VMware to cut more than 360 Irish staff 

VMware employs more than 1,000 people, the vast majority of whom are based in Cork

VMWare building, Ballincollig, Cork

Cloud computing firm, VMware is set to let go more than 360 staff members following the firm's recent acquisition by US semiconductor company, Broadcom. 

The Irish Examiner understands that a letter was sent to staff on Monday proposing a total of 364 redundancies impacting roles across the organisation.

VMware, which now goes by VMware by Broadcom following the takeover, employs more than 1,000 people, the vast majority of which are based in Cork, with the proposed redundancies set to impact more than a third of its Irish employee base. 

Confirming the layoffs just two weeks before Christmas, Minister for Enterprise, Trade and Employment, Simon Coveney called the redundancies a “significant blow,” adding that The IDA “will now engage with the company as the collective redundancy process progresses through the 30-day consultation period.” 

“It is important to note that the workers involved are highly skilled and are likely to be sought after elsewhere in the broader economy,” Mr Coveney told the Irish Examiner. “There are also a range of Government supports available to anyone who is being made redundant.”

The firm joins the running list of tech companies to cut staff in the last twelve months, following widespread layoffs across the Irish offices of Meta, Twitter, Stripe, Dell, Microsoft and more. 

Like many of the world's leading tech companies, VMware embarked on a large hiring spree during the pandemic in response to growing demand before its acquisition. As part of its expansion, the company announced plans just last year to create 200 additional Irish jobs which were set to be filled by 2025. 

It is predicted that more than 3,000 Irish tech jobs have been cut across the industry in the past year as it grapples with a post-pandemic slump in consumer demand. 

Last month, fears of job cuts were prompted after VMware staff received an email informing them that the firm had entered a "consultation process" with employees following the acquisition.

VMware first set up in Ireland in 2005 with the establishment of its Ballincollig campus backed by the IDA and in 2022, opened its new research and development hub in Dublin.

Broadcom acquisition

Just one month after officially launching its R&D hub, it was reported that US-headquartered semiconductor giant, Broadcom, had entered talks to acquire VMware, with the prospective transaction labelled a "blockbuster" deal that would propel the chipmaker into a highly specialised area of software.

Shortly after, a $69bn deal was signed, one of the largest in tech history, however, it faced tough regulatory scrutiny worldwide, with the companies forced to delay the closing date three times following hostility from the Chinese government.

The delays left more than 1,000 Irish staff in limbo, with many uncertain of what would happen if the deal was not closed within the deadline.

However, staff members remained fearful as just one week after the completion of the long-awaited takeover, Broadcom quickly started cutting hundreds of jobs across the US, prompting fears for the future of its Irish base - which was VMWare's third-largest location prior to the takeover.

In a major blow for staff members, Fianna Fáil Councillor and Former Lord Mayor of Cork, Colm Kelleher said, "It's awful news to get this close to Christmas. My heart goes out to those impacted by the cuts. It is not nice news to get at any time of year but especially not now."

"VMware are such a major employer in the area and it is sure to have a significant knock-on effect on the broader local economy," Mr Kelleher told the Irish Examiner.

"I just hope now that those who have been impacted can find new job opportunities as soon as possible, and there are government supports out there that can help them do that."