Bulmers and Baxter reveal plans to shed total of over 200 jobs

MORE THAN 200 job losses were announced yesterday with Baxter Healthcare in Mayo and Bulmers in Tipperary announcing restructuring…

MORE THAN 200 job losses were announced yesterday with Baxter Healthcare in Mayo and Bulmers in Tipperary announcing restructuring programmes.

Baxter Healthcare said it was seeking seek 150 voluntary redundancies from its 1,100-strong workforce in Castlebar over the next year.

The company will also terminate 50 temporary contracts over the same period.

The decision was attributed to the downturn in the global economy, the subsequent impact of European healthcare cost-savings measures and the ongoing need to improve cost competitiveness.

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General manager Pat Gallagher said the company’s manufacturing sites in Mayo – it also has a plant in Swinford – will continue to be an important and integral part of the Baxter manufacturing network worldwide.

“We approach the future with confidence,” Mr Gallagher said. “Process and technology investments will continue so that we can provide enhanced high-value therapies to the patients we serve for many years to come.”

Baxter Ireland, which has been established for over 40 years, also has facilities in Dublin, Belfast, Antrim and has a total Irish workforce of 1,300.

Meanwhile, Bulmers has announced that it is to shed 50 jobs at its Clonmel plant by the end of the year as a part of cost-cutting measures in its reorganisation programme.

The manufacturers of Bulmers and Magners cider informed staff that it would require up to 50 redundancies at the Tipperary manufacturing facility.

Management will start consultations with employees and trade union representatives immediately.

Where possible, redundancies would be obtained on a voluntary basis and would primarily impact middle-management positions, the company said.

“It is with regret that we have to commence this programme of job cuts,” Bulmers general manager Paul O’Sullivan said.

“The combined impact of a dramatically weakening consumer environment and the continued migration of cider volumes from the on to off-trade channel has adversely impacted our business in Ireland.”

Mr O’Sullivan said it was imperative to reduce the company’s fixed cost base in Clonmel to ensure its products were produced at the lowest cos, while maintaining quality.

“In this challenging environment we will take corrective action now to improve our competitiveness and move to secure the remaining 220 jobs in Clonmel,” he said.

Mr O’Sullivan added that the company would endeavour to provide a range of employee support services to support impacted employees.

Labour Party Senator Phil Prendergast said the news was “another example of how a failure to regulate executive pay is forcing people out of work”, with 200 people losing their jobs at Bulmers since the new management at the company secured a multimillion bonus deal.

Meanwhile, Minister for Enterprise, Trade and Innovation Batt O’Keeffe moved yesterday to offer assurances that the sale by medical devices company Boston Scientific of its neurovascular division to Stryker would not result in any job losses in Cork.

Mr O’Keeffe said the sale by Boston Scientific of the division, which employs 1,150 people in Cork, to Strkyer which also has plants in Cork, would help secure the jobs at the Model Road plant in the city.

“The move means that two global medical technology firms are consolidating in Cork with no reduction in staff numbers,” Mr O’Keeffe said.

“Boston Scientific is committed to the Cork operation, and Cork will form part of the firm’s future growth and investment plans,” he added.