IBM may shed 200 jobs through redundancies

IBM INFORMED staff at its Dublin technology campus yesterday that it is seeking a number of voluntary redundancies.

The company did not put a figure on how many staff it is looking to shed, but it is understood about 200 staff may leave IBM under the scheme.

The technology giant has entered a one-month statutory consultation period with staff about the cuts.

The move follows the completion of the transfer of high-end server manufacturing to Singapore from Dublin.

IBM cut its staff numbers in Dublin by 120 when the Far East transfer was announced in February 2009.

In a statement released yesterday, the company insisted it would continue to carry out manufacturing and fulfilment of its low- and mid-range servers in Dublin for markets in Europe, the Middle East and Africa.

IBM said it would continue to look at “new missions and opportunities” for the Dublin campus “as they arise”.

IBM established its technology campus at Mulhuddart, Co Dublin, in 1997.

Although initially focused on manufacturing, the core activities now are around software and services.

Last month IBM announced the establishment of a €66 million technology centre in Dublin which will create 200 jobs over the next three years.

The impact of this and other investments is that IBM’s total employment in Ireland will remain at about 3,400 even after the redundancies.

Leo Varadkar, Fine Gael spokesman on enterprise, trade and employment, said the news was “a huge disappointment for IBM’s employees and for the whole of Blanchardstown”.

“I am particularly concerned that Blanchardstown is losing these jobs to a country like Singapore, which is by no means a low-cost location,” said Mr Varadkar.

“This sends out a very worrying signal about Ireland’s attractiveness for foreign direct investment.”