Tipperary town's largest employer confirmed yesterday it is to lay off 150 staff following a decision to move manufacturing overseas.
Pall Ireland currently has 230 employees at the Tipperary facility, which set up in the town six years ago.
The Tánaiste and Minister for Enterprise, Trade and Employment, Ms Harney, described the job losses as "a very hard blow for the workers, their families and the local area".
The Irish operation is part of Pall Corporation, a global technology firm focused on filtration and separation solutions in healthcare. The company has operations in more than 30 countries, and employees 10,700 people.
The Tipperary plant operates in two divisions; the medical division, which manufactures blood-filtration products, and the machinery and equipment division, which manufactures industrial filters.
Both divisions provide products for the European market and the company told employees in Tipperary yesterday that the decision to close the medical division was designed to allow it remain competitive in this market.
Production of the company's medical products will be consolidated in plants in Puerto Rico and Mexico. The Pall Corporation last month reported a 36 per cent sales increase and a jump of over 70 per cent in earnings, while total revenue in 2002 amounted to $1.3 billion.
The general manager of the Tipperary plant, Mr Padraig Barry, expressed regret at the move overseas.
"The reduction in staff is very painful but necessary . . . The workforce in Tipperary has performed to the highest standards of quality and efficiency at all times."
Ms Harney pledged the support of all agencies within her department to assist Pall workers.
"The necessary task of addressing the future development of Tipperary town is already under way, with IDA involved in a number of initiatives. These include the complete upgrading of the IDA industrial park."
The Fine Gael leader, Mr Enda Kenny, said the news came as a devastating blow to an area which had already suffered a number of economic setbacks.
The Labour Party spokesman on enterprise, trade and employment, Mr Brendan Howlin, described the losses as a "devastating blow".