150 jobs threatened as receiver called in

THERE were fears for the future of almost 150 Cork jobs last night after a receiver was appointed to an electronics firm.

Directors of Hörmann Electronics Ltd, which has been based in the Mahon Technology Park since 1977, confirmed that a receiver was appointed yesterday.

Staff are expecting to be told on Monday that at least 30 jobs will be axed immediately.

While it is expected that efforts will be made to safeguard the firm and the remaining jobs, there are fears for the company’s future.

Speculation was rife last night that the firm could be closed within a month.

Motorola, which was based nearby in Mahon, closed last year with the loss of almost 330 jobs. Bourns Electronics, also based in Mahon, closed last year with the loss of 80 jobs.

The gates to Hörmann’s complex were closed yesterday afternoon and its car park was empty. Its telephone was not answered.

However, two public representatives said sources close to the company have confirmed to them that large-scale job losses are imminent and will occur over the coming month.

Fine Gael Senator Jerry Buttimer described it as a “very worrying development. The new enterprise minister must act quickly to save as many jobs as possible,” he said. He also called on the company to make its position clear to its staff and the public.

Labour TD for Cork South Central, Ciarán Lynch, represents the area and said if the job losses are confirmed, it will be a devastating blow for the employees and the region.

“We need immediate action from the new Tanaiste and Minister for Enterprise and Employment Mary Coughlan,” he said.

Hörmann offers a range of full electronics contract manufacturing services, ranging from printed circuit board assembly and testing through to full system build and supply chain management.

Founded in Cork in 1977 as Hörmann Security Systems, it serves a diverse a range of industries, mainly the medical device industry.

It was acquired by Racal Chubb in 1987 and two years later it went through its first management buyout. In 1997, it was bought out by APW. In 2005 it went through a second management buyout in partnership with US merchant bank, Candlewood Partners.

It said at the time that the move was part of a long term European manufacturing strategy that was to be led from the Cork site.

It also embarked on a €2.5 million capital investment programme to adapt its manufacturing processes to suit new markets.

Its management team in 2005 was managing director Seán Dowling, quality manager Denis O’Mullane, engineering manager Pat Buckley, financial controller Jim Dwyer, and sales manager Henry Nash. Mr Nash declined to comment.