Archive News
Fall-out from volcano may cost Galway jobs
Date Published: 19-Apr-2010
By Darragh Mc Donagh
Major manufacturing companies in Galway may be forced to consider reductions to their workforce if the serious disruption to air transport continues.
Concern that jobs may be at stake grew yesterday ahead of a production meeting convened by a local medical device manufacturer at which the impact of the ongoing crisis was to be discussed.
Companies using air freight for distribution of products are currently unable to fulfil international orders and are facing a backlog of stock.
IDA Ireland has expressed concern that if the vast plume of volcanic ash over Western Europe continues to restrict air travel, businesses may have to impose job cuts.
“If the current crisis continues for a couple of weeks there may be serious issues for companies,” said a spokesman. “But we would hope that they would contact the IDA in the first instance to explore alternative options to redundancies.”
However, the spokesman said that he was unaware of any immediate plans for staff cuts by major manufacturers in Galway and suggested that there was “nothing untoward” about the production meeting yesterday
“The prime industry in Galway is the medical device industry and would not be similarly affected,” he added.
However, Councillor Niall McNelis warned that the ongoing flight disruption would have a devastating impact on Galway businesses.
“People don’t realise how serious this is, and it could go on for months,” he said. “There are businesses based in Galway that rely on Internet sales and they cannot dispatch orders.
“There are 2,000 businesses in the West that rely strictly on tourism and they will just be wondering, ‘What else can go wrong?’,” he said.
Read more in this week’s Connacht Sentinel