Founder of aerospace firm critical of rates system

DUBLIN AEROSPACE founder Conor McCarthy has criticised the council rates system, which he says is affecting the competitiveness of businesses in Ireland.

Speaking at the opening of a €4.5 million facility at Dublin airport, Mr McCarthy said the company, which uses large surface areas at the airport, was paying €500,000 a year in rates. “Our rates bill is our third-largest bill after wages and rent. The system essentially adds a further 25 per cent local tax to our business.”

He also criticised the system whereby the charge is levied even when companies are lossmaking.

“In our first year of operation we had to pay out 7 per cent of our turnover on rates which, unlike corporate tax, is levied regardless of the ability to pay.”

Dublin Aerospace, which was founded following the closure of SR Technics in 2009, yesterday announced the creation of 150 jobs over the next two years. This will bring its workforce to more than 300.

Speaking at the opening of the 40,000sq foot facility, Taoiseach Enda Kenny described the workforce and management at Dublin Aerospace as the drivers of Ireland’s recovery who represent a “brand of excellence”.

“You are not just working for Dublin Aerospace, for yourselves, you are working for Ireland,” Mr Kenny told assembled workers at the facility. “Upon your shoulders lies the responsibility of demonstrating to other nations and other people that we have workforce of the highest productivity that can produce products to the highest standards.”

Mr McCarthy highlighted the historic importance of the aviation industry to Ireland. “There are more than 25,000 jobs in aviation on the island of Ireland today, 18,000 of them in the South.”

In another jobs announcement, supermarket retailer Iceland said it would create 200 jobs with the opening of four stores across the State this month, including a store in Coolock, north Dublin, which opened yesterday.

The chain is to invest €3 million in store leases and fit-outs as it expands its presence in Ireland.

The AIM Group owns the master franchise for the discount supermarket chain in Ireland. The Coolock store, which involves 45 jobs, is the company’s fifth store here. It will open three more stores this month, and has plans for further openings in early 2012.