Union proposals to be considered by Tara management

Management at Tara Mines has pledged to give due consideration to proposals by the trade unions aimed at averting the closure of the mine.

Intensive talks took place between management and the unions today aimed at today aimed at averting the proposed lay off of 600 workers at the mine, which would then go into 'care and maintenance' mode.

A spokesperson for Boliden Tara Mines said ; "We met with representatives from all trade unions today and will have further meetings tomorrow.

"We thank the representatives for their engagement and for the proposals they have presented. We will give due consideration to the proposals and continue to converse with all trade unions.

"The situation that has emerged in relation to the company's finances is unsustainable and required urgent action to stem the cash outflow. The decision to enter care and maintenance was taken so as to safeguard the long-term future of the mine."

John Regan of SIPTU said they had provided management with a comprehensive submission which provides financial details and operational details for their consideration.

Prior to today's meeting, SIPTU said it would enter the talks process with a "constructive attitude in an effort to ensure the future of this vital strategic economic asset" and "work towards an outcome which will maintain the operation of this mine".

In a joint statement issued after today's meeting, trade unions Unite and Connect said that management has repeatedly failed to provide information on current and future profits generated by Tara mines, choosing instead to focus solely on their cost base.

Pointing out that the Boliden group, of which Tara Mines is a subsidiary, is an exceptionally profitable company returning significant dividends to its shareholders, the unions warned Boliden against attempting to cut operating costs on the backs of workers in Ireland.

Commenting, Unite Regional Officer Brian Hewitt said: “It is clear from both the parent group’s annual reports and the accounts of their Irish operations that Tara Mines is an integral part of the Boliden group, which has been consistently profitable over the past thirteen years.

“In the absence of evidence to the contrary, it appears to us that the decision to suspend operations at Tara was taken to reduce Boliden’s operating costs at a time when zinc prices are temporarily falling and demand can be met from inventory. Indeed, it is noteworthy that zinc prices rose by three per cent following Boliden’s announcement regarding Tara”.

Connect Regional Organiser Tom Faulkner added:

“To date Boliden has failed to provide any real financial justification for their decision to suspend operations at Tara. In particular, they have repeatedly failed to provide details regarding current and projected profits, preferring to focus on costs. Even with regard to costs, the figures provided by management have fluctuated from meeting to meeting.

“Our members believe it is no coincidence that the announcement regarding Tara was made following an extensive fire at the Rönnskär copper smelting plant in Sweden which forced the suspension of operations there, and is likely to be associated with significant repair and clean-up costs.

“Our members should not be asked to pay the price for difficulties that Boliden may be experiencing elsewhere”.

Mr Hewitt called on Boliden to immediately reverse their decision to suspend operations at Tara.

“We would also urge the Government to make any assistance to Tara Mines, as well as future licenses, contingent on Boliden reversing its decision”, Mr Hewitt said.