Sign in. It’s quick, free and it’s up to you.
An account is an optional way to support the work we do. Find out more.
LAST UPDATE | 18 Oct 2023
NESTLÉ HAS ANNOUNCED that more than 540 workers face redundancy at the Wyeth Nutrition infant formula factory in Askeaton, Co Limerick.
The plant, which was acquired from Pfizer Nutrition by Nestlé in 2012, is expected to close by 2026.
The multinational food company has said its decision was partly due to falling demand for infant formula from China as a result of lower birth rates.
It also says that it will close a research and development centre, which is co-located on the site, by 2025.
“We will now consult with all employees and their representative unions,” a statement by Nestlé said.
“Regrettably, today’s announcement means approximately 542 colleagues will be placed at risk of redundancy.”
The company said that it would move the plant’s operations to Suzhou in mainland China and Konolfingen in Switzerland.
“It is proposed that R&D work at Askeaton would be absorbed into Konolfingen, where 365 colleagues work on research and product development across several disciplines, and a satellite R&D centre in Shanghai would be strengthened.
“These proposals have been carefully considered and are no reflection on the excellent contribution made by our employees in Askeaton over many years.”
The company added that it would engage in a consultation basis with employees on the closure, but that it would remain open to approaches to purchase the plant.
Trade union Unite, which represents administrative, technical and craft grades at Wyeth said this evening that workers were shocked to be told the news this afternoon.
Unite is calling on managemet to engage with unions at the earliest opportunity in a bid to examine alternatives to the proposed closure.
“Union members were particularly disappointed to find that the company chose to communicate their plans to the media before informing unions,” Unite regional coordinating officer Tom Fitzgerald said.
Representatives from trade union group Siptu have labelled the announcement as “horrendous” and have called for a meeting with the management of the plant.
Sector Organiser Neil McGowan said: “The plant has provided good employment in the area for decades.”
“It is vital that the decision to close is reversed and as many jobs as possible can be maintained on the site,” he said.
Siptu are also calling for immediate government intervention to save the jobs.
Divisional Organiser Greg Ennis said he will be raising matters at a European Federation of Food, Agriculture, and Tourism Executive Committee meeting scheduled for tomorrow in Brussels.
Ennis said he will do so “with a view to engaging with the Nestlé European Works Council”.
Minister for Employment Simon Coveney has said his “first thoughts are with the Wyeth workers and their families as they received this news this afternoon”.
“It is hugely disappointing news as this facility has provided fantastic employment in Limerick and made a huge contribution to Ireland’s economy,” Coveney said.
He said officials in his Department will now begin a process of engagement with the management and workers in the company.
“The full range of state supports will be made available to the employees, and we will examine each and every option to ensure that the best possible outcome is reached for all concerned.”
Includes reporting from Muiris O’Cearbhaill and Hayley Halpin
To embed this post, copy the code below on your site
Wyeth Nutritional took on many people who were made redundant from Roche in Clarecastle in County Clare back when Roche announced their phased redundancies in 2015.
Now that Roche is demolished it’s a very sad legacy that Co. Clare suffers from.
Thoughts are with the Wyeth families…
The cost of doing business in this country is gone bonkers. They just keep lumping it on.
VAT
PRSI
USC
Rates
Corporation tax
VRT on vehicles
Road tax
Tolls
Coffee cup tax
Carbon tax
Road tax
Sugar tax
Plastic bag tax
Insurance costs bonkers
4 day week
Holiday pay
Domestic Violence pay
Pensions
NCT CVRT
And probably more that I can’t remember.
Then they wonder why businesses are closing. Businesses like this and many others that have moved operations to other locations do so because it’s no longer profitable to operate in the country.
This Country needs to wake up before it’s too late.
@Max Cooper: you should avoid reading about French business regulations or you’ll go into a deep shock
@Max Cooper: Go easy rippin’ on the Holiday pay, pension contribution and 4 day weeks Max. The workers of this country are doing a great job and deserve being looked after. Most don’t get enough perks. Government could be taxing business a lot less and finding cuts elsewhere. Seems they’re happy for small businesses to go to the wall while sacrificing so much to multinationals and supranational entities like the UN. Meanwhile they can’t deal with a storm in our Second City.
@Max Cooper: The Coffee Cup Tax…???
I will call it the Tea Cup Tax as I was born before 1990 and my generation drink Tea.
With a Single Tea bag,100 ml of boiling water and a dash of milk costing approximately 3 euro the profit margin is absolutely astronomical. Thousands of percent, Realistically how will a few cents that will be passed on to customers effect any Business…?
Yet another big blow to North Kerry and West Limerick. Not long after the news of the LNG plant was refused planning at the cost of hundreds more jobs too.
@pa pa: they said it was all over.It is now.
Recession on the way
Let’s keep driving the price of everything up and ignore the housing crisis still, there’ll be some outcome but those in dail eireann will be alright that’s the main thing.
@Paddy C: of course it’s the governments fault lol
@Liam23: The government certainly can’t be accused of protectionism
Big time
@Liam23: They certainly not helping with the high cost of everything in this country and their answer is only more taxes.
Economists have predicted 8 of the last 3 recessions
@Liam23: so you’ll agree they’ve done wonders to counter act the housing crisis going on over 10 years I thought that’s what a government was for, among looking at possible long term consequences of a problem more obvious than an elephant in the room?
Reminder that basing our economy on multi-nationals has bitten this island on the arse repeatedly, but we keep doing it.
Over and over we keep making the same mistakes. As if admitting a mistake and changing course is too much for our egos to bear.
Oh well. It’s not like young people aren’t planning on leaving now, despite ‘full employment’.
This is the legacy of 100 years of voting for dodgy, corrupt and incompetent right wing politicians.
@Chris O’Brien: That is one serious word salad. Bravo.
@Chris O’Brien: how would you run the country???
@Chris O’Brien: Create a local company and dedicate yourself to employing hundreds of thousands of Irish for their working lives. Go on, go for it.
@Chris O’Brien: In what way has relying on multinationals harmed us? Lol. Just nonsensical babble. Billions in taxes and salaries are rolling in from them. The exact opposite of what you just dribbled out. If it wasn’t for multinational FDI we would be in a way worse position
Nestle baby formula is going to be ‘made in China’. Tuck that fact away in the back of your heads people.
@Watchful Axe: it’s cheaper to make it elsewhere. Simple as!! We have priced ourselves out of business.
Too expensive
Too many Snowflakes that don’t want to work but do want everything.
Wakey, Wakey Government, ye are driving this economy into the ground with cost, over regulation and diminishing returns.
@Watchful Axe: Abbott in cavan were trying to increase their milk formula plant last year. But got their planning turned down. I don’t buy the China excuse for this. I say they see to much red tape down the line with expansion
That will keep the anti cow lobby happy.
I’m not stating any facts here as I’m no economist, but this current economic environment feels similar to the pre-2008 crash, not in terms of bank debt, but in regards to the instability we’re experiencing.
I’ve a horrible feeling a big “break” is on the way.
@: thats what they want you to feel, keeps you nervous and accepting and thankful of what they drop from the top table
Ah, they had a good run at it anyway. The best paid menial jobs in Ireland for years.
@: What do you work at, I’m assuming it’s not menial?
@Llennoc:
When would he or she get the time to work?
They only says whatever they think will annoy the most people on each article.
@Llennoc: his job is full time chicken choking inspector and full time carer to palm and her 5 sisters…..very strenuous work
@Llennoc: definitely not menial. I’m just stating the facts. They were on huge money for unskilled labour for years.
The excuse of the corporation here sounds like bull.. recession is already here, they just don’t want to say it openly yet.
@Dominic Leleu: bet you’d sell anything to the lowest bidder
Remeber 2008 ……crash
Why do they want ‘Government Intervention’ to save the plant?? If the sales and demand are not there, they’re not there – Government intervention or not. That would be like throwing more money into RTE.
On a brighter note, Yorkie Bars won’t be affected
@Mary Toilet: keyboard warrior
Pot, kettle
Yorkie not for girls
@Mary Toilet: we don’t want to know what you do with yorkie bars lad….
Hopefully an Irish-owned manufacturer or co-op can purchase the plant and turn this into a positive news story
have your say