and will make contact, if necessary, with the pharmaceutical companies in question. The companies will have to comply with relevant EU or Irish legislation on mergers and take-overs as well as with any IDA grant agreement requirements in respect of their Irish operations.