Electronics firm Quantum Corporation announced today it would be shutting its Irish operation in Dundalk next year with the loss of 250 jobs.
Quantum, which manufactures digital tape drives, blamed the high cost of doing business in Ireland for its decision and said it was moving operations to Eastern Europe.
The company announced last month it was in the process of reviewing the Dundalk operation.
The news is the latest in a series of job losses for the north east. PJ Carroll and Company said last month it was likely to close its cigarette manufacturing plant in Dundalk, ending a near 200-year association with the Co Louth town.
Fine Gael enterprise, trade and employment spokesman Phil Hogan
The company said it had initiated discussions with trade unions on a proposal to close the factory, with the loss of 66 jobs.
Thorsman Ireland also said earlier this year that its Drogheda plant is to shut with the loss of 50 jobs.
Yesterday, 560 workers for US pharmaceutical firm Hospira were told they would lose their jobs when the company closed its operations in 18 months.
Opposition parties today blamed the Government for the job losses.
Fine Gael enterprise, trade and employment spokesman Phil Hogan said the job losses "came as no surprise". He said it was "further proof that the high-cost economy created by the Government is killing Irish industry and forcing companies to move abroad, creating widespread job losses and damaging the economy."
He claimed the Government's jobs policy was "in tatters" because hidden stealth taxes on businesses were deterring investment.
Green Party Dundalk councillor Mark Deary said the Quantum decision was a "huge blow" to the area.
He also claimed Government policies are leading to high costs for these industries which in turn is leading these companies to move to lower cost economies.
