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“Give us a chance to compete” 03.06.09

Inishowen firms make plea to government

by Simon McGeady, Inishowen Independent

GOVERNMENT departments and Donegal County Council must start favouring Inishowen contractors ahead of cheaper Northern counterparts if local firms are to have any hope of surviving this recession. That is the view of several local employers now struggling to compete for work in their own backyard of Inishowen.
The Inishowen Independent spoke to four local employers in the construction industry about the current economic crisis. Some were reluctant to speak on the record but they all agreed that fundamental shift in attitude was needed to keep Inishowen workers in their jobs.
Darren McLaughlin of DML Contract, which specialises in site preparation and maintenance, summed up the current situation by stating that Inishowen firms were ‘doubly disadvantaged,’ because, while projects in the Republic are routinely given to Northern Irish firms, the reverse is seldom the case.
“Any government job in the North is let out to a Northern Irish or British firm that’s always been the case. The Irish Government have to be made aware of this situation and meet us halfway.”
The Buncrana man said that, when tendering for work, all that locals involved in construction wanted was a level playing field.
“It’s hard to get work at the moment, because if we go to price work to clear a site a Northern company can come in with a lower price, because their lorry drivers are asking for £5 to £6 and hour compared to €10 down here. Northern employers also play a flat rate of tax and aren’t required to make pension contributions,” he said.
The strength of the Euro against Sterling, the 6.5% differential in the VAT rate between north and south and differences in employer contribution requirements on either side of the border have combined to put the squeeze on local employers.
“The authorities here are supposed to be creating jobs, so how come they are able to let so much revenue go across the border?” queried Mr McLaughlin referring to major projects, such as the new National Schools in Clonmany and Moville that have been awarded to Northern Irish firms.
Laurence McDaid of Davey Transport, Moville, has seen staff numbers drop from 36 to four in little over a year.
“We have a quarry and would supply concrete blocks. We supplied material for the secondary school in Moville when it was being built but, but when we tendered for new primary school now being built in the town, we could not compete [on price].”
Mr McDaid added “We have never got a job in the North. I believe that if there is another school being built in the local area, the [Department] should give the job to a local company.”
Others in the industry locally, who did to wish to be named, expressed anger at the lack of trade coming their way from the construction of the new Clonmany and Moville schools.
Another businessman said local workers were frustrated to see contracts for major window washing, boiler installation and painting jobs in the peninsula go to northern companies when so many Inishowen people were out of work.
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