Plan to save Dell jobs by outsourcing

FORMER DELL executive Nicky Hartery is understood to be among a group of investors involved in a consortium bid to save the 2…

FORMER DELL executive Nicky Hartery is understood to be among a group of investors involved in a consortium bid to save the 2,000 manufacturing jobs under threat at Limerick's largest employer.

It has emerged the Government held discussions over Christmas with business leaders from the mid-west who are proposing the outsourcing of Dell's manufacturing operation.

The plan would see the 2,000 jobs outsourced, with Dell no longer directly employing the workers.

If successful, it is estimated the future of a further 10,000 jobs in service and supply companies in the mid-west region would also be secure. Negotiations are under way to come up with a package that would be attractive to Dell.

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While the identity of the investors has not been released, Government sources have confirmed the consortium includes Mr Hartery, Dell's former head of European manufacturing, who resigned earlier this year.

The Waterford-born businessman was a key figure in overseeing Dell's investment in Limerick.

He was regarded as one of the driving forces behind the success of the Raheen facility, where some 3,000 people are employed.

It is understood that, before he resigned, Mr Hartery tried to get extra funding for the Limerick plant.

However, global executives blocked the move.

News that he is among the group of investors involved in the bid to save the manufacturing jobs under threat since Dell announced its global restructuring plans has been welcomed in Limerick.

"We would obviously welcome anything that would save the jobs . . . The fact that someone of the calibre of Nicky Hartery is involved is fantastic news," said Marie Kelly, the chief executive of Limerick Chamber of Commerce.

"He has done amazing things for Limerick and was always a great supporter of the Limerick plant and he was the man behind the entire development of Dell in Limerick," she added.

Limerick's mayor, Cllr John Gilligan, is also confident that the rescue bid has merit.

"Anything which is going to secure the jobs in Dell is something very much to be welcomed," said Mr Gilligan.

"Even in this time of gloom and downturn it must always be remembered that Dell in Limerick was always one of the best factories in the entire chain of factories that the company has.

"It has been their flagship factory and I think it goes against any kind of economic sense to close your best factory down."

Meanwhile, it is understood that Michael Dell has no plans to travel to Limerick in the next two weeks to discuss the company's plans with workers despite reports stating otherwise.

It had been suggested that the founder of Dell planned to personally tell employees of their fate early in the New Year.

However, according to a source yesterday, a visit to Limerick was not in the company's chief executive's forthcoming itinerary.

An announcement on the future of the Limerick plan is still believed to be imminent but it now appears that the news may not be delivered by Mr Dell in person.