Management at Waterford Stanley served protective notice to its 120 stove-manufacturing employees at its plant in the city yesterday. Employees learned of the possible job losses following the latest in a series of meetings between management and TEEU union officials at the Labour Relations Commission (LRC).
Management and workers reached a deadlock in talks on April 10th, the deadline for the beginning of a relocation of the Bilberry plant to the former HP Chemie 13-acre site in Waterford Industrial Park.
It emerged yesterday that management refused employees' requests of a once-off €2,300 relocation payment, saying the demand would cost up to €500,000 and that the company would not be in a position to facilitate it.
A €7 million investment plan is in danger of collapse and it is unclear whether the company will remain in the city if the issue is not resolved.
A letter informing employees of management's stance on the issue was posted on notice boards throughout the factory on April 10th.
The letter warned that management "was not prepared to pay a once-off lump sum relocation payment to the factory workforce as a precondition of the workers' willingness to move to the new factory".
Management of parent company AGA Rayburn UK has claimed that stoves of equivalent quality could be manufactured overseas and brought to Ireland at 35 per cent lower cost than those produced in Waterford.
The TEEU remains hopeful that talks at the LRC will continue on Monday, and that a resolution can be found.
Meanwhile in Cork, staff at Motorola's Mahon-based facility were reportedly told on Thursday that up to 150 jobs will go at the plant in the next two months as part of a global rationalisation programme being undertaken by the company.
A spokesman for Motorola said yesterday that no decisions have been made at this stage in relation to job losses.
He confirmed, however, that Motorola was in discussions with some of its staff in Cork regarding the future business requirements at the site.
Minister for Enterprise, Trade and Employment Micheál Martin, who represents the Cork constituency, is reported as saying any job losses would be due to external market forces and not as a result of economic conditions in Ireland.
He says he is working closely with the IDA to ensure that the maximum number of jobs will be retained at the Mahon facility.
However, Fine Gael Cork South Central TD Simon Coveney says such a response does nothing to allay the concerns of workers losing their jobs or to repair the damage that will be done to the reputation of Cork and Ireland through the downsizing of such a major international firm. He called on the Minister to do everything in his power to prevent job losses.
