New desktop production might save Apple

The Apple computer company in Cork, which is to lay off 150 non-union people in a forced redundancy programme, 200 members of…

The Apple computer company in Cork, which is to lay off 150 non-union people in a forced redundancy programme, 200 members of SIPTU through a voluntary redundancy scheme, and as many as 400 temporary employees, yesterday briefed local TDs. The company offered hope that the imminent introduction of a new product in the Hollyhill plant may lead to a reversal of fortunes in the computer giant which has reported $1 billion in losses internationally in the past two years.

Despite its steady growth in Cork since the 1980s, rumours have persisted that the corporation was looking towards a more low-cost workforce as well as lower production in the Far East.

Even during the most dismal pro fit returns for Apple globally, the Cork plant - which became the county's major employer with as many as 1,900 full-time and temporary staff on its books - performed extremely well and was one of the high points on the company's declining graph.

Confusion has surrounded the precise nature and extent of the job losses at Hollyhill - not helped by the fact that the company has refused to commit any detail to paper or that one of its most senior executives, Mr Tim Cook, who chaired a news conference in Cork last weekend, was unable to say how the job losses would be shared out.

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The only good news from Mr Cook was that the Imac, a cheap and user-friendly desktop computer which will be assembled in Cork, might lead to new growth at the plant. While it is certain that some 350 jobs will go, the company has explained that the number of lay-offs among its temporary staff will depend on how the Imac performs.

Final assembly and testing of the new desktop will be carried out in Cork and by September, the product will be shipped out from Hollyhill to all of Apple's European markets.

At yesterday's briefing, the TDs were told that because of Apple's deteriorating market position, initiatives had to be taken to counteract a worsening situation. Company officials indicated that the introduction of the Imac to Cork might yet be the saviour of the plant. Mr Batt O'Keeffe and Mr Billy Kelleher (FF), said they hoped that Apple's newest product would make a difference.