200 jobs to go at Baxter Healthcare

200 jobs to go at Baxter Healthcare


Rowan Gallagher

A LACK of infrastructure and the global recession is being blamed for the loss of 200 jobs in Castlebar - with a lack of infrastructure investment forthcoming from the government - local politicians are asking if this is a sign of things to come.
Baxter, the largest employer in the County town has once again seen fit to restructure its manufacturing plant with the loss of 200 jobs in what has been described as a crippling blow to the town.
Announcing the job losses last week wasn’t seen as a major shock by employees or the local politicians who had heard rumbling in the previous weeks but the scale of the losses has the signs of foreboding according to Mayor of Castlebar, Ger Deere.
“The fear is what might come down the track and I hope it’s not the start of something more serious. The poor infrastructure in Mayo is a huge burden on these companies, especially with the N5 road.
“It is a huge problem and for the government to invest in better infrastructure would be a small price to pay to keep these jobs in the long run and save the social welfare. It almost cancels out the great news that Hollister announced two weeks ago,” concluded Mayor Deere.
In a statement issued last week, it was announced that 150 full time staff would be sought to take voluntary redundancies while an unfortunate 50 temporary staff would not have their contracts renewed.

Recession
The company has blamed the recession as the largest factor but also cites the European healthcare cost-savings measures and the ongoing need to improve cost competitiveness in a tough market place.
They claim that the jobs reductions are only to save the businesses viability in the long run and believe that the majority of job reductions will be achievable through the voluntary redundancy packages.
“As an organisation, we are very proud of all that we have achieved over the last 38 years. We have a very committed and engaged workforce totally dedicated to providing products and services that save and sustain thousands of patient’s lives every day,” said General Manager of the plant, Mr Pat Gallagher
“The manufacturing sites in Mayo will continue to remain an important and integral part of the Baxter manufacturing network worldwide, and we approach the future with confidence. Process and technology investments will continue so that we can provide enhanced high-value therapies to the patients we serve for many years to come,” added Mr Gallagher.
By law - Baxter must pay at least two weeks pay in a redundancy package for every year worked in the plant but it is believed that up to seven weeks payment is being sought, however it may be difficult to get employees to voluntarily leave the company in these tough economic conditions.
One employee who didn’t wish to be named said that she was very concerned with the way things were unfolding at the plant.
“I had heard there were going to be some cuts and temporary staff are always being let go because they don’t want to have to give the full time jobs. I hope their won’t be any more jobs gone now and that will be it but I won’t be taking a redundancy, I’ve been here a while but it wouldn’t be worth it - where would you get another job?,” she told The Mayo News the morning after the announcement.

Infrastructure
Fianna Fail Deputy Beverley Flynn expressed her sympathy to the employees and stated that one one way of keeping the manufacturing costs down for these large exporters was to have a better transport network.
“I have for long advocated that we do all we can to protect the 3000 jobs in Mayo which are directly provided by the four major international manufacturers.
“With that aim, I have been working closely with Baxter and the Mayo Industries Group to urge that the N5 Mayo to Longford be brought up to standard which in turn will help reduce the distribution and transport costs of the Mayo companies,” Deputy Flynn concluded.
Manufacturing facilities are located in two Mayo locations, Castlebar and Swinford. A European Financial Shared Services Centre is also based in Dublin. In total, Baxter Ireland employs approximately 1,300 people.

Redundancy
SIPTU official John McCarrick went to the plant on Friday to speak with officials and there will now be a 30 day consultation period.
“They are in the early stages of talks at the moment between management and staff and there will now be a 30 day consultation period. People knew there was something going on for the last few months.”
When asked if he expected Baxter to provide more than the statutory two week redundancy package he stated ‘no doubt’ and went on to say that he believed their would be a very generous package as there was the last time Baxter needed to make people voluntarily redundant.
Leader of the opposition Enda Kenny, has expressed his regret about the announcement and has pledged that he will personally be doing everything in order to secure the final 900 jobs in the plant and hopes that Baxter will see fit to issue redundancy packages that are generous to the workers.
“It is extremely disappointing that these redundancies have been announced by Baxter in Castlebar.  The factory has been the main industrial employer in Mayo and has been there since 1972.  I have contacted the Industrial Development Authority and the Minister for Enterprise, Trade and Innovation, Batt O’Keeffe, TD, to ensure that every effort will be made to support the employees who will be facing redundancy.  I will also be ensuring that every effort is made to protect the remaining 800 jobs.
“I would like to see the redundancy packages being as generous as possible to assist those that will be leaving the employer as a result of this redundancy announcement.   This is a devastating blow to the concerned employees in advance of the Christmas period and will undoubtedly be very hard on them personally.  I wish to take this opportunity to sympathise with them and I hope they will be able to seek alternative employment as soon as possible,” Deputy Kenny concluded.