375 jobs to go as Ardagh shuts glass plant

CLOSURE: Up to 375 people will lose their jobs when Ardagh shuts its glass bottle plant at Ringsend, Dublin, in May

CLOSURE: Up to 375 people will lose their jobs when Ardagh shuts its glass bottle plant at Ringsend, Dublin, in May. The closure was criticised by SIPTU, the company's largest union, which said it was surprised by the move because it believed talks on a reform package at the loss-making plant had not broken down.

The union had met Ardagh twice this week and twice last week, said an official, Mr Gerry Lynch.

Politicians expressed regret at the development, while industry-funded waste-packaging compliance scheme Repak warned that recovered glass might have to be exported abroad for recycling.

Glass has been produced in the area since 1932 and the plant was the only glass factory in the Republic.

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Workers said the company provided employment for generations of local people but some staff leaving the factory last night said they believed the shut down was inevitable.

Ardagh's chief executive, Mr Eddie Kilty, said in a stock exchange statement that he regretted the closure. Mr Kilty was not available yesterday to answer questions about the closure. Mr Kilty statement said: "Our Ringsend operation has become increasingly uncompetitive and, without major improvements in work practices, has no future. Protracted negotiations have failed to secure these improvements and the board has now made the only decision it could for the good of the group as a whole."

But Mr Lynch of SIPTU said: "Our members weren't in a positition to respond to the company's proposals in the way that they wanted us to. The industrial relations process was under way. It just wasn't moving fast enough for the company. There have been no industrial disputes nor hours lost."

There appeared to be little hope of rescuing the plant on the part of SIPTU or the company. When Ardagh's spokesman was asked whether the company believed the situation could be revived, he said: "The factory will be closing."

Staff were told of the closure yesterday afternoon as Ardagh informed the stock exchange that it was spending €3.07 million acquiring an Italian glass packaging maker, Consumers Glass, from its Canadian owner. The company said its four bottle plants in Britain were trading profitably.

The group, which took over from the Irish Glass Bottle Company in 1989, was accused by one worker of "sacrificing" staff in Dublin for its wider development.

Mr Mick Duffy (57) from Finglas, Dublin, said he had worked as a fitter for the company for 23 years. His son Michael was also employed at the plant.

He said: "The whole Ardagh group was created out of the Irish Glass Bottle Company and it seems that we're being sacrificed for it now. This announcement has been made while trade unions were still in negotiations with the company."

Proposed work practice changes put forward by the company were "completely unrealistic", Mr Duffy said.

The Labour Party leader, Mr Ruairí Quinn TD, said the closure would be a huge blow for the area. "In addition to jobs directly lost, there would clearly also be a significant knock-on impact on the local economy," he said.

The Fianna Fáil TD, Mr Eoin Ryan said he had asked the development agencies to seek investors for the plant.

The Green TD, Mr John Gormley, said staff had given very good service and Ardagh was unfair to blame work practices for the closure.

Mr Noel Corcoran, who has worked at the plant for 29 years, said it was "not very nice" to be returning home to deliver such news to his wife and family.

Referring to recent flooding in Ringsend, a cleaning worker, Ms Jade Stone, said: "There's a lot of men that work in the factory whose houses were ruined in the floods."

Arthur Beesley

Arthur Beesley

Arthur Beesley is Current Affairs Editor of The Irish Times