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06/05/2003
Desmonds to axe nearly 500 jobs
Leading Northern Ireland clothing manufacturer, Desmond & Sons, is to close its plants in Omagh, Swatragh and Irvinestown with the loss of nearly 500 jobs.
The company informed employees of the news on Tuesday afternoon and said that it had opened consultations with trade unions over its decision.
The proposal to end production at the three sites will mean 229 redundancies in Omagh (men’s and women’s trousers), 130 in Swatragh (pyjamas) and 115 in Irvinestown (men’s and women’s leisurewear).
In addition, the company is looking to axe five jobs at the Newbuildings factory in Co Derry with a further three redundancies at Drumahoe, bringing the number of jobs to 482.
When the closure programme is completed the company will retain one factory in Northern Ireland to meet a specialised need for jeans production, in addition to its global headquarters and central warehousing function at Drumahoe, and its London design office, employing a total of almost 800 staff.
A statement from the company management blamed operating losses at the three factories for the decision. It added: “The dramatic changes taking place in this industry have been evident for some time and have presented immense challenges to clothing manufacturers in Northern Ireland. Had we not responded early by developing an international manufacturing base, it would have led inevitably to the demise of the business to the greater economic detriment of Northern Ireland.
“We must continue to pursue this strategy to ensure that we have a globally competitive company based in Northern Ireland, providing a core of employment and offering knowledge-based jobs in a dynamic business.”
These latest closures follow earlier job cuts which were announced by the company at the start of the year.
In January the company revealed it would have to axe over 300 jobs at its Springtown plant in Londonderry and its Dungiven factory.
Last September the company closed a factory in Dungannon, Co Tyrone, with the loss of 106 jobs.
(MB)
The company informed employees of the news on Tuesday afternoon and said that it had opened consultations with trade unions over its decision.
The proposal to end production at the three sites will mean 229 redundancies in Omagh (men’s and women’s trousers), 130 in Swatragh (pyjamas) and 115 in Irvinestown (men’s and women’s leisurewear).
In addition, the company is looking to axe five jobs at the Newbuildings factory in Co Derry with a further three redundancies at Drumahoe, bringing the number of jobs to 482.
When the closure programme is completed the company will retain one factory in Northern Ireland to meet a specialised need for jeans production, in addition to its global headquarters and central warehousing function at Drumahoe, and its London design office, employing a total of almost 800 staff.
A statement from the company management blamed operating losses at the three factories for the decision. It added: “The dramatic changes taking place in this industry have been evident for some time and have presented immense challenges to clothing manufacturers in Northern Ireland. Had we not responded early by developing an international manufacturing base, it would have led inevitably to the demise of the business to the greater economic detriment of Northern Ireland.
“We must continue to pursue this strategy to ensure that we have a globally competitive company based in Northern Ireland, providing a core of employment and offering knowledge-based jobs in a dynamic business.”
These latest closures follow earlier job cuts which were announced by the company at the start of the year.
In January the company revealed it would have to axe over 300 jobs at its Springtown plant in Londonderry and its Dungiven factory.
Last September the company closed a factory in Dungannon, Co Tyrone, with the loss of 106 jobs.
(MB)
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