More voluntary job losses at Dell

Dell Computers yesterday announced its second voluntary redundancy programme in 12 months for administrative and middle management…

Dell Computers yesterday announced its second voluntary redundancy programme in 12 months for administrative and middle management staff at its manufacturing base in Limerick.

The company, the world's second largest PC manufacturer following the Hewlett-Packard takeover of Compaq, is seeking 150 people out of a total of 3,300 employees to apply for the package which gives six weeks of pay per year of service.

The company stated the measure was aimed at avoiding job duplication following the consolidation of its European manufacturing operations in Raheen and the closure of its factory in Castletroy. Factory floor employees will be unaffected.

The announcement comes a week before the company founder and chief executive, Mr Michael Dell, is due to be conferred with an honorary degree at the University of Limerick. Mr Dell will also address his employees during the visit.

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The redundancy programme follows one for 200 of the Limerick staff last May. The following month, a further 125 jobs were shed in a voluntary package sought for its 1,200 sales and support staff at Bray and Cherrywood, Co Dublin.

The latest round was announced yesterday at meetings of employees following the announcement of the company's first-quarter results last Thursday.

The company stated the duplication of some administrative and management roles had made the programme "appropriate".

Mr Pat Casey, the human resources manager, said the Castletroy plant was no longer necessary after the completion of a custom-built plant at the end of 2000 and the additional investment of $20 million (€21.8 million) into it last year.

The redundancy programme was important in an industry of tight margins which was not growing "at any great rate", he said. It would also help maintain Limerick as the most productive of the Dell plants around the world.

"This will help us to hold onto that. The reality is there are 3,300 jobs still in Limerick, long term hopefully," he said.