Limerick: Dell workers will get EU funding but important to wait until full extent of job losses are known–Colm Burke MEP

The following is a statement issued by FG MEP Colm Burke in relation to the Dell workers:

I have learned from the EU Commission that funding will be made available to the Dell workers in Limerick but that the application for funding should not be made until the full extent of the job losses becomes clear. I will be attending a public meeting tonight (Friday 10th April) with the Dell workers. It is vitally important that we maximise the number of people that benefit from this funding. The real extent of the job losses caused by the down-sizing of the Dell plant will not be known until later in the year when the knock-on effect on downstream industries is clear. These people will also be able to benefit from the funding but only if the Government includes them in the application.Funding can be made available to workers in a region when more than 1,000 direct and indirect jobs are lost as a result of changing trade patterns. The funding is available under the European Globalisation Adjustment Fund (EGF) which aims to help workers made redundant as a result of changing global trade patterns to find another job as quickly as possible.

I have been previously been advised by the EU Commissioner for Employment, Social Affairs and Equal Opportunities Vladamir Špilda that any application for EU funding on behalf of the Dell workers in Limerick who are losing their jobs would be looked at “favourably”. In addition I have been liaising with the European Commission to determine the appropriateness of the fund for certain cases in Ireland and I have been informed that there is enough money on the EU side to help Irish workers once the Government agrees to match the funding”.
The fund is essential to help the former Dell workers and those in places like Banta-Donnelly re-enter the workforce and contribute to bringing Ireland out of the recession”.

Ireland: Bombshell -Dell axes 1900 jobs in Limerick and plans new manufacturing plant at Lodz in Poland

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Computer multi-national Dell has announced that it is cutting 1,900 jobs at its plant in Limerick over the next 12 months.

Dell will move all production of computer systems for customers in Europe, the Middle East and Africa from Limerick to its Polish facility and third-party manufacturers over the next year...(RTE)

Currently Dell employs 3,000m workers at its Limerick plant. The loss of 1900 jobs is a shattering blow not alone to Limerick but to the entire Mid-West region. In addition thousands of jobs in spin off industries are likely to go. Dell says it will continue to employ approximately 1,000 staff in Limerick to coordinate supply chain, manufacturing and logistics for Europe, the Middle East and Africa.

The Taoiseach Brian Cowen has confirmed that a Government Task Force will now be formed to promote economic activity in the region.

Dell plans closure of Limerick plant-Sunday Business Post Report

An article in the Sunday Business Post reports that:

Up to 2,000 job losses are expected at Dell in Limerick in the new year when the computer firm announces its intention to cut back manufacturing in Ireland.....

Unemployment in Limerick has risen from 7,630 in November 2007 to 12,886 in November 2008- an increase of 69%. In addition the decision by Aer Lingus to discontinue the Heathrow service is a further blow to the economy of the Mid West region. It is an open secret that Dell was considering its options. Nevertheless the loss of 2000 jobs at Dell-if realised- would be catastrophic.