Waterford Crystal to introduce short-time working

EMPLOYEES at the troubled Waterford Crystal plant in Kilbarry have been told that the company intends to introduce short-time working in the coming weeks.

At two shop-floor meetings yesterday, hundreds of employees learned that three weeks’ short-time working, or reduced work hours, will come into effect this summer.

Waterford Wedgwood, which could not raise funds from its banks due to the covenants on existing loans, has said that getting a €39 million government loan would be a “vital element” in keeping the company in Ireland.

The last time the company went on short time was in March, while there is still no movement in the 492 redundancies that were announced last November.

Some workers, who must remain at the plant until the company can afford to bankroll pension settlements, yesterday claimed to have had turned down jobs in order to do so.

After yesterday’s meetings, Walter Cullen, the regional industrial organiser of trade union Unite, said: “Waterford Crystal is a very profitable and viable company.

“It’s important that the maximum number of jobs are retained here in Waterford.

“And we believe that the Government should make a decision to support the approach made by the company in relation to underwriting a loan.” Mr Cullen urged the Government to make a positive decision “as soon as possible”.

Union officials will meet with management in the coming days “to discuss the whole issue of the short time and the overall situation within the company and we’ll be consulting our members after that”.

The week-long shut downs will be staggered over two months and the Waterford Crystal plant’s tourist outlet will remain open.

The company’s parent Waterford Wedgwood has confirmed it has proposed that the Government guarantees a €39m bank loan to the group.

In November the company announced it was cutting 490 jobs.

A loan guarantee would secure the future of the remaining 550 jobs, the company said.

However, the cabinet may be restricted from underwriting a loan under EU rules on providing state aid to companies.

Waterford TD, Labour’s Brian O’Shea said: “Waterford Crystal is a landmark Irish brand, which embodies a great tradition of craftsmanship and design.

“I am calling on the Government to do everything in its power to support the company and to ensure the continuation of this keystone industry in the southeast region.”