27/05/2010

Convidien Announces Job Cuts

A meeting between union's and management is underway after County Offaly plant Covidien revealed it would lay off 199 workers.

Management at the healthcare group, which is the biggest employer in Tullamore, confirmed the job losses this morning

SIPTU representatives are to meet management at the Covidien plant in Tullamore, county Offaly tomorrow after the announcement today that 199 workers are to be laid off.

A spokeswoman for Covidien said 160 full-time positions would go through an early retirement and voluntary redundancies programme. A further 39 temporary jobs will also be lost over the next few weeks.

The company management told workers that it believes the plant can sustain the jobs of the remaining 450 employees. According to the union SIPTU, those being made redundant will be paid six weeks per year of service, plus statutory entitlements.

A 30 day consultation process will now begin between SIPTU and management to discuss the process in detail.

SIPTU Branch Organiser, Frank Jones, said: “This is devastating news for our members in Covidien and for the wider community in Tullamore and county Offaly. This has been a very successful and profitable company which has been at the heart of economic activity in the Midlands since 1982.

“Husbands and wives, fathers and sons, mothers and daughters have worked in this plant. People are shocked at the news.”

Covidien is part of the Tyco International Ireland corporation and employs over 42,000 workers worldwide, including 650 at the plant in Tullamore. Covidien, who have their international headquarters in Dublin, had revenue of $10.7 billion in 2009.

A number of cost-cutting measures were recently introduced at the Tullamore plant, including the loss of overtime and new shift arrangements.

(DW/BMcC)

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