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Company Closures

Dáil Éireann Debate, Tuesday - 16 June 2020

Tuesday, 16 June 2020

Ceisteanna (446)

Matt Carthy

Ceist:

446. Deputy Matt Carthy asked the Minister for Business, Enterprise and Innovation if she has examined reasons for the proposed closure of a business (details supplied) in County Monaghan; if her Department can assist in addressing the causes for closure in order to protect the jobs there; and if she will make a statement on the matter. [11326/20]

Amharc ar fhreagra

Freagraí scríofa

The announcement that there will be job losses at BD Foods is extremely disappointing for the hard-working employees of the company. Without a doubt, it is a blow for the local area.

I have spoken with the Managing Director of Henderson Foodservice, the parent company of BD Foods. He confirmed that The Henderson Group is proposing a consolidation of a number of its businesses, including BD Foods in Glaslough and the Foodco distribution depots in Ashbourne, Co Meath and Lisburn, Co. Antrim. The businesses will now become part of the Henderson Foodservice business in Mallusk, which will unfortunately result in job losses.

The Managing Director made it clear that this was an extremely difficult decision for the owners to make and that it is no reflection on the staff. However, COVID-19 is having a severe impact on the business and they felt that they were left with no other option. He confirmed that of the 48 jobs based in Glaslough, 36 are at risk. The remaining 12 jobs make up the bulk of the Group’s sales team. These jobs will be retained and the staff will continue in their roles whilst remaining resident in County Monaghan. Of the 36 jobs that are at risk, as many as possible will be redeployed to the logistics end of the business. The company is currently looking at alternative logistics supply arrangements to facilitate this transition. In terms of the jobs that will ultimately be lost, the company has committed to working closely with the State services to help those affected to find alternative employment.

Of course, my immediate concern is for the workers and families directly impacted by this announcement. It is especially difficult that this happened during the COVID-19 pandemic.

The Government will make every State support available to these employees. The Minister for Employment Affairs and Social Protection is aware of the situation and we will be collectively, across Government, doing our utmost to help these workers transition and find new employment opportunities in the coming period. The local Intreo service hosted a support webinar for employees of BD Foods on 10 June 2020. All of the relevant stakeholders attended including representatives of the Money Advice and Budgeting Service, Cavan and Monaghan Education and Training Board, Local Enterprise Office and Cross Border EURES.  They are offering comprehensive advice and support to those affected, and are available to answer any questions workers may have. I will continue to monitor the situation closely and keep the management and workforce updated on developments.

I understand that DEASP contacted the company again on 17 June 2020, to enquire as to whether management and staff had viewed the webinar and to re-iterate that the Department and other State agencies are here to support the company and the workforce in every way possible at this difficult time. The Department sent on copies of the presentations and informed them that they could provide a link to the recorded Webinar to share with staff.

If the company is not in a position to facilitate onsite viewing of the Information Webinar, DEASP will swiftly make alternative arrangements to ensure that all of the people affected are afforded the opportunity to view it outside of normal working hours.

Finally, I remain in close contact with Government colleagues on the issue, and we are working with all relevant State agencies to minimise the impact. The first priority is to ensure that the affected employees quickly receive access to all income supports that may be available to them. In parallel, they will be given every support to help them access new job opportunities, or where required, to access education and training and development options.

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