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Dell to shut Limerick factory

shanecr Avatar
7y, 10m agoPosted 7 years, 10 months ago
" Dell to axe 1,900 jobs
08/01/2009 - 09:29:56

An employee at computer giant Dell arrives for work at the plant in Raheen, Co Limerick, January 8, 2009.Computer giant Dell is to axe 1,900 jobs at its flagship manufacturing plant in Limerick, the company confirmed today.

In a devastating blow for the region, the US multinational will end production at its Limerick factory in favour of a new facility and cheaper workforce in Poland.

Dell said the move was part of a $3bn (2.2bn) global cost-cutting drive announced last year.

The lay-offs will begin in April and will be completed by January of next year.

Dell says affected employees will receive severance packages and assistance in finding new jobs.

Business leaders in the Limerick region said the knock-on effect of such a massive jobs blow would cripple the local economy, with up to 6,000 other workers in related companies now at risk.

Sean Corkery, vice-president of Dell operations in Europe, the Middle East and Africa, described the cuts as a difficult decision.




We are proud of our 18-year tenure as a major manufacturer in Ireland, he said.

This is a difficult decision, but the right one for Dell to become even more competitive, and deliver greater value to customers in the region.

Dell is pressing ahead with the swingeing cuts despite personal pleas to the firm's founder Michael Dell by T?iste Mary Coughlan and Defence Minister and Limerick TD Willie O'Dea during a trade mission in Texas last year.

Dell will continue operating in Ireland with 1,100 workers at the Raheen facility focused on supporting overseas manufacturing through product development, engineering and logistics. The 1,300 marketing and sales staff at Dells Cherrywood plant in south Dublin will not be affected.

The computer maker is one of Irelands largest employers.

Established in Ireland in 1990, Dell employed more than 4,500 staff at its height and is the countrys biggest exporter and second largest company.

It accounts for approximately 5% of Irish GDP and last year contributed 140m the mid-west economy in wages alone."
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shanecr Avatar
7y, 10m agoPosted 7 years, 10 months ago
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#1
http://www.irishexaminer.com/breaking/index.aspx?c=ireland&jp=mhsnmhojcwql

i wonder if the countless people who screw them for extra discount after delivery contributed?
#2
Yet again we in the "rich" west overprice ourselves and companies cannot afford to make anything here.

Poland are allowed to join the EU, we give them BILLIONS in aid to help their infrastructure, allow many of their workers to come here and claim child benefit for their kids (even if the kids are still in Poland).

Then, once a Polish person has lived and worked here for a year (maybe with their wife and kids) they are then allowed to claim full benefits, the same as anyone who has lived here all their life.

Of course the cost of these benefits (FAR more than they would get in Poland) has to be paid for, so it drives up British taxes, makes employing people in Britian too expensive, so companies take their manufacturing elsewhere.

Seems it is one long downward spiral for this country.

Update: Doing more research seems Poland are getting 81 BILLION Euros in Aid from the EU between 2007 and 2013.

http://www.immonet.at/poland-financial-aid.htm
#3
There was a Young Lady whose chin,
Resembled the point of a pin;
So she had it made sharp,
And purchased a harp,
And played several tunes with her chin.
#4
Alfonse
There was a Young Lady whose chin,
Resembled the point of a pin;
So she had it made sharp,
And purchased a harp,
And played several tunes with her chin.


So clever, rhyming chin with chin. :)
#5
A large US company called Dell
Made computers in Limerick quite well
But to save lots of dough
To Poland they'd go
And the Irish could then go to hell
#6
I'm confused. Do they have two factories in the same area, or are they keeping the factory open and just shedding 1900 of the 3000-strong workforce?
#7
guilbert53
So clever, rhyming chin with chin. :)


not me the noted literary Edward Lear..........
#8
http://www.computerweekly.com/Articles/2009/01/08/234124/dell-to-axe-1900-jobs-in-ireland.htm :

''Dell is transferring its European PC manufacturing from Ireland to Poland to cut costs, in a move that will see 1,900 assembly plant workers in Limerick lose their jobs.

The Limerick jobs hit has been mooted for some time, with the number of temporary workers having already been slashed.

It has been a sensitive decision to transfer assembly to Poland though, as Dell has received large government grants to bring jobs to Ireland, particularly the poorer part of western Ireland where the assembly plant stands.

But, according to analyst Gartner, with Dell now having been usurped as the leading PC supplier by Hewlett-Packard, and having also fallen behind Acer, it is under pressure to rapidly reduce costs.

The Limerick jobs transfer is expected to be complete by next January, with the first workers expected to leave by this April.

Chinese PC maker Lenovo is also shedding 2,500 jobs on the back of poor results.''

So, do not get emotional and think who is to blame for that...

I know am two week behind, I just spot the post accidently and do not get the way of thinking

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