Limerick received a major jobs blow last Thursday with news that the region’s biggest employer, Dell, is to cut 1,900 of its 3,000-strong workforce. The first lay-offs will take place in April and downsizing will be compete by January 2009
Dell said the move is part of a $3bn cost-reduction initiative announced last
year and it will move all production of computer systems for customers in Europe, the Middle East and Africa (EMEA) from Limerick to its Polish facility and third-party manufacturing partners over the next year.
The remaining employees will continue to co-ordinate manufacturing, logistics and supply chain activities across different functions, including product development, engineering, procurement and logistics.
The move will also have major implications for the wider economy. Dell is Ireland's biggest exporter, and, in recent years, has contributed about 5% to national gross domestic product. It is estimated up to10,000 further jobs are reliant on Dell in the sub-supply area or through the spending patterns of Dell employees.
Dell will continue its sales, marketing and support activities at its plant at Cherrywood in Dublin, which employs over 1,300.
The Government said a taskforce would be established to support workers who have been laid off and promote economic development in the region. More on this story from the latest edition of the Irish Emigrant.