Shannon region to benefit from 130 new jobs

The closure or downsizing of a multinational's Irish operations can have the positive effect of encouraging redundant staff to launch start-ups, using expertise acquired at work, the Tánaiste, Ms Harney, has said.

Her comments came as it was announced 130 jobs are to be created in a €14 million investment in new technology companies in the Shannon region.

Eleven firms in Clare, Limerick and Kerry will benefit from the investment, €10 million of which comes from private backers with the rest provided by Government. Most are high-tech businesses, engaged in fields such as multi-media streaming, remote information monitoring and GSM/internet solutions.

Seventy-two jobs are in place, with a further 130 to follow over the next three-five years.

The investment underlines the technical sophistication increasingly prevalent in the small-business sector, Ms Harney said.

"We. . . need to realise that the closure or downsizing of a multinational company can have a positive outcome from an entrepreneurial viewpoint. Some of the 11 companies have been founded by former multinational employees who have used the experience and expertise gained to become employers," the Tánaiste added.

"While the knowledge economy in Ireland relies on the multinational sector, particularly those undertaking higher value-added activity, they are also hot beds for nurturing Irish entrepreneurs."

The Shannon region has become a breeding ground for technology companies, due in part to investment in physical infrastructure, said Shannon Development chief executive Mr Kevin Thompstone.

Small-business lobby group ISME said a fall in overseas investment meant indigenous entrepreneurs were hugely important. The Government can best help start-ups by confronting high insurance charges, said chief executive Mr Mark Fielding.

Firms benefiting from yesterday's announcement include Limerick-based software developer eZee Global Software and Tralee-based cosmetics manufacturer Brandon Products.