Huge fight to save European link starts

EMPLOYERS from across the mid-west will gather for a bigr business meeting in Shannon tomorrow amid concerns that the loss of Aer Lingus’s Heathrow link will cripple the regional economy.

Huge fight to save European link starts

It is expected the results of a survey of businesses in the mid-west will be available, with estimates on how many jobs are under threat as a result.

Co-ordinated by Shannon Development and employers’ group IBEC, industry leaders have vowed to fight to ensure Shannon keeps its connection with Europe’s largest international hub.

Heritage and Tourism director at Shannon Development John King said by tomorrow the group expects a report on the likely fall-out from the move.

“By no means are any of the businesses in the region accepting this as a done deal. At the moment the important things we have got to get is the information so we know the impact of the Aer Lingus decision and the loss of this critical link,” he said.

The Industrial Development Agency also said it was not happy the Heathrow slot had been lost. Spokeswoman Ruth Croke said it was “surprised and disappointed” by the decision to axe the route.

Employers in the region said Irish operations will struggle to convince corporate investors to put money into the region if it is seen as an isolated market.

They said the decision would effectively draw a line between Belfast and Cork, where capital investment will be restricted to the eastern side of the country.

IBEC’s director of regions Pat Delaney said the lack of any consultation with businesses had angered its members.

“The impact of this is quite catastrophic. There are a lot of international companies who I have spoken to who are only based here because of this access link.

“Their worldwide distribution cannot operate without having this connection and they will pull out and while people are talking about options in other parts of the country they don’t realise the business realities having this route means,” he said.

He said the immediate concern was to make sure there were incentives to attract another flight from Shannon to Heathrow.

Yesterday, neither British Airways nor BMI (British Midland) said they had been approached about using their Heathrow slots to replace the link.

Given the scarcity of slots, they are seen as the best possibility to develop an alternative route.

A spokeswoman for BA said it reviews its routes on a regular basis but at the moment nothing about Shannon had been considered.

Although companies based along the western seaboard said yesterday jobs were under threat, the Department of Enterprise Trade and Employment did not get involved.

A spokesman said Minister Micheál Martin was out of the country and would not be reacting to the news, adding that the Aer Lingus move was not its concern, despite its policy to promote regional infrastructure.

“The issue of the transfer of slots from Shannon is a matter for the Department of Transport,” he said.

Jobs threat: Top employers in the mid-west

* Thousands of jobs across the mid-west region would be directly affected if multinational companies decided to move to more accessible regions.

* 36 multinational firms employ more than 10,400 people in hi-tech manufacturing, development and financial services in the mid-west.

* Dell is the largest employer, with 3,000 people at its Limerick base.

* Together Dell, Analog Devices, Wyeth, GCAS (GE Capital) and Vistakon (Johnson and Johnson) account for the majority of multinational employment in the Shannon region.

* 7,200 people are employed in the Shannon Free Zone alone, with 110 companies.

* The major employers in Shannon itself are Element Six, 600 people; Avocent 160, people; Digital River, 350 people.

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