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The Molex plant in Shannon. Google Maps

Shannon-based tech firm Molex to shut next year with up to 500 job losses

The positions will be phased out in the coming months.

TECH FIRM MOLEX today announced that it will cease operations in Ireland by next year meaning the loss of up to 500 jobs. 

Staff at the firm, based in Shannon, were instructed to attend a meeting this afternoon where they were told that the US firm will cease trading here subject to what it described as an employee consultation process.

In a statement this evening, the firm said that products made at its Shannon plant had “insufficient financial returns and growth potential”.

“Therefore, these products will either be exited or divested, with any remaining products transferred to other Molex facilities,” it said in a statement to staff this afternoon.

“The impact of this decision will regrettably result in the closure of the facility impacting up to 500 employees. Announcing our intention to close this facility is very difficult due to its impact on our employees, and the deep ties Molex has with the region and its people having operated in Shannon since 1971.”

Business minister Heather Humphreys said she was “bitterly disappointed” with the news of the closure. 

She said: “My immediate thoughts are with the workers and their families at what is a very difficult time for them and for the wider Shannon area. I fully appreciate how important large-scale employers like this are to regional areas, which makes this company closure all the more difficult.”

“I spoke to the Global CEO of the company today and expressed my deep regret at the decision, particularly given the firm’s long history in Shannon and the role its workers there have had in its success. He unfortunately made clear that, while the decision was made very reluctantly, it is irreversible.”

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    Mute Pete mc pete
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    Oct 22nd 2019, 4:21 PM

    I know people working there and they said the media knew before them,sad day for Shannon

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    Mute paul clifford
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    Oct 22nd 2019, 4:54 PM

    Your dead on Pete. The news crews were outside as the employees were going into the meeting. The employees didnt know what was happening but the news crews did. Disgraceful

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    Mute DBennie
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    Oct 22nd 2019, 5:06 PM

    A sad day for Shannon but a direct result of Donald Trump’s trade war with China. One third of Molexs revenue comes from China. Anyone who thinks this fool doesn’t have a negative impact on ourselves is in dreamland.

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    Mute Vote4Pedro
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    Oct 22nd 2019, 5:19 PM

    @DBennie: molex relied heavily once upon a time on Nokia phones, the main items they produce now are manufactured far far cheaper in Molex plants like in Mexico, what they’re making primarily can be made by relatively unskilled staff. Molex Shannon wud have alot of its staff there for decades who, year on year, wud have gotten small wage rises which over the course of 20 years amounted to highly paid inefficient staff.

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    Mute Dave Thomas
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    Oct 22nd 2019, 5:29 PM

    @Vote4Pedro: sounds like the government.

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    Mute Vote4Pedro
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    Oct 22nd 2019, 5:59 PM

    @Dave Thomas: what does?

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    Mute Roger Paltry
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    Oct 22nd 2019, 6:54 PM

    @Vote4Pedro: Partially true as it depends on how efficient the staff are in places like Mexico. What they definitely would not be able to get hold of is the supporting small sized toolmaking shops in Shannon who build the tooling for their manufacturing operations i.e. high speed press tools, injection moulds etc.

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    Mute Vote4Pedro
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    Oct 22nd 2019, 8:10 PM

    @Roger Paltry: alot of the tooling comes in from the likes of Malaysia which wud be standard spare parts ordered months in advance as part of running a proper store. Part of the problem with manufacturing in 1st world countries is high costs, regulations and minimum wage which are almost non existent in other countries where the likes of molex have factories

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    Mute Craic_a_tower
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    Oct 22nd 2019, 5:02 PM

    This is the big problem with having regional areas wanting investment. The areas become too dependent on one company and can’t handle a closure. Why as a worker would you want to be in that much risk?

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    Mute Dermot Dinan
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    Oct 22nd 2019, 5:48 PM

    @Craic_a_tower: Jaysus – That’s a bit mad there Ted.

    Are you saying we should not invest anywhere outside of Dublin ?

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    Mute Julian King
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    Oct 22nd 2019, 6:29 PM

    @Craic_a_tower: Shannon has hundreds of different companies, plenty of people coming in from all parts of Clare and Limerick.

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    Mute Craic_a_tower
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    Oct 22nd 2019, 6:39 PM

    @Dermot Dinan: no I am saying if you want to move to work for a company you better make sure there are options and if you don’t you only have yourself to blame. I would never have my future so tightly connected with one company

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    Mute Craic_a_tower
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    Oct 22nd 2019, 6:42 PM

    @Julian King: yet the article points out that it has a more drastic effect. Pretty simple that is a huge employer to the area as the population is smaller.

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    Mute Tim O'Brien
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    Oct 22nd 2019, 6:47 PM

    @Craic_a_tower: thanks for the heads up, in future i will check with my crystal ball before i take a job just to make sure the company doesn’t close down in the future.

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    Mute Munsterman
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    Oct 22nd 2019, 7:20 PM

    @Craic_a_tower: only themselves to blame? Not sure if you’re being serious or not…

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    Mute Dermot Dinan
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    Oct 22nd 2019, 7:48 PM

    @Craic_a_tower: Have you ever been to Shannon Craic? These 500 jobs are a loss for sure, but there are currently about 9000 people employed in Shannon town alone (which is commuting distance from Limerick, Galway, Ennis etc) . You seem to have a picture that the town is built around Molex and will now shut down. For sure, it is sad but nothing like (for example) the closure of Dell manufacturing in Limerick back in the day. Off the top of my head, I don’t think Molex would make the top 5 employers in Shannon. Not the top 3 for sure.

    Also your comments RE moving job to rely on a single company are bizarre. Do you think all these Molex employees are going to have to move out of the mid west now?

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    Mute Nigel Barlow
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    Oct 22nd 2019, 8:41 PM

    @Julian King: arh sure though it’s beyond the Pale.

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    Mute joe
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    Oct 22nd 2019, 7:04 PM

    They a fake luxury watch maker?

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    Mute Mark Johnson
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    Oct 22nd 2019, 7:33 PM

    @joe: no that is Volex.. that doubles up as a kettle lead (factory used to be based in Castlebar)

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    Mute Qfire
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    Oct 22nd 2019, 8:13 PM

    Seen as US economy is booming under Trump…. more might follow

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    Mute TamuMassif2019
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    Oct 22nd 2019, 9:56 PM

    @Qfire: Sometimes American companies are bought over and sent to Mexico or China or even closed down because another company just bought them over to own the rights to their patents?

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    Mute TamuMassif2019
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    Oct 22nd 2019, 9:54 PM

    Is this a domino effect from Trump’s tariffs?

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    Mute Truth and nothing but the truth
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    Oct 25th 2019, 8:47 PM

    Truly dad , this plant next to Avocent office, which is about to close as well

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    Mute Leo Lalor
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    Oct 23rd 2019, 10:52 PM

    More jobs for eastern Europe and Asia

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