The Hawkesbay textile firm, which will close its Co Louth plant next month with the loss of 300 jobs, experienced such difficulty in recruiting staff that it recently flew workers from its Dubai factory to enable it to finish a contract on time.
Labour shortages have been a problem at the plant for the last two years, with the firm having difficulties filling up to 50 vacancies at any one time. Twenty Pakistani workers were flown in late last year when the manpower crisis peaked.
But, while a shortage of workers caused considerable problems in Ireland, it was not the reason for the closure, a company spokesman said. The decision to close the Ardee plant, and to shed a further 160 jobs at its Newtownards and Derry factories, was due solely to the loss of a major contract for the V.F. Corporation (the makers of Lee and Wrangler jeans). "If the V.F. contract had remained, Ardee would be open."
The Minister for Social, Community and Family Affairs, Mr Ahern, who is a local TD, visited the Ardee plant on a number of occasions and sent officials to help the firm in dealing with its manpower problems. FAS and the IDA were also involved.
"I have not spent as much time with any other industry in my constituency," Mr Ahern said. Among the solutions offered, but rejected by the firm, was the partial-funding of a creche at the plant, to be followed by a campaign to recruit lone parents on the live register within the general area.
According to IBEC director Mr Brian Callanan, the problems experienced by Hawkesbay are common to all Irish textile firms, which are competing for workers with the hi-tech sectors which paid higher rates and offered more attractive conditions.
The IDA will carry out an analysis of the firm's labour difficulties as it begins the task of finding a replacement industry for the former IDA advance unit.
The fact that Ardee was within the Objective 1 region would mean that the highest possible level of grants and incentives would be offered to would-be investors, said Mr Colm Donlon, IDA spokesman.
The IDA strategy would be to focus on attracting a more high-value industry, such as those in the information, communications technology, healthcare or services-based sectors.
Mr Ahern said a site had been earmarked in Ardee for a new factory for the pharmaceutical firm, Galen, which would create several hundred jobs. The IDA is also confident that Ardee will benefit from Xerox's plans to recruit a further 2,500 workers for its operation in Dundalk.
Meanwhile, the unions involved will meet management on Monday to begin negotiations on redundancy payments.
"There is no package on the table yet, but we will be looking for a good package and, if there is any possibility of saving any of the jobs, that is what we will try first," the SIPTU branch secretary, Ms Jane Boushell, said.
The Ardee plant will close on February 4th.