MBNA axes 100 jobs in advance of facility’s sale

COMMUNITY leaders have demanded to know whether there is a deliberate strategy to reduce the workforce at the MBNA credit card facility in Carrick-on- Shannon before it is sold.

Bank of America is seeking 100 redundancies there. The current workforce is 750, making it the largest employer in the county.

Staff at the Co Leitrim plant were left reeling after being told yesterday of the planned lay-offs, less than three months after the announcement that the company is exiting the credit card business in Ireland and Britain.

The company said “where possible these reductions would be voluntary”. A spokeswoman said some of the job cuts would take place immediately “as early as the end of this year” while the others would go next year.

Jobs Minister Richard Bruton, who in September travelled to the US to meet senior company executives, said recently that there was strong interest by several parties in taking over the operation.

The company, which is also cutting 150 jobs in Britain, said most of the positions being cut were in the collections area — where staff in Carrick-on-Shannon had been supporting the British card business — and that this work would now be done from Britain.

The news comes as the group announced 1,000 jobs will be created in Chester, where it will set up a global technology and operations centre.

Bank of America’s Ian O’Doherty, said the job cuts were difficult but vital in the current environment. The company said the cutbacks would not impact on credit card business in Ireland for customers.

There are fears now for the entire Carrick-on-Shannon site, unless a buyer can be sought.

Gerry Faughnan, president of Carrick-on-Shannon Chamber, called for clarity from Mr Bruton on whether there was now a deliberate strategy to significantly reduce the workforce in advance of a sale.

He said the job losses would be a major blow for the region and would also have a spin-off effect, given the number of local businesses who depend on the spending power of MBNA staff.

Frank Feighan, Fine Gael TD for Roscommon/South Leitrim, said: “While I had hoped that a buyer would be found before any redundancies were announced, we are still very hopeful that the jobs in Carrick-on-Shannon will be saved.”