Criticism of Coughlan for welcoming upgrade

POLITICAL REACTION: THE TÁNAISTE, Mary Coughlan, was criticised yesterday for her comments welcoming the Diageo decision to upgrade the Guinness brewery at St James's Gate in Dublin while closing breweries in Kilkenny and Dundalk.

Responding to the decision, Ms Coughlan, also the Minister for Enterprise, Trade and Employment, had said it was a major investment that secured the future of brewing in Ireland. "I welcome the company's intention to retain and upgrade the St James's Gate brewery which is of great historic significance to Dublin."

Accepting that there would be a net reduction in the numbers employed after 2013, she said: "While this is five years away, it is very important that the impact on employment is minimised, and my department will work closely with the company to secure the best possible outcome."

However, Fine Gael's enterprise spokesman Leo Varadkar claimed she was indifferent to the plight of 250 Guinness workers who would lose their jobs.

Saying he was "astounded" by the Tánaiste's comments, Mr Varadkar went on to portray them as cold-hearted and arrogant.

"Guinness's commitment to its Irish operations is indeed to be welcomed, and so is its decision to retain its historic Dublin brewery at St James's Gate, which is iconic to the city.

"However, this decision comes at a significant cost to both Kilkenny and Dundalk, where two other historic breweries are being closed with the loss of 250 jobs."

Labour's enterprise spokesman Willie Penrose emphasised the need for a full process of consultation with staff given that Diageo "is a very profitable company ".

Sinn Féin TD Aengus Ó Snodaigh criticised Diageo for what he said was "its attitude to the entire workforce in the company".

Green Party TD Mary White expressed disappointment at the development. "Brewing has been taking place in Kilkenny for over 300 years, and Smithwick's is part of the city's heritage and history," said Ms White, who represents Carlow-Kilkenny.

© 2008 The Irish Times

This article appears in the print edition of the Irish Times