Blow for Castlebar as Baxter to cut 200 jobs

Up to 200 jobs are to be lost at Baxter in Castlebar after staff at the plant were called to a meeting on Wednesday where they were informed that 150 redundancies would be sought from the 1,100 permanent employees while 50 temporary positions are also to be cut at the plant.

A spokesperson for Baxter told the Mayo Advertiser that, “it is unfortunate that we have had to announce these cuts, but there are a number of drivers behind the decision such as the global economic downturn and our need to improve cost competitiveness.” However he went on to say that Baxter was fully behind the plant in Castlebar and there would be a major investment made next year.

“There will be a €6 million investment made in the Castlebar plant next year, some of that investment will be put towards automation and coupled with the economic downturn this will lead to these redundancies.”

He added that management was confident the redundancies would be filled ‘voluntarily’ by staff over the coming period, however some of the temporary positions may end sooner.

“Baxter has been in Castlebar for 38 years and we hope to be here for another 38 at least”, he said.

Commenting on the news, SIPTU official and independent councillor, Michael Kilcoyne stated there had been some uncertainty following the laying off of a sizeable number of temporary workers over the last 12 months but it marked a very serious issue for the town of Castlebar and the county of Mayo as a whole.

“It cancels out the jobs in Hollister which won’t actually be created until 2012 - except for maybe those in construction - and really shows the depths our economy has sunk to”, said Cllr Kilcoyne.

“It is particularly serious for the people who are losing their jobs with no prospects of getting any replacement jobs, because there are no propspects whatever. The only thing I can say is that the company has recovered before from major blows and so we would hop e it will again - but we have never gone through a recession like we are going through now.”

In real terms Cllr Kilcoyne predicted the immediate effect will simply be the dole queues in Mayo getting longer and more and more uncertainty.

“I wish I could give some hope but the facts are that the loss of 200 jobs in Castlebar would be like the loss of a couple of thousand jobs in Dublin - that’s the scale of this - and in tems of the manufacturing industry in the town - it represents a loss from this sector of at least 25 per cent in one go.”

Mayor of Castlebar,

Councillor Ger Deere

described the news as a

‘massive body blow to the

town’. He told the Mayo

Advertiser: “Baxter has

been a flagship industry in

Castlebar for a long time

now, it’s very unfortunate

that this news has

emerged, hopefully this

will be the last time we

hear news like this in

Castlebar.”

Commenting on the

dearth of good news jobs

stories for Mayo in recent

years, Cllr Kilcoyne added

wryly that part of the

problem was that if

Enterprise Ireland were

actually to create a job in

Castlebar they wouldn’t

know the way to get there.

“Baxter was always a

good employer and I

would now call on

Enterprise Irleand who

can’t seem to find where

Castlebar is, if they just

contact us and we’ll show

them where it is.”

Mayor Deere added that

the news could have

devastating effects for a

number of families around

the town. “There are

numerous husbands and

wives working in Baxter,

this news could really be a

devastating blow for

families in the town

taking two wages out of a

house. When you couple

that with the money it will

take out of the local

economy, it’s bad news for

everyone in Castlebar.”

He also said that the

news highlighted the need

for improvements to the

infrastructure around the

county to ensure that

industries like Baxter stay

in Mayo. “I know that the

Mayo Industries Group

are to meet with the

Government next week

about the infrastructure

in the county like the N5

and the need to improve it,

this is somthing that has

to be kept on the agenda

and we need to see

progress on.”

 

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