A CO Clare medical devices manufacturer is to lay off more than a fifth of its workforce following the recent acquisition of the plant by a US biomedical company which has resulted in the closure of a production line.
Some 59 people will lose their jobs in November after Beckman Coulter, formerly Olympus, confirmed plans to close the AU 3000i immunoassay department at its facility near O’Callaghan’s Mills.
The US company, which also has a plant in Co Galway, acquired the diagnostic systems element of Tokyo-based Olympus Life Sciences in August in a deal worth $800 million (€630 million). The acquisition included the Co Clare facility.
It is understood the decision was taken because the company’s Galway plant already operates a successful immunoassay department and Beckman has no need for two.
The 59 people who will be laid off – they are not members of a union – have already been informed of the company’s plans and have been offered redundancy.
It is understood the workers will receive up to eight weeks’ wages for every year of service, along with additional benefits.
Located at Lismeehan near O’Callaghan’s Mills, the facility is engaged in the development, manufacture and sale of reagents for Olympus analysers.
The immunoassay department was opened in 2004 following completion of a €5 million extension at the Co Clare plant.
Last February it was confirmed that Beckman Coulter and Olympus had entered into a definitive agreement under which Beckman Coulter would acquire the diagnostic systems element of Olympus Life Sciences.
That deal was finalised in August, when a total rebranding of the Co Clare facility was completed.
A company spokesperson said: “I can confirm that the layoffs in Co Clare are related to Beckman Coulter’s decision to discontinue the AU 3000i product line. We have no other information to share at this time.”
Beckman Coulter has said it believes that in 2010 its revenue will increase by $500 million (€396 million) as a result of acquiring the Olympus diagnostics business.