Cowen promises help for Waterford Crystal workers
Every effort will be made by the Government to find new jobs for hundreds of Waterford Crystal employees facing redundancy, Minister for Finance Brian Cowen today told the Dáil.
The world renowned firm may have to shed at least 500 of its 900 staff in response to trading difficulties blamed on the weak US dollar, changing consumer tastes and competition from Asia.
Tánaiste Mr Cowen, who was deputising for the Taoiseach in the Dáil, said the job losses were trade-related and inevitable.
He said the firm had cautioned its AGM last month that sales were down by 9% due to the weak dollar exchange rate and other factors.
He told TDs in the Dáil that Enterprise Ireland has been in constant contact with the company this week and was offering as much assistance as possible.
“This is obviously a very disappointing development for the workers and their families,” he said.
He added that state agencies like FAS were on alert to retrain staff and source alternative employment.
He reassured the TD that almost all of a group 300 workers made redundant in Dungarvan, Co Waterford in 2005 found re-employment.
“It shows what can be done with a pro-active approach. Alternative employment was found for 280 people and every effort will be made to repeat this success for those workers who received this bad news yesterday.
The minister said there had been a significant number of job announcements in the Co Waterford area over the past five years.
“Unfortunately this latest development is a disappointing one for this major company, which is so closely associated with the city and the county.”
Raising the issue, Labour leader Eamon Gilmore had asked if the Government has any plans to meet the management or workers in the wake of the job losses.
The TD also queried where the jobs were being transferred to – the Czech Republic or Slovenia.
Talks continued today between senior union bosses and Irish management over the restructuring of parent company Waterford Wedgwood.
The firm is seeking to raise around €50m from a major investor to finance the restructuring, while chairman Anthony O’Reilly and his brother-in-law Peter Goulandris would invest a further €17m.
At the group’s AGM earlier this month, Mr O’Reilly said this new money would be used for the final root and branch restructuring of the business.
Waterford Wedgwood has issued more than €400m in new shares since 2003 to fund redundancies, plant closures and other restructuring costs.
