Tanaiste 'delighted' to help ailing crystal company in marketing drive

The Tβnaiste has offered to assist Waterford Crystal in promotional drives abroad to secure new markets in the wake of the downturn…

The Tβnaiste has offered to assist Waterford Crystal in promotional drives abroad to secure new markets in the wake of the downturn in the US economy.

Ms Harney held discussions with the chief executive of Waterford-Wedgwood, Mr Redmond O'Donoghue, last week in advance of its announcement on Monday that most if the 1,600 Waterford Crystal staff are to be placed on short-time working for the rest of the year.

On a visit to the city to announce the opening of the Nypro Waterford plant, she said she would be "delighted" to do anything she could to assist the crystal company in its marketing drives abroad.

The company's chief executive, Mr John Foley, was continuing to meet staff yesterday to outline the extent of the difficulties confronting it. Following those meetings, negotiations will begin with union representatives on the details of how the short-time working will be implemented.

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The company says it needs to reduce manufacturing operations because of the decline in the US economy and the fall in the number of visitors to Ireland from the US.

Workers have criticised the new working plan, pointing out that the company is still in profit. A company spokesman, however, said yesterday that continued profits were necessary to provide it with funds for investment in all aspects of the business.

Staff also expressed anger that the company still outsources products from Germany and eastern Europe at a time it is cutting back on its Irish operation. The company spokesman said: "One significant reason is there are products we outsource which we cannot make in Waterford because we do not have the equipment."

A suggestion that the company has a stockpile of £90 million-worth of products is not correct, Mr Foley said. "We have inventory issues but not to the extent that was mentioned".

Mr Walter Cullen of the ATGWU, which represents most the 1,600 workers, said the union was awaiting clarification on a number of issues. It had negotiated agreements with the company to deal with difficult situations in the past and was prepared to continue doing that.