Management at industrial diamond firm Element Six is to explore a new initiative to save the company’s manufacturing and distribution unit in Shannon and avoid the loss of 370 jobs.
The initiative, secured after discussions between the Shannon management team and the chief executive of the Element Six group in London yesterday, is an alternative to the plan announced last week to wind down the Shannon operations.
The company has today advised all Shannon-based staff of the plan and has requested the full co-operation of all employees to sustain the Shannon operation.
General Manager Ken Sullivan said he was convinced the company could develop a sustainable operation in Shannon and save a substantial number of the 370 job losses announced last week.
“We need to think in new ways to create a truly cost competitive and long-term sustainable operation in Shannon.”
“The Group management now expects a comprehensive plan from us for their consideration next week. If this secures their support, we expect to be in a position to meet with employee representatives very shortly thereafter,” he said
Management at Element Six was due to commence the process of winding down the manufacturing and distribution operations to effect closure by the end of the year.
Last December, the company cut its workforce by 150 through a voluntary redundancy scheme. The Shannon plant has been operating at 40 per cent capacity in recent times, compared with the last year.
Fine Gael Clare TD Pat Breen commended the Element Six management on its initiative, describing the new plan as “a rare chink of light”.
Mr Breen said: “This move could avoid the closure of Element Six and secure the long-term future for its workforce at the facility, which has operated in Shannon since the 1960s.”
“Element Six’s staff have been very loyal to the Company and adapted to a wide range of challenges. The staff are highly skilled and I believe they will play a crucial role in the company’s future," he added.
