HP Shutting Down Ink-Cartridge Plant in Ireland; Not Related to Change in U.S. Administration

Ireland’s Independent reports that HP Inc. is shutting down its main operations in Ireland in Leixlip, County Kildare, and that the shut-down will involve the loss of several hundred jobs. The Leixlip facility manufactures products for HP PCs and printers.

Jobs Minister Mary Mitchell O’Connor said there had been “extensive but unsuccessful talks with HP to avoid closing the plant,” with the plant scheduled to close in February 2018.

HP Inc said in a statement: “In line with our previously communicated strategy, HP’s global print business is working to drive continuous efficiencies and cost savings that enable investment in new market opportunities and growth initiatives, such as 3D printing. As a result, we have made the decision to close our global print business at the Leixlip site. It is likely that close to 500 HP employees will be impacted and leave the business over the next 12 months.”

HP set up a sales office in Ireland in 1976, and the Leixlip facility was established in 1995, producing ink-jet printer cartridges and working on R&D.

Last October, HP Inc. announced that 3,000 to 4,000 jobs were to be cut from its 50,000 worldwide staff between 2017 and 2019.

Not Related to Trump’s ‘America First’ Policy

According to Silicon Republic, the 500 Irish jobs will be moved to the United States and Singapore, and Irish managers will have an option of taking up new roles in these locations.

Santi Morera, global head of home printing solutions at HP Inc. said: “We are working on a plan to consolidate our print manufacturing at a larger site. Ireland had been competing well in the past, but the engineering and development efficiencies we need, we believe we can achieve in bigger sites in Asia and the U.S.”

A small number of workers are reported to remain at the Irish site.

Morera also said: “This is not a reflection of the abilities of the Irish team. The team have done a great job working in manufacturing and engineering. The context of this is how we can gain scale in the print business by bringing functions into sites that are already existing. We see sites in the U.S. and in Singapore as having the existing resources to suit these opportunities.”

Morera also said the decision “had nothing to do with the presidential administration or (President) Trump’s so-called ‘America First’ policies.”

“It is not related to any change in the U.S. administration. It is a decision that was made by our global print business looking for efficiencies and cost savings, it is completely unrelated,” Morera confirmed.

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