andMr. Horgan asked the Minister for Labour the number of jobs expected to be lost through the imminent closure of Donnelly (Dublin) Ltd; and the steps, if any, he has taken to protect employment in the area.

The number of jobs involved in Donnelly (Dublin) Ltd is 242 of which 30-40 may be saved by alternative employment within the Clover Meats Group.

The loss of employment in any area is a matter for concern and my colleague, the Minister for Agriculture, and I are meeting the trade union tomorrow to discuss the matter. The National Manpower Service of my Department are already in touch with the situation and every effort will be made to place any of the workers who may become redundant.

Is the Minister aware that what is happening in this case is a particularly obnoxious form of asset stripping? Would he not agree that in this situation perhaps participation of other Ministers rather than the Minister he has mentioned might help to prevent the company from carrying out this kind of operation?

Discussions are being held with the trade union tomorrow. On 14 May I was notified under the Protection of Employment Act by the group to which the Deputy refers of their intention to dismiss a number of their employees on 30 June 1979 of whom 12 were employees of Donnelly's. However, on 14 June Clover Meats notified me of their intention to close the Donnelly factory on 13 July.

Is the Minister aware that employment problems in this part of the city are particularly acute because the factory has been there for a long time and the personnel concerned have acquired skills which they cannot readily transfer to other industries?

I am aware of this and I am concerned about the position. As is the case with any notified redundancies, I immediately contacted the National Manpower Service to examine the position. They have been working on it. I understand that some of the workers

Have already left and that about 40 more are leaving tomorrow. The National Manpower Service expect to be able to place many of the remaining staff. I am also asking that any of the work force who have not already registered with the National Manpower Service for employment in the event of final closure, should do so.

Does the Minister not think that the closure of the Donnelly factory is a body blow to the Liberties area? Is he not aware that while Donnellys have had a patchy record they had a profit of £2,500 in the month of April this year? Does he not think that the hard-pressed Clover Meats group are more interested in selling the 2.2 acres of the Dublin site to placate the bank than in long term, judicious planning to keep 242 people in employment?

That question is loaded with contention.

Is the Minister not aware that the Government credit squeeze and the instructions to banks to curtail credit is having a disastrous effect on this company?

I am not aware of any of the suggestions made by the Deputy. I am certainly not aware that a profit was made. I have been informed that the board of Clover Meats decided to close Donnellys.

From the banks.

To placate the banks.

My information is that the board decided that because Donnellys were no longer a viable proposition.

They made £2,500 in April of this year.

My information is that when this group were in trouble some years ago they sold some of their factories, one in Cork as a going concern, one in Limerick, and some other minor assets. At that time Donnellys was put on the market but they failed to get a buyer.

When the meeting is taking place tomorrow will the Minister ask the Minister for Agriculture to use his good offices in this matter with his brother who, I understand, is chairman of Clover Meats?

The Deputy should not introduce a personal note.

I am not aware who is chairman of Clover Meats.

Have they gone into receivership?

Has the Minister examined the possibility of getting some subsidy from the EEC as this is a meat factory? Apparently there is no shortage of subsidies for meat mountains. If there is no shortage of subsidies for developing meat mountains, why is there not a subsidy from the EEC to preserve gainful employment?

Let the Minister answer.

My information is that this decision was taken by the board of Clover Meats. With the Minister for Agriculture I have arranged to meet the trade union concerned tomorrow to discuss the situation. I cannot pre-empt or prejudge anything that might come from those talks.

Reading the company statement they said they were disadvantaged in the matter of subsidies. They raised the question of subsidies when they were closing. This would indicate that there is an area here which could be looked at. I would ask the Minister to see what the possibility is of getting funds from the EEC because there are 240 jobs at stake in an area which is run down already. It is imperative that the Minister should exercise all his options.

Question No. 14.