Sanmina moving Antrim factory

US-owned electronics group Sanmina is making 300 workers redundant in Lisburn, Co Antrim, following a decision to relocate its…

US-owned electronics group Sanmina is making 300 workers redundant in Lisburn, Co Antrim, following a decision to relocate its manufacturing operation to eastern Europe.

In Cork, meanwhile, Minister for Enterprise Micheál Martin will today announce the creation of 369 jobs in a plant owned by US software group VMware at Ballincollig.

Sanmina, which makes computer cabinets, wants to lower its wage bill by moving to Hungary. Trade union representatives and staff said they were shocked by the plans. Some workers said they had feared job cuts since Christmas, yet the speed of the announcement still stunned them. Terry Collins of the Amicus union accused big firms of showing no loyalty to their employees.

"I have a concern that these multinationals can do this because of the weak employment laws. They can exit the likes of Northern Ireland and the UK because they have to pay very little in compensation," he said.

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The VMware project in Ballincollig will receive support from IDA Ireland. The group is part of the Massachusetts-based EMC Corporation, which recently announced its intention to sell approximately 10 percent of VMware via an initial public offering this summer.

VMware established its EMEA technical support centre in Ballincollig in 2005. It will today confirm its intention to expand there and develop new shared services functions. - (Additional reporting: PA)

Arthur Beesley

Arthur Beesley

Arthur Beesley is Current Affairs Editor of The Irish Times