REPRESENTATIVES OF trade union Siptu will today begin “intensive” engagement with the management of Tara Mines in Navan, Co Meath, which temporarily laid off 650 workers last week.
Siptu has said it will discuss alternatives to the company’s proposal to close the facility and temporarily lay off workers.
General Manager Gunnar Nyström told RTÉ Radio One’s Morning Ireland on Wednesday that the decision to lay off workers was due to the business facing “unsustainable losses”.
He attributed the losses to changes in the price of zinc and electricity coupled with inflation and operational issues.
The mine is to be placed “under care and maintenance” within the next four weeks.
A small number of employees will continue to work at the mine during this period in order to care for and maintain it.
The mine’s parent company, Sweden-based Boliden, confirmed yesterday that production and exploration at the mine, which is the largest zinc mine in Europe, would cease temporarily.
“The zinc market seems to be very volatile at the moment. We’re seeing price dropping. I can’t really say why that is and I can’t really foresee what’s going to be in in the future,” Nyström said on Morning Ireland.
On whether any other mines under the Boliden company would be affected, he said that “the decision that was made last night is purely Tara Mines alone”.
“That’s where we’re facing tremendous, unsustainable losses. To safeguard the future of Tara Mines, this is a necessity to stem the cash going out.”
He insisted that the decision is “temporary” but added that “the timeline on how temporary it is, I can’t say at the moment”.
The Journal understands that those affected could be unpaid for a number of months.
“We’re going to keep monitoring the situation and continue to engage with everyone, the stakeholders, employees, suppliers, and keep everyone informed on what’s going on here on site going forward,” Nyström said.
Siptu’s transport, energy, aviation and construction division organiser Adrian Kane has said in a statement that in recent days “union representatives have had discussions with management and Government representatives” in relation to the closure announcement.
“Union representatives have demanded that management engage with us to look at alternatives to the proposed layoffs,” Kane said.
“Management have now agreed to this position and we will endeavour in intensive talks which are to begin [today] to work towards an outcome which will maintain the operation of this mine.”
Siptu sector organiser John Regan said: “The protective notice of layoff of workers at Tara Mines remains in place. We will enter the talks process with a constructive attitude in an effort to ensure the future of this vital strategic economic asset.”
Minister for Social Protection Heather Humphreys told The Journal on Tuesday that her department will be on standby to assist those affected by the temporary lay-offs.
“A dedicated team is being put in place and will be out on the ground with the company to provides information on income, redundancy entitlements and employment supports for their impacted employees,” said Humphreys.
Taoiseach Leo Varadkar said in the Dáil on Wednesday that the government’s schemes for re-training, education, job searches and income supports will “click in” for those impacted by the temporarily lay-offs.
Varadkar added that the government is “keen to make sure this is a temporary closure and that the mine can be reopened and that staff can return to their jobs as soon is possible”.
Also speaking on Morning Ireland last Wednesday, Minister for Enterprise Simon Coveney described the situation as a “short-term crisis”.
“The company is adamant that the board of directors are 100% convinced that this is a forced temporary closure and won’t be a permanent closure, but of course, we have to work to make sure that that’s the case,” Coveney said.
“This is very, very unwelcome news, and it really came unexpectedly. I think it was very unexpected, even within the company for many people working in Tara Mines and so many others who are reliant on Tara Mines for their income and their employment,” he said.
“It’s not just the 650 people, there’s about 2,000 people in and around the Navan area that are linked to Tara Mines in one way or another. This is a big deal and I’m doing everything I can to make sure we’re as supportive as we can be.”
Sinn Féin leader Mary Lou McDonald said during Leaders’ Questions in the Dáil on Wednesday that Minister Eamon Ryan was alerted about the dispute between the union and management “over a month ago”.
McDonald added that “everyone paying attention knew there was a very serious problem” and that Deputy Johnny Guirke had written to the Environment, Climate and Communications Minister in May, notifying him of the dispute.
According to the Sinn Féin leader, Guirke wrote: “If this risk becomes a reality, it would be a major blow to this region and certainly merits government intervention as soon as possible.”
The leader of the opposition said Deputy Guirke had his letter acknowledged and was told the matter would be brought to the Minister’s attention “and then nothing further”.
Varadkar said the government has been engaging with Tara Mines for “several months” about the increase in energy costs.
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