Food group Greencore posted a combined full-year operating profit of €96.6 million today, prompting high-level calls for the company to honour agreements on redundancy payments to former workers.
The company said operating profit at its main convenience foods division grew by 5.7 per cent to €69 million, while the ingredients, agribusiness and related property division posted operating profits of €27.6 million.
Joe O'Flynn, Siptu
The group said convenience foods was well positioned for growth in 2007 and beyond and that, given an expected trading improvement in the malt sector and its plans for its property assets, the prospects for its other division were positive.
In the wake of today's results, Siptu general Secretary Joe O'Flynn said the management at Greencore was displaying a "voracious appetite for greed" by refusing to pay union members their redundancy payments, while announcing record profits.
Former employees of both the Mallow are Carlow plants are waiting for the company to pay the severance terms recommended by the Labour Court.
"In the run-up to Christmas, the workers who helped to build and sustain the company through many years of loyal service are now surviving on unemployment benefit," said Mr. O'Flynn.
"Instead of paying the workers what they are due, they plan to develop a €1.1 billion property site - using €146 million allocated from the EU as part of an industry compensation package.
"Meanwhile workers received statutory redundancy entitlements only and - despite a call from the Taoiseach, Bertie Ahern, the Minister for Agriculture, Mary Coughlan and the Minister for Enterprise Trade and Employment, Micheal Martin - Greencore has refused to pay the severance terms recommended by the Labour Court.
"This is another example of an employer ignoring the institutions of the state when it comes to fulfilling their commitment to workers."
"Once again we would call on the Government to exert the strongest possible pressure on Greencore and make it clear to the management that they will not be paid any of the compensation package until they respect the rights and entitlements of the workers," he added.
The Bishop of Cloyne, Dr John Magee, also called on Greencore to pay redundancy to its former workers.
"As we approach Christmas, 145 families find their futures in jeopardy due to the intransigence of this company in refusing to abide by the Labour Court ruling," Dr Magee said.
Greencore unveiled a €1.1 billion euro development plan for its site in Carlow on November 21st. It plans to transform the 333 acres former sugar factory lands in a regeneration scheme which will include 3,000 residential units, retail facilities, a 50-acre business park and a 35 acre riverside walkway.
The company claims the scheme, which has submitted to Carlow County Council for its proposed local area plan for the town, will create more than 2,000 jobs in the area.
Additional reporting: PA