163 jobs lost as dispute ends in closure of plant

A LIMERICK company that had been locked in a bitter industrial dispute for nearly two weeks, yesterday announced closure of its plant with the loss of 163 jobs.

163 jobs lost as dispute ends in closure of plant

And, in a separate industrial setback, a further 100 jobs also appear to be at risk in Dublin.

In Limerick, meanwhile, a spokesman for Atlas Aluminium said workers were told at the weekend of the decision to close and a redundancy package was agreed with the workers’ unions, SIPTU and TEEU.

The closure will be phased over the next six weeks in order to complete some outstanding orders.

Atlas Aluminium, which supplies components to the motor trade, set up 27 years ago, has turned out 250,000 casts for major car manufacturers that included Nissan.

A spokesman said the decision to close was taken after they were informed by big customers that they would no longer be able to take products from the company due to interruption of supply caused by the dispute which started on November 1.

Workers, many of them Polish nationals, claimed they were due a pay increase and €2,500 in back pay. The company denied this.

The company said the dispute arose over a voluntary severance package for one worker.

In a statement, Atlas Aluminium said yesterday: “The decision to close is due to the loss of substantial business contracts which makes the company’s operation no longer viable.

“The company would like to confirm that, on Friday last on the recommendation of the union representatives, the workers voted to end industrial action with immediate effect and accept a severance package.”

Martin Corbet of SIPTU said the company had pleaded inability to pay the national wage agreement.

The situation was untenable from the workers’ and the company’s point view, he said, as the workers economic needs could not be met.

Meanwhile, another 100 jobs are under threat in Dublin at civil engineering company South Midland Construction.

The company, which trades as SMC and which at one point employed 450 people, is understood to have debts of more than €5 million but reliable assets of only €2m.

Now the High Court has appointed a provisional liquidator to the company, and operations have been suspended.

Fine Gael enterprise spokesman Leo Varadkar called on Finance Minister Brian Cowen and Enterprise Minister Micheál Martin to ‘cop on’ to Ireland’s unemployment crisis.

“This news confirms fears that unemployment next year could be even worse than the forecast of 5.5%. Ireland is now facing its worst job prospects in 10 years.

“I would like to extend my sympathy to the Atlas staff who will lose their jobs by Christmas, and the employees at South Midland Construction who face a very uncertain future.

“It’s time for Finance Minister Brian Cowen and Enterprise Minister Micheál Martin to cop on to the jobs crisis and admit that the Government is actually damaging the economy.”

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