FIDELITY INVESTMENTS:SOME 50 people are to lose their jobs following a decision by a US investment company to slim down its business in Ireland.
Less than 18 months ago, Fidelity Investments had pledged to increase its workforce here. The company employs 277 people in Galway and Citywest, Dublin, where it has been located since 1996.
Its headquarters is in Boston and it provides financial and investment services to individuals and institutions. It has offices in most major cities in the world and employs 44,000 in the US alone.
In a statement from headquarters yesterday, the company said it announced last November it would be implementing workforce reductions across the entire company.
Some 1,300 people were laid off then and, in a second phase beginning this week, 1,700 are to be laid off. “These layoffs are part of the plan our executives announced to deal with the unprecedented worldwide economic downturn which continues to persist in 2009,” a spokeswoman said.
“Fidelity and businesses across all industries have had to examine their operations and make adjustments to deal with these extraordinary events. Most of our business units decided to do some layoffs as part of that overall effort.”
She said there was some impact in virtually all regional locations in which the company had a presence, including Ireland. The cuts would ensure the company maintained its strong financial status, she said. Less than 18 months ago, the company had pledged to increase its presence in Ireland with a new research and development centre in Galway, operated by Fidelity Technology Group and supported by the IDA. Some 49 new jobs were to be created in collaboration with 12 academics.
Then minister for trade, enterprise and employment Micheál Martin, who announced the investment, said at the time Ireland had made tremendous contributions to Fidelity’s success in Europe and across the globe, and played a key role in meeting the company’s business needs.
