Crystal workers reject cost-cutting plan

WORKERS at Waterford Crystal have rejected the company’s cost-cutting proposals, describing plans to shed 234 jobs as disgraceful.

More than 100 voluntary redundancies are being sought among the permanent staff and 129 temporary contracts, some of them spanning up to six years, will not be reissued. The company also plans to impose a pay freeze for its remaining 1,400 employees.

Chief executive officer John Foley said the cuts are necessary to safeguard remaining jobs. He said up to half of the company’s products can be manufactured for 30% less in its other European plants in Germany, Austria and Italy.

“I expect we will be able to achieve our targets through voluntary redundancies, redeployment and a range of operational efficiency initiatives. Given these measures, combined with the power of the Waterford brand, we are posed to extract full value from future growth in our major markets,” he said.

Mr Foley said the pay freeze would save the company more than 5 million and it would implement it even if it meant going to the Labour Court.

Chief shop steward, Jimmy Kelly, described the restructuring plan as a disgrace.

“The AGM of this company on July 31 will announce profits for this company. It is the workers who helped make those profits.

“It’s a disgrace that this proposal suggests losing jobs. Thankfully, we are organised into a union which means these will remain proposals until the workforce comes to an agreement with the company. We have done all of what has been asked of us over the past ten years. We’re in a position now where everyone is wondering if their future is okay,” he said.

Staff at the plant will meet on Tuesday to discuss the cost-cutting plan but unions insist that nothing is written in stone. They are particularly irked at the suggestion that staff forego the 7% pay increase promised under the Sustaining Progress national pay deal over the next 18 months, on the grounds it would cost the company €5.2m.

“It does not necessary follow that just because there is restructuring that there has to be a pay freeze,” said ATGWU district organiser, Sean Kelly.

Labour Party Deputy for Waterford, Brian O’Shea called on Tánaiste Mary Harney to establish a task force to help retrain and find jobs for workers who will be let go.