Ferdia2010's Weblog

Gerard's blog

What happens.

with 2 comments

The economic outlook continues to look bleak, in fact its nearly as bad as the weather almost. With Dell’s plant in Limerick facing likely closure in the new year (talk of up to 10,000 jobs lost including suppliers and contractors) and Aer Lingus shedding 1,500 jobs in an effort to “yellow pack” the workforce. They are going to be tough times ahead for any job seekers.

The possible closure of Dell in Limerick will come as a huge blow to Limerick and the surrounding area’s but the writing has been on the wall for some time especially with the building of a new factory in Poland. In recent months it has been circulated that Dell wants to pull out of manufacturing altogether and get sub-contractors to build their computers for them.

What are people going to do ? A possible consideration would be a worker’s co-op, I think would be a idea rather than lay down and die kind of stuff. Jobs in computer assembly will be hard to come by, as it is all gone to low wage economies in the far east like China, Taiwan etc… If the workers got together and maybe some backing from the IDA/Shannon Development it might be worth a go.

Now for Aer Lingus, this airline was privatised with the state selling 75% of the airline and then giving the money raised to the company ( over €1 billion ) to buy airplanes or something like that. Well I haven’t seen Aer Lingus get new planes or even order them for that matter. One of the first actions it did after privatisation was pull the Heathrow slots out of Shannon despite making a profit on the route while leasing some of its slots at Heathrow to other airlines. Don’t think Aer Lingus made many friends for itself with that action. The management of the company seem to be doing their best to provoke the workers into industrial action either to break the unions or wind up the company or whatever. Anyway I believe it is time we got our €1 billion back.

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Written by ferdia2010

October 9, 2008 at 11:27 pm

Posted in Economy

2 Responses

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  1. dell is leaving ireland for the same reason they set up here. i dont understand how it comes a a surprise considering how expensive ireland is. i feel really sorry for the people losing their jobs but thats the glory of being closer to boston than berlin.

    when apple left galway it turned out to be a blessing in disguise as the laid off workers set up loads of small businesses. maybe theres a silver lining in this cloud

    Desperate Dan

    October 12, 2008 at 10:17 pm

  2. I think that was Digital actually .. Apple is in Cork.

    ferdia2010

    October 12, 2008 at 10:20 pm


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