Novartis to hand over lab facilities in Ireland to SGS

The job losses announced in 2019 are not impacted by today’s announcement

Novartis Ireland currently employs over 1,400 people across three locations in Cork and Dublin but announced plans in 2019 to cut 320 jobs at part of its Ringaskiddy facility in Cork over a two year period.

Novartis has entered into an agreement with Swiss firm SGS to divest assets from the Novartis International Service Laboratory on the Ringaskiddy campus.

Under the terms of the deal, the 100 Novartis staff currently working at the Laboratories will transfer to SGS.

Novartis Ireland currently employs over 1,400 people across three locations in Cork and Dublin but announced plans in 2019 to cut 320 jobs at part of its Ringaskiddy facility in Cork over a two year period.

A spokesperson for the company said the job losses announced in 2019 are not impacted by the announcement.

“Today’s announcement is a strategic decision as a result of the ongoing evaluation of the Novartis manufacturing network to ensure that the organisation is fit for future purpose, meets patients’ needs and strengthens Novartis competitiveness,” they said.

Novartis said it has collaborated with SGS as an external supplier for a number of years and looked forward to “a closer relationship, hosting SGS on the Novartis Ringaskiddy campus."

Commenting on the announcement, Maeve Byrne, Managing Director at Novartis Ringaskiddy Limited, said, “We are very proud of our colleagues in International Service Laboratory, who have a strong reputation of quality expertise over the last 22 years.

“We are excited to secure the continued development of ISL as an analytical center of excellence as well as to support the sustainability of jobs and expertise.” 

Ms Byrne went on to say Novartis is happy to host SGS on the Ringaskiddy campus “and to continue the collaboration”.

SGS provides inspection, verification, testing and certification services and currently employs 300 people in Ireland and more than 89,000 employees in over 2,600 offices and laboratories worldwide.

Novartis and SGS expect the transaction to be formally closed in the first quarter of 2021 subject to approval from the relevant regulatory authorities.