Majority of Iralco jobs are saved
Workers at the Iralco manufacturing plant in Collinstown have been applauded for their decision to vote overwhelmingly in favour of a survival plan for the company which would see at least 320 jobs saved in north Westmeath.Ninety percent of the workforce voted in favour of the plan during shifts on Tuesday and Wednesday of last week, after mulling over the particulars set down by Galway company, C & F Tooling, which intends to purchase the facility at Barbavilla, Collinstown.The result was announced on Thursday morning last, with the positive vote communicated by the workers after four days of intensive communications with John Flaherty and Tom Hyland, the prospective owners of Iralco, which has been in liquidation since April.Mr. Hyland, who will function as the new managing director of Iralco as it operates under C & F, said that the transition will take place over the next six weeks. Negotiations with the company"s customer base is ongoing, and are expected to reach a satisfactory conclusion over the next few weeks.'Iralco has built up very strong relationships with its customers over the years, and has built up a reputation as a good and consistent supplier,' the Tipperary native said.He indicated that redundancies would be sought over a 'phased basis', with between 20 and 30 workers taking voluntary redundancy initially.'There are people who for their own personal reasons obviously think its time to go, and where possible we"ll accommodate anyone who has that wish,' Mr. Hyland said at a press conference on Thursday evening.'But the nice touch is that most people who have opted for redundancy have said that it"s nothing to do with the change in ownership, but that it"s just for personal reasons,' he added.Joe Hanley, who acts as an advisor to the parties involved in the transition, said that there would be further investment in Iralco in the future.'I think everyone is convinced that when the synergies kick in between C & F Tooling and Iralco, I don"t think anybody would be surprised if we were re-hiring beyond a year from now,' Mr. Hanley said.Mr. Hanley stated that John Flaherty, the managing director of C & F, has a genuine desire to see Iralco continue to thrive and grow, and described the workforce at Iralco as 'the real heroes' of the hour given their positive vote last week.However, Mr. Hyland stated that the company had 'a major mountain to climb' in terms of financial health. But he was confident that the workers were committed and prepared to making Iralco as efficient as it was in the weeks following the arrival of the joint liquidators, John McStay and Tom Rogers of McStay Luby.Both men paid tribute to the liquidators. 'We owe a great deal to them,' Mr. Hanley said. 'It"s one of the first cases I"ve seen in a long time where everything came out right.'Mr. Hanley confirmed that while workers" wages will not be cut, overtime will be reduced and a longer working week put in place. 'Wages have been guaranteed for the next twelve months, and when the plant becomes profitable again, it"s hard to foresee a problem in returning to a system of pay increases,' he said."High skill level"Talks with the workforce took place both at a group and individual level, the C & F Group said in a press statement issued on Thursday.'It is the view of C & F Tooling that these positive consultation efforts with the employees has laid a very positive foundation for ensuring that the new company maintains and grows its reputation as a respected competitor in the automotive marketplace,' the statement read.'During the course of the consultation exercise, John Flaherty and Tom Hyland became aware of the inherent high skill level that lies within the Iralco workforce, and have also seen the immense value to be derived from listening to people and to engaging in an honest and open exchange of views.'In fact, it is part of the vision of C & F Tooling for Iralco that there will be a policy of openness and direct communication with its workforce into the future.'The statement said that Mr. Flaherty commented that there are 'opportunities for synergies' between with his existing group of companies and Iralco. Workers were told that the Athenry-based businessman 'has a passion for manufacturing' and believes that with a committed and efficient workforce behind him, Iralco can successfully compete on the international marketplace.'C & F Tooling are willing to invest in the future development of Iralco, with a genuine interest in maintaining employment for the locality,' Mr. Hyland said.'We have major challenges to overcome, however we will now move forward as a unified workforce to secure the future of Iralco.'Tom Hyland has worked with Iralco for the past eighteen years, serving as the company"s sales manager before it went into liquidation. For a brief period this year, he took charge of the company"s operations in Ukraine.He was unwilling to reveal any details of C & F"s rescue package for Iralco, saying only that the Galway company is tabling a 'significant investment' in the company in a bid to reverse its fortunes.Iralco opened at Collinstown in 1964 and has since become a lead brand in the manufacture of decorative trims for the automobile industry. Even as it went into liquidation in April, the company still had a huge number of orders on its books, and is understood to be worth at least €8 million per year to the local economy.C & F Tooling, which employs nearly a thousand people nationwide, operates in Ireland, the Czech Republic, the UK, the Philippines and China.