Job Losses in Multinationals in Ireland?

amcdo09

I'm not sure whether this is the right place to put this, but anyways, I'm doing some research on job creation and job losses by MNC's in Ireland and the reasons behind them. I can find information on job creation no problem, however, I'm finding it very difficult to find any worthwhile information on job losses, examples of job losses and what exactly has caused them. Any help?

The_Pretender

Two straight off the top of my head are Dell in Limerick in 2009 and HP in Leixlip this year. Reasons - usually no attachment to the area in head office and the job can be done cheaper somewhere else.

Mrs OBumble

Digital in Galway in 2000 ish.

Abbott in Galway in 2007 ish

ironclaw

You should also look at attrition rates within multinationals, especially in graduate programs. A lot of companies bump up their numbers each year with interns or graduates. So the headline is '1000 jobs', but 200 of them might be interns and of the remaining 800, say 500 are graduates, who will likely leaving with 18 to 24 months. So you don't actually have sustainable growth as you are constantly loosing people, to retrain, to lose them. So your experience pool dwindles dangerously as you are not retaining staff and senior staff will naturally leave as well. I think this is going to be a huge problem in Ireland going forward as we have more and more support roles, especially in the IT sector.

Nika Bolokov

Great post above. Same in big consultancy firms They announce 500 new jobs but don't say 400 graduates left in the past year and thus the net jobs added is very small or in some cases an effective reduction.

The danger with all multinational roles is that they evaporate with the flick of a switch often without the need for a large redundancy program as staff turnover can be sky high.

ironclaw

Nika Bolokov wrote: »

The danger with all multinational roles is that they evaporate with the flick of a switch often without the need for a large redundancy program as staff turnover can be sky high.

Always amazes me that people say 'Sure XYZ Corp would never leave, even if the corporate tax rate was 90% because we speak English and have highly qualified people'

The reality is most companies could be closed up in 3 to 6 months, and I've seen the actual plan for one multinational to roll out of here. They employ over 10,000 people here. Its scary and not beyond the realm of imagination. We don't a have a high tech work force, we have a workforce where everyone has a degree or a Masters but we arn't capilatisling on that. Support Roles are not high tech and every role I've seen recently (Small bit of white washing here, sorry and no offence intended) has been a very low tech, anyone with ECDL could do job. We need start ups with decent funding and growth, along with serious R&D roles.

davindub

Op you can look at globalisation and cost leadership / competition to find the reasons for mulitinational relocations / out sourcing.

Motorola was a good example of this, they used to produce units in swords, outsourced to a company who manufactured for other companies (multinational themselves) who took over the Motorola plant and approx 2000 workers Within 2 years the majority of the plant was idle and the work transferred to the Czech Republic. This was circa 2004.

Fact is a lot of companies try to achieve growth by cost cutting. Waterford crystal is another example. Loads of case stu dies but it won't be specific to irish companies.

5rtytry56

ironclaw wrote: »

Always amazes me that people say 'Sure XYZ Corp would never leave..........

VERY prevalent amongs native Irish, more than one would think.:rolleyes: