HC Deb 20 October 1975 vol 898 cc52-4W
Rev. Ian Paisley

asked the Secretary of State for Northern Ireland if he will make a statement on the proposed closure of the STC factory in Larne.

Mr. Orme

The company has announced its intention to rundown the Larne labour forces by the end of June 1976. Detailed discussions regarding the phasing of the rundown are taking place between the management of the company and the unions involved. I have already met senior directors of the United Kingdom company to discuss the overall level of employment to be maintained by the company in Northern Ireland, and discussions are continuing.

Rev. Ian Paisley

asked the Secretary of State for Northern Ireland how long the lease of the Larne factory to the STC company still has to run.

Mr. Orme

The terms and conditions of a draft lease have been agreed with the company. These provide for a lease for 21 years with effect from 1st January 1966. The formal completion of the lease is still in the hands of the solicitors acting for the various parties concerned.

Rev. Ian Paisley

asked the Secretary of State for Northern Ireland on what date the STC company took over the Larne factory; what was the nature and condition of the lease; and what were the arrangements concerning rent and rates agreed to.

Mr. Orme

The company took over the Larne factory on 1st January 1966. The terms and conditions of the draft lease have been agreed with the company, although formal completion of the lease is in the hands of solicitors acting for the various parties concerned.

The lease provides for a period of 21 years from 1st January 1966 with an option to STC to break after 10 years—31st December 1975—conditional upon the company giving six months' notice to the Department of Commerce. It also provides for the payment of rent to the Department halfyearly in advance. The company is liable for the payment of rates directly to the rating authority. The company has paid rent in full up to 31st December 1975.

Rev. Ian Paisley

asked the Secretary of State for Northern Ireland how many working days have been lost in the STC factory in Lame as the result of industrial disputes other than the Ulster Workers' Council stoppage.

Mr. Orme

I am unable to quote the figures requested as statistical information of this nature is given to the Department of Manpower Services by individual companies on the understanding that it will be treated as confidential.

Rev. Ian Paisley

asked the Secretary of State for Northern Ireland what negotiations have already been entered upon for the reletting of the STC Larne factory.

Mr. Orme

No negotiations have been entered into for the reletting of the STC factory at Larne. An approach has been made to a company which might be interested in taking over these premises, but I must emphasise that discussions are at a very early stage.

Rev. Ian Paisley

asked the Secretary of State for Northern Ireland what was the total amount of Government grants paid to the STC factory in Larne since it commenced operation.

Mr. Orme

Financial assistance has been provided to the company in respect of its Larne operation under the Industrial Development Acts (NI) 1966 and 1971; the Industrial Investment (General Assistance) Acts (NI) 1966–1971: and the Training on Employers' Premises Scheme. It is not the practice to reveal details of the amounts given to individual companies which must remain confidential between Government and the company.

Rev. Ian Paisley

asked the Secretary of State for Northern Ireland how many persons will be unemployed as the result of the closure of the STC factory in Larne.

Mr. Orme

The STC factory at Larne currently employs 740 people. The company proposes to begin the rundown of employment as soon as possible and to have it completed by the middle of 1976. The company intends shortly to negotiate for the transfer of up to 250 of the Larne employees to its factory at Monks-town. Depending on the outcome of the negotiations, the total number of people unemployed as a result of the closure may well be of the order of 500.

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