TÁNAISTE ANNOUNCES ESTABLISHMENT OF GROUP TO CO-ORDINATE SPEEDY RESPONSE TO CLOSURE OF ATLANTIC MILLS PLANT AT CLONDRA, LONGFORD

Tánaiste Mary Harney today (Friday 4th December, 1998) expressed regret at the announcement this morning of the closure of the Atlantic Mills Plant at Clondra, Longford by Mr. Frank Schreve, CEO, Nijverdal Royal Ten Cate/Atlantic Mills.

The company's decision significantly to restructure its operations in response to the world wide overcapacity in the production of denim has resulted in the closure of the company's remaining Irish plant with the loss of 180 jobs. The Atlantic Mills plant has been based at Clondra in Longford since 1978 and was originally part of Burlington Industries, a U.S group.

The Tánaiste said that she had met with senior management of the company on two occasions in recent weeks. She had discussed the prospects for the future of the Irish operation with the Irish Divisional manager when she visited Longford on 5th November. She had also travelled to Amsterdam on 21st November with senior IDA Executives to meet with the parent company to argue the case for the retention of the Longford plant as the base for restructuring its European textile operations.

The Tánaiste announced the establishment of a special Inter Agency Group that will "examine and respond to the needs of employees of Atlantic Mills and press for priority action on job creation in Longford."

The Inter Agency Group will be chaired by Mr. Frank Conlon, Area Director, IDA Ireland and comprise representatives of IDA Ireland, Enterprise Ireland, FÁS, the Longford County Enterprise Board, and Longford's County Manager.

Mr. Conlon has very successfully Chaired a number of similar Groups, including the Tullamore Inter-Agency Group established in response to the closure of the Atlantic Mills Tullamore plant. Three new projects were recently announced for Co. Offaly, including a new electronics company which will employ 300 people in the former Atlantic Mills plant in Tullamore. The Tánaiste said "she was very hopeful that the Longford Inter-Agency Group would have similar success."

The Tánaiste has been assured by the company that it will work closely with the Inter Agency Group to assist the workers in exploring the most suitable education, training, employment and enterprise options available to them. The company will co-operate with the IDA in arrangements to market the suitability of the Clondra plant for a replacement industry.

Mary Harney will meet with representatives of the workforce and their trade union representatives next Thursday. On that occassion, the Tánaiste will also meet members of the Inter Agency Group to impress upon them at first hand "the urgency of their task."

The terms of reference for the Group will be:

• To secure alternative job creating enterprise both from overseas and indigenous investors for Longford;

• To provide an immediate skills assessment and suitable training opportunities for the affected workers; and

• To provide the necessary information and assistance to any employees who may wish to establish their own enterprises.

The Tánaiste asked the Chairman of the Inter-Agency Group to liaise with public, private sector and community bodies which can assist in promoting the area for investment and job-creation. The Tánaiste has arranged for FAS, in conjunction with the company, union representatives and the Longford County Enterprise Board, to commence an immediate intervention programme to

• Provide assistance to employees, i.e. job seeking skills, interview techniques, early retirement advice, investment opportunities, c.v. services and counselling; and

• Establish the skills pool which is available to new investment; and

• Assess skills of workers to be laid off and assist employees with training and re-training identification of job opportunities, job skills requirements and opportunities for self-employment.