Minister for Jobs, Enterprise and Innovation, Richard Bruton, has said he will review the IDA’s presence in Waterford after his Fine Gael colleague John Deasy called for a change of strategy and the re-dedication of senior staff to the southeast.
Both attended last Tuesday’s (June 10) Oireachtas jobs committee meeting, at which the Minister took general questions surrounding the proposed redundancies and cost-cutting at Bausch + Lomb.
Raising the issue of inward investment, Deputy Deasy said the situation “changed negatively” for Waterford in 1996 — at a time when Mr Bruton was enterprise minister. That year an internal IDA restructuring saw the agency’s southeast and southwest divisions amalgamated. A new southern regional director was based in Cork — the existing SW headquarters.
“At the time plenty of people, including people within Government, sounded a warning that that was going to have a detrimental effect on the city and county of Waterford, and the southeast,” Mr Deasy said.
He reminded Mr Bruton, “You were the minister at the time those warnings were given. Since then, as it’s turned out, those warnings have proven to be absolutely correct”, with over 80% of all Foreign Direct Investment “going to three particular locations — Cork, Dublin and Galway.”
Referring to the Minister’s approval in February for the appointment of 35 additional IDA staff, Mr Deasy added: “I am of the opinion at this point that there needs to be a restructuring with regard to the seniority of IDA staff when it comes to the southeast, and the situation that was in existence in 1996 when you were minister needs to be reinstated.”
Mr Bruton said: “I take the point there is a lot of criticism but on the issue of where do you put new staff ... we’re seeking to build new opportunities in new geographies and all of those 35 people are being put into overseas locations to try to win new investment.”
“But,” he told Mr Deasy, “obviously the IDA is undergoing a review of its overall strategy and its regional strategy in conjunction with my own Department, and we will look at issues that are raised here in terms of staffing at that level.”
The Minister insisted: “I’m confident the IDA, under my direction, is giving this the necessary attention it deserves ... I believe in time that those site visits and that enhanced effort will deliver results.
“This year again, through the IDA, I funded an advanced facility in Waterford; precisely because I feel we need something different in the regions to respond to the challenges that the IDA have had in getting the necessary regional spread.”
He added, “we’ll be taking a tough look at our regions, how we’re doing things, and how we can do things better. I will be reviewing, in the context of the [IDA] regional strategy, the appropriate realignment of resources to the challenges we meet.”
Irish Embassy contacts U.S. Senator after John registers his disgust at his underhand attempt to take B+L jobs
The Irish Embassy in Washington D.C. contacted a United States senator to raise concerns over his call for more than 1,100 at-risk jobs at Bausch + Lomb in Waterford to be moved to New York.
The Irish Times and Irish Examiner both reported the high-level intervention, made at the request of Waterford Government TD John Deasy.
The Irish Ambassador to the US, Anne Anderson, confirmed in a letter to the Fine Gael Deputy that, at his behest, the Embassy in Washington contacted the New York office of Democrat senator Charles ‘Chuck’ Schumer.
This followed Mr Schumer’s call for jobs at Bausch + Lomb in Waterford – currently the subject of negotiations between management and unions – to be relocated to Rochester, New York, where the company also has an operation.
Ambassador Anderson told Mr Deasy: “The Embassy has been in touch with Senator Schumer’s office to draw attention to the sensitivity of this issue, the ongoing negotiations between management, the employees and their unions, and the concern that these jobs be safeguarded in Ireland.”
Mr Schumer had revealed he had “called the CEO of [parent company] Valeant and urged him to move that work and those jobs to Rochester”.
In a press release to this effect, he also said that, after his phone call with Valeant chief executive J. Michael Pearson, he was “confident that Rochester will have a great shot at adding work and jobs from the potential closure of the Ireland plant”.
However, though Mr Pearson subsequently assured Waterford employees in a memo that Bausch + Lomb was committed to maintaining its presence in the city – provided the company got the €20million in cutbacks it wanted – Deputy Deasy was furious at Senator Schumer’s “sneaky” actions.
In a letter to the Ambassador, Mr Deasy said he found Mr Schumer’s media release “unbelievably distasteful”. Having separately condemned the Senator’s “pathetic” attempt to “impoverish” Irish workers, the Waterford Deputy suggested to the Embassy, “I think the Irish Government should express its disgust as well.”
Mr Deasy, who worked as a congressional aide on Capitol Hill before returning to pursue a career in Irish politics, said that, as a former employee of the Senate, “I never thought that a U.S. senator would act in such an underhand manner.”
He asked the Ambassador, “I would appreciate if you would communicate my disgust at the way he and his office are behaving as it pertains to the Bausch + Lomb workforce in Waterford City.”
He added: “I think the Irish Embassy should communicate to Senator Schumer that it would be better if he allowed those negotiations to conclude before issuing any press statements.”
Explaining why he took such offence, Mr Deasy said: “We all fight for our constituencies, but ringing a company CEO to impoverish Irish workers is pathetic. Senator Schumer likes to portray himself as a friend of Ireland. I hope Irish-Americans in New York get to hear about his sneakiness. He has peddled his Schumer visas for Irish people for years. Irish-American voters have just got an insight into how he works.”