Staff at ESB power plant set to take 30% cut in pay

ESB workers at the country's largest power plant are set to take a pay cut of up to 30 per cent to secure the station's future.

Union members at the coal-burning power station at Moneypoint, Co Clare, will today start voting on an agreement between management and unions that will allow the ESB keep Moneypoint open until 2025.

If the workers do not accept a pay cut and change working practices, ESB management has warned that the station will close by 2008.

ESB management has sought the reduction in pay costs and new working practices to justify a proposed €250 million environmental clean-up on the station.

The coal-fired power plant on the Shannon Estuary produces one-fifth of the country's electricity, but it is one of the largest polluters in the State, emitting 40,000 tonnes of sulphur-dioxide and 22,000 tonnes of nitrogen-oxide into the atmosphere each year.

Under the clean-up, required because of the EU Large Plant Combustion Directive, emissions of the gases will be reduced by 80 per cent. Planning permission was secured for the plan in the face of opposition from An Taisce earlier this year.

SIPTU spokesman Mr Gerry Talty said yesterday that in another situation they would be rejecting the deal. "But with the real threat of closure, we are recommending acceptance."

He said some workers' take-home pay, inclusive of overtime, would be reduced by between 20 per cent and 30 per cent under the agreement.

"A deal is never a good deal when you have less gross income, but we want to secure the jobs at the plant, which is the biggest employer in west Clare."

He expressed confidence that the 320 workers at the station would accept the deal.

SIPTU is the largest union at the plant. According to Mr Talty, the members were now "shareholders in the company, and have taken the view that we have to go forward in partnership with management".

He said the deal had been benchmarked against other similar stations across the world. "We are absolutely determined that the best international practice be in place to secure the viability of the station."

He said there would be no compulsory redundancies.

There are now 320 employed at the plant, and there is a target to reduce the number by 80 through voluntary redundancy and natural wastage.

Mr Talty said the result of the ballot would be known next Thursday, four days before an ESB board meeting on June 14th which will decide the fate of Moneypoint.