Years of uncertainty ahead for businesses
UNCERTAINTY for the future is the number one concern for the business community following the Brexit decision according to Wexford Chamber president Karl Fitzpatrick.
Speaking on what he called ‘a very black Friday for Ireland’, Karl said that we are now facing two to three years of uncertainty in Europe. He believes that this uncertainty may prove ‘very damaging’ for business.
‘We are looking down the tunnel of uncertainty,’ he said. ‘We’ve seen ourselves that when this happens, people stop. They stop making decisions and stop making investments. It can have a staggering effect.’
As managing director of recruitment company Chevron Training and Recruitment, Karl said he has already witnessed through his own business how Britain’s choice to leave the EU can influence company decisions.
‘A business based in Wexford that exports 50 per cent of its produce to the UK contacted us recently with the view of recruiting two sales reps,’ said Karl. ‘ This morning, I received a call from them to say that they won’t be employing these people.’
‘ This is an example of a company that had full intentions moving forward and adding staff six weeks ago but because of this decision, have immediately changed their mind.’
According to Karl, there are approximately 200 businesses in Wexford that rely on the UK as one of their main export countries. He said that his main fear for any company exporting out of Ireland to Britain is the struggle to compete in the British market.
Karl attended a meeting in Monart with several members of the Wexford business community on the morning that we woke to the news of a Brexit. He said that the news was a ‘major concern’ for all in attendance.
‘ They are stunned. They are uncertain. I don’t think anyone has a crystal ball and knows what will happen as this is new territory for us. It will have to unravel itself but there is bound to be implications right across the board,’ he said.
Amid the uncertainty and gloom, Karl said that Ireland’s position as the only core English-speaking country left in Europe may prove to be an advantage in terms of for- eign direct investment (FDI).
‘ The IDA welcomes the news that it will be easier for them to attract FDI when they don’t have to compete,’ he said. ‘Some major companies have their headquarters in London and now may look to Ireland with a view to relocating.’
‘We will be working with Wexford County Council, the IDA and Enterprise Ireland along with the Chamber of Commerce in the UK with a view to see Wexford being placed firmly on the map to attract businesses.’
Plans surrounding Britain’s departure from the EU are expected to unfold in the coming weeks and months. In the meantime, Karl said that they await advice from chambers in Ireland and abroad and intend to meet members and ask them what challenges Brexit is raising.
(Amy Lewis)