140 jobs at US medical plant lost to China

MORE than 140 jobs at a US-owned medical devices plant in Cork are being moved to China and Malaysia because of competitiveness and cost issues.

One-fifth of the 700-strong workforce at Stryker’s two IDA-Ireland backed factories in Carrigtwohill will lose their jobs.

However, management say they hope all 142 redundancies can be voluntary and those who lose out will have an opportunity to seek work in a new manufacturing line.

The announcement follows the reversal of plans for a €1 billion IDA-backed facility for US biotechnology firm Amgen in Carrigtwohill.

Siteworks were already completed near the small town 15 kilometres east of Cork city before the company abandoned its plans in 2009, three years after being first announced.

Stryker’s restructuring plans were outlined to Cork staff at two meetings yesterday afternoon but workers declined to comment afterwards.

The company said manufacturing of a number of high volume and lower technology products at the plants — Stryker Orthopaedics and Stryker Instruments — is being moved to China and Malaysia.

A spokesperson said there has been unprecedented change in the global medical devices market but competitiveness and costs were a factor in the decision.

She said the move is not linked to last October’s announcement of a takeover of Boston Scientific’s Neurovascular Division which has some manufacturing operations in Cork.

While some manufacturing is to be moved between June 2012 and March 2013 as the two Carrigtwohill operations are consolidated, Stryker will set up a new endoscopy manufacturing division there over the next four years.

It is hoped that some of those affected by yesterday’s announcement can be retrained for some of the 60 jobs.

The company is also recruiting for research, development and engineering positions in Cork, and at its Limerick plant, where about 500 people are employed, although it is understood these are limited to a few dozen posts.

The latest jobs announcement is a further blow to the area after many businesses and housing schemes were developed on the back of the promised Amgen plant.

Ollie Sheehan, chairman of the Carrigtwohill Community Council, said he and his wife’s childcare facility next to the IDA industrial park caters for more than 100 children on an average day.

“Up to a dozen of them could be children of Stryker workers, but this will affect a range of local businesses. It could be shops in the town or companies who are suppliers to them,” he said.

“Our biggest concern is for the workers themselves but it is also bound to have a knock-on effect on local jobs and the local economy,” said Mr Sheehan.

Ahern’s Centra shop moved to a bigger premises in the town six years ago and employs more than 30 people, with Stryker staff among their regular customers.

“I know a lot of them who are either from the area or who moved here because of jobs at the factory. The company also do a lot of business with us,” said assistant manager Ingrid Cashell.

Cork East TD and Research and Innovation Minister Seán Sherlock said the job losses were very bad news for Carrigtwohill and surrounding areas but he welcomed the fact that the company is to retain a significant presence in the area.

The announcement comes less than a week after 70 voluntary redundancies were sought from among 460 people at the Eli Lilly pharmaceutical plant near Kinsale, Co Cork.