News

Union angered by decision to close cigarette factory

UNION leaders have hit out at a decision by the owners of the Gallahers cigarette factory outside Ballymena to reject a proposal to keep 500 jobs at the site.

The planned closure of the Lisnafillan factory in early 2017 will result in more than 800 job losses, with production moving to Romania and Poland.

Paul Williams from the Gallahers' parent company Japan Tobacco International (JTI) said yesterday that despite a employee/ management counterproposal, it believed closure "remains the most viable option in the long term". Unite the Union wanted the factory to be turned into a centre of excellence for pouch tobacco and cigar manufacture.

Its regional secretary Jimmy Kelly said: "JTI rejected our counter-proposal as they have a strategic long-term goal of shifting employment from western to eastern Europe. "This decision is an extreme case of 'social dumping' where employers seek to minimise costs through chasing lower cost alternatives. "The workforce at Lisnafillan is highly skilled, experienced and motivated - this is the wrong decision."

Meanwhile, more than 60 jobs are being created by seven companies in the north west.

The posts, which range from factory floor to executive positions, are part of expansion plans by Hunter Apparel, All Pipe Engineering, Fleming Agri-Products, Modern Democracy, Quinnspares, Steam and Generation Services and SmithDehn.

Enterprise minister Arlene Foster predicted the jobs, some of which are already in place, would add more than £1.3 million annually to the north west economy.

The Derry city council area remains Northern Ireland's biggest unemployment blackspot.

While 90 fewer people were claiming Jobseekers' Allowance during December, the district still recorded an unemployment rate of 7.8 per cent.

Ms Foster said: "The commitment being demonstrated by these local companies shows business confidence is improving throughout the area, meaning they are prepared to take advantage of the steadily improving economy. "It is through a continued focus on innovation and expert that local businesses will remain ahead of the competition, maximise growth and succeed in their chosen markets."

* JOBS BOOST: Enterprise, trade and investment minister Arlene Foster and Des Gartland, manager of Invest NI's north west regional office at yesterday's announcement of a £3 million investment and 65 jobs for Derry. Included are mayor Brenda Stevenson, DCC Alderman Maurice Devenney, Roisin Hunter of Hunter Apparel, Liam Gallagher of All Pipe Engineering, Patricia Sweeney-McBride of SmithDehn, Jonathan Lecky of Fleming Agri-Products, Mary Walker of Modern Democracy and Simon Hunter of Hunter Apparel Solutions PICTURE: Margaret McLaughlin