Dell massive direct and indirect job cuts TBA

boardsdotie

Albeit unconfirmed 2000 direct plus 15000 inderict job cuts on the way for the midwest.

http://www.sbpost.ie/post/pages/p/story.aspx-qqqt=IRELAND-qqqm=nav-qqqid=38366-qqqx=1.asp

http://www.breakingnews.ie/ireland/mhsnkfeyojsn/

http://www.rte.ie/news/2008/1221/dell.html

RINO87

thats really bad news, hopefully some of the jobs can be saved.

Berty

Around 1000 of the 3000 are going to be saved if we believe all the news we are told.

The production staff will all go except for the Notebook and Server lines who will continue to produce for another 1 year on run off orders.

Cherrywood in Dublin are safe and certain departments in Limerick are deemed safe but 2000 people is still a lot for the economy to handle losing their work.

Not to mind the other business that is only in existence because of Dell Computers. Banta Global Turnkey will be in a lot of trouble when Dell closes it production doors for one.

Andystoran

Uh oh!

We just couldnt compete with the low cost base in Poland, twas bound to happen. Fair play to them for staying as long as they did.

I heard that Dell didnt ever own EMF3, it was built by the goverment and leased to Dell. Does anybody know if that is true?

cooperguy

Berty wrote: »

Around 1000 of the 3000 are going to be saved if we believe all the news we are told.

The production staff will all go except for the Notebook and Server lines who will continue to produce for another 1 year on run off orders.

Notebooks are already pretty much gone from limerick. If that is one of the lines being kept it wont support too many jobs!

zuroph

time to move now. its getting quite bleak. walk around town today with mate who lived here up to two years ago and he couldnt believe the changes. the world is fcuked.

Berty

Sorry I should update.

I spoke to my father today who was in the management meeting in Dell this morning. He was told along with the rest of the management team that EVERYTHING is just rumours and as Austin Texas have decided nothing then there is nothing to be told.

Some people will go, how many nobody knows, if production will move nobody knows so sit tight and Texas will eventually decide.

Nice & Merry Christmas

FestivalFox

Berty wrote: »

Sorry I should update.

I spoke to my father today who was in the management meeting in Dell this morning. He was told along with the rest of the management team that EVERYTHING is just rumours and as Austin Texas have decided nothing then there is nothing to be told.

Some people will go, how many nobody knows, if production will move nobody knows so sit tight and Texas will eventually decide.

Nice & Merry Christmas

Dell management wont tell you a thing. My brother works in dell. About 6 weeks ago there were rumours of laptop lines being transfered to the Lodz plant. The workers called a meeting with management and they said that this news was not true. The next morning the laptop lines were shutdown. I bet the workers will hear about the job losses form rte before Dell management.

FestivalFox

Also, 2 ministers travelled to Texas to have a word with Michael Dell last need. Now Fianna Gael want Brian to head over. Not a good sign methinks.....

anoble66

pfff..i am sure Michael Dell was well impressed with that fool O'Dea....I would pull out after a meeting with him....i am not sure what they think they can do to stop it, its a done deal just that dell wont make an offical statement on it until Jan.

ninty9er

anoble66 wrote: »

pfff..i am sure Michael Dell was well impressed with that fool O'Dea....I would pull out after a meeting with him....i am not sure what they think they can do to stop it, its a done deal just that dell wont make an offical statement on it until Jan.

I imagine O'Dea and Coughlan put forward such ideas as consolidating the western European operations in Limerick, closing Sandyford, Athlone and Bracknell.

Dell owns 1 million square feet of manufacturing and distribution space between Limerick and Lodz....that sort of real-estate isn't going to be left empty. In business centres they own 400,000 square feet and lease 1.5 million square feet throughout Europe.

Consolidation is a key element of restructuring and cost cutting, but consolidating Business Centres here, they would probably see a net gain of employment, we just need to show we have the linguistic expertise to be able to do this.

Maintaining supplier contracts in a new production location would also have been one of the propositions. You may think that the government is filled with idiots, but it would take one to assume that.

Dell may announce job creation in Limerick, regardless of how unrealistic you THINK that is. Dell has not made a statement.

baza1976

i remember posting a thread on here about 2 or 3 months ago when it was reported by the Wall Street Journal that the Dell closure was signed and sealed. the post/thread was shut down by a Mod.
Makes me wonder, now that we are "allowed" to talk about Dell clouser or part of, who is mailing boards and letting them know what threads are ok to have what are not!!!

Anyway it is safe to say that Dell will be a major loss not to just Limerick but to most of the country... I have a neighbour down the road both he and his wife work there.... Just hope it's not going to be as bad as everyone says it is... fingers crossed.....

ninty9er

baza1976 wrote: »

Just hope it's not going to be as bad as everyone says it is... fingers crossed.....

Who is Everyone and what does he know?? I'm sure Michael Dell would like to know who's been reading his mind, he could make a lot of money by employing them to read the competition's mind. :rolleyes:

cooperguy

ninty9er wrote: »

Dell may announce job creation in Limerick, regardless of how unrealistic you THINK that is. Dell has not made a statement.

I just finished working on the line in there and of all the options I would nearly guarantee that job creation will not happen!

ninty9er

cooperguy wrote: »

I just finished working on the line in there and of all the options I would nearly guarantee that job creation will not happen!

Nobody except the Board can nearly guarantee that. Maybe I'm being too optimistic, but some reason needs to be put to the sh1te on here about disaster...blah blah.

Ever heard of Wang, AST, Digital. There were many more like them whose departure was heralded as the end of the world. It kept spinning then and will keep spinning for the foreseeable. I can GUARANTEE that!

asdasd

The other thing that can happen, and probably will happen, will be that the remaining jobs in Limerick - the 1,000 can grow over time to 2,000+ when the recession clears. This is really not the same the plant closing.

Clareman

ninty9er wrote: »

I imagine O'Dea and Coughlan put forward such ideas as consolidating the western European operations in Limerick, closing Sandyford, Athlone and Bracknell.

Dell owns 1 million square feet of manufacturing and distribution space between Limerick and Lodz....that sort of real-estate isn't going to be left empty. In business centres they own 400,000 square feet and lease 1.5 million square feet throughout Europe.

Consolidation is a key element of restructuring and cost cutting, but consolidating Business Centres here, they would probably see a net gain of employment, we just need to show we have the linguistic expertise to be able to do this.

Maintaining supplier contracts in a new production location would also have been one of the propositions. You may think that the government is filled with idiots, but it would take one to assume that.

Dell may announce job creation in Limerick, regardless of how unrealistic you THINK that is. Dell has not made a statement.

Some great thinkings there, I can only presume you work in the consolidation/outsourcing field.

That is Dell's thinkings, they have setup 2 centres, 1 in Glasgow and the other in Bratislava, Glasgow has all the technical things, Bratislava gets services and Finance. I believe that Dell did a cost benifit analysis into each site, gave it a number 1,2 or 3, 3 being dear, 1 being cheap. Bracknall and Cherrywood were considered 3, so anyone that can be gotton rid of to a cheaper centre (ideally to 1), I believe that Limerick went from being a 3 to being a 2 cause of the last round of removals.

I would imagine that being a 2 is fine fore mosdt of the "backoffice" functions cause there would be a lot of expierence and Limerick has some of the big hitters in regards to getting things done, but it doesn't cut the mustard when it comes to manufacturing

road_high

I could never figure out how Dell manufacturing in Limerick could compete with those 399 laptops you see for sale everywhere..guess now the answer is they can't which is unfortunate for Limerick.
Limerick has been extremely lucky in the past with foreign investment like Dell. But I reckon a lot of these kind of jobs are finished here.
Have many local, indigenous manufacturing companies come out of Limerick?

Berty

mfitzy wrote: »

I could never figure out how Dell manufacturing in Limerick could compete with those 399 laptops you see for sale everywhere..guess now the answer is they can't which is unfortunate for Limerick.

Wrong Im afraid

http://www1.euro.dell.com/content/products/productdetails.aspx/laptop-inspiron-9?c=ie&cs=iedhs1&l=en&ref=lthp&s=dhs

€359 for a dell notebook.

You could always buy cheap from Dell but a lot of people are unaware of this.

There is always the Dell Outlet where you can buy refurbished systems which are normally better built than the original because they are built by second level employees instead of the entry level employees who caused the issue that involved the system being returned(mostly).

FestivalFox

Berty wrote: »

Wrong Im afraid

http://www1.euro.dell.com/content/products/productdetails.aspx/laptop-inspiron-9?c=ie&cs=iedhs1&l=en&ref=lthp&s=dhs

€359 for a dell notebook.

You could always buy cheap from Dell but a lot of people are unaware of this.

There is always the Dell Outlet where you can buy refurbished systems which are normally better built than the original because they are built by second level employees instead of the entry level employees who caused the issue that involved the system being returned(mostly).

Wrong I'm afraid, Thats a netbook not a notebook.

+ it doesn't take an engineer to build a computer, its just like a simple lego setup.

Its not the manufacturing techs fault that the nvidia gpu can overheat on the xps 1330. That would be the engineers who designed it.

Berty

FestivalFox wrote: »

+ it doesn't take an engineer to build a computer, its just like a simple lego setup.

Its not the manufacturing techs fault that the nvidia gpu can overheat on the xps 1330. That would be the engineers who designed it.

I have built notebooks, servers and desktops. They are easy to build BUT you are forced to make them are an ubelievable rate which leaves openings for mistakes. The refurb guys work in an isolated rooms and even get to sit down. They can make them in peace and quiet and at a slower pace which means they can give much more attention to the build of the systems and look after everthing from the chassis right up to repacking into the back of the lorry.

Good thing I didnt buy the XPS so. 1525 does me just fine. Not easy to get another cooling fan into a notebook.

ninty9er

Heard a rumour that a consortium lead by a former senior manager is ready to take on the manufacturing plant if Dell announces it's to close the manufacturing facility.

The again, just like the 2,000 job cuts, it's only a rumour.

Berty

ninty9er wrote: »

Heard a rumour that a consortium lead by a former senior manager is ready to take on the manufacturing plant if Dell announces it's to close the manufacturing facility.

The again, just like the 2,000 job cuts, it's only a rumour.

I spoke to the second in command for Dell Limerick in Kilkee yesterday. I wont mention his name because its heresay what he said.

He said absolutely nothing at all has been decided. They are working on major issues in Asia presently and Ireland is at the back of their minds. I asked him about the future for the site and senior management. He never mentioned any type of coup to buy the factory although Im sure I would have been the last person he might tell.

He is an old family friend and I trust his comments.

bazz26

ninty9er wrote: »

Heard a rumour that a consortium lead by a former senior manager is ready to take on the manufacturing plant if Dell announces it's to close the manufacturing facility.

The again, just like the 2,000 job cuts, it's only a rumour.

I know who you are talking about but I am not going to mention names or specifics here. That rumour has been circulating for a few months now and to be honest it doesn't make any sense to me.

The thing is that one of the main problems being faced by Dell and others is that Ireland is no longer as competitive in the manufacturing industry as has been for a number of years. It is no longer viable for multi-national companies to manufacture products here. High labour costs driven by the increased high cost of living are only part of the problem, there are others of course. They can set up similar plants to ours in developing economies where labour and other costs are a fraction of what they are here now. We have become a victim of our success.

I cannot see this changing under a local buyout even if they expect current employees to take huge pay cuts and other external economic factors to suddenly change in their favour. If a mulit billion corporation like Dell cannot manufacture products here competitively then I cannot see how a few local investors can do it.

ninty9er

Berty wrote: »

He said absolutely nothing at all has been decided. They are working on major issues in Asia presently and Ireland is at the back of their minds. I asked him about the future for the site and senior management. He never mentioned any type of coup to buy the factory although Im sure I would have been the last person he might tell.

My sentiments too. A productive plant like Limerick isn't likely to be a major concern. Dell has not made a decision, though with all this shite going on, they might be swayed to pullout altogether.

My dad just arrived home early with the paper and it turns out that story of a buyout is in the Indo quoting a govt. source.

ninty9er

bazz26 wrote: »

If a mulit billion corporation like Dell cannot manufacture products here competitively then I cannot see how a few local investors can do it.

The articles of assoc may not prescribe the purpose as being to make a profit, Dell's does, though I'm sure nobody will be wanting to make a loss.

baza1976

Berty wrote: »

I spoke to the second in command for Dell Limerick in Kilkee yesterday. I wont mention his name because its heresay what he said.

He said absolutely nothing at all has been decided. They are working on major issues in Asia presently and Ireland is at the back of their minds. I asked him about the future for the site and senior management. He never mentioned any type of coup to buy the factory although Im sure I would have been the last person he might tell.

He is an old family friend and I trust his comments.

lol if he is second in comand I guess it won't be hard to find out who he is.. bet he needs old family friends like you to quote him in times like this :rolleyes:

ROC1977

all this talk about Dell is just getting boring. The media has been saying the same thing for years, now that the economy is in trouble only adds fuel to the fire. Every week the same story in the papers.. 2000 jobs gone.. a fella in the pub told me this.. a taxi driver said that.
At the end of the day Dell are looking to out source all the manufacturing. They no longer want to build computers only to sell them. They want PC's to be built in places like Asia where cost are so low (make Polish wages look like loads) and just stick a Dell badge on them. Thats what HP and all the others are doing.
I can't see a complete closure of EMFI, but most manufacturing will go. And about 1000 jobs to be left is support, supply chain, and IT and development.

Another point to make is EMFP(Dell Poland) is in the very same boat Dell Limerick is in.

As for the rumors about the consortium buying Dell Limerick. I can't see that happening. The original rumor was Foxconn buying the place, but when the let go 100,000 of its 400,000 world wide staff. It sort of ruined that one. Most of these rumors are started by the papers to guess what .... yep sell papers.
I mean the spin thats going around the factory at the moment is comical to say the least. Some how its gotten about that there will be a buy out of the plant and everyone will keep there jobs but back to minimum wage. lol So now you have people wondering if they'll get redundancy if Dell sell up or will they be forced to work doing the same job for less money under a different boss. In fear that they won't have a job at all.
Most of this is down to silly rumors started by the papers.
News papers should stick to printing the facts, when there is an announcement then print it. Most people I talk to in Dell are just sick to death of hearing about the place. Lets all worry about it in the new year when and if it happens.

lfc1892

I think it is a fool that doesn't think that in this current climate that a company like Dell will not shed its workforce. No one would have believed that a company such as Enron or Lehmans would go bust but they did.

Dell, like any other business are there to make money and if they have a cheaper alternative available, it would be just dumb business to carry on production in the expensive location.

It is possible that they are trying to make the Government and IDA dance to their tune to get a better tax deal or greater subsidies.

One thing is for sure, there is no smoke without fire and a delegation wouldn't be sent to Texas if the powers that be weren't aware that something is in the pipeline

ROC1977

We've been told in Dell that these delegation go for talks twice a year every year. But like you've said I wouldn't be surprised if Dell are holding out for more tax breaks.

lfc1892

I'm sure that's true about the twice yearly visits, but this one was extra ordinary because another delegation had been there in early November or late October for urgent talks and an announcement was expected that didn't come.