THE Semperit workforce has voted overwhelmingly to accept the company's latest redundancy package. This clears the way for a closure of the tyre production line at Dublin's Ballyfermot plant on Saturday.
Workers voted by 487 votes to 15 to accept settlement terms that provide five weeks pay for each year of service, plus outstanding increases due under national pay agreements and statutory payments in lieu of notice.
The package will cost Semperit's parent German company, Continental AG, £23.5 million and means an average payment of £37,400 for each employee. The previous rejected offer had been worth £15 million or £23,000 per employee.
The proposals are based on a Labour Court recommendation, initially rejected by Continental AG. In return for the improved terms, the Semperit works council agreed to the company bringing forward the date for production to end from December 6th to this Saturday.
Yesterday the council chairman, Mr Dessie Robinson, welcomed the result. He said efforts to reopen the plant through an employee buy out or by finding a new buyer would continue.
Semperit union representatives' met Forbairt yesterday to discuss its submission for funding to help finance an employee buy out. Continental has valued the Ballyfermot plant, which made a profit of £5 million last year, at £50 million.
Meanwhile, the company has agreed to meet the Cooper Tyre Company of Ohio and other prospective buyers. It agreed to facilitate meetings with Cooper and others after the Minister for Enterprise and Employment, Mr Bruton, met Continental's chairman, Dr Hubertus von Grunberg, in Hanover on Sunday.
A company spokeswoman said after the ballot result was known management appreciated the good relations it had enjoyed with the unions. "Their businesslike approach to the shutdown is to their credit," she added.
The plight of 18 catering staff working for the catering subcontractor at Semperit has still to be resolved. Their employer, R H Catering, has pleaded inability to pay the same terms as for Semperit employees, although some have up to 11 years service at the plant.
But the Labour Court issued a recommendation late yesterday proposing that R H Catering pay the redundant workers their statutory entitlements and Semperit provide top up payments to bring compensation rates to the levels, enjoyed by the 627 direct employees of the company.
About 40 maintenance, administrative and clerical staff will continue working on the winding down of Semperit's Irish operation for some weeks.