Mixed news on Galway jobs front

A large multinational employer in Galway city has lost a key manufacturing contract that may have implications for its local workforce.

Celestica has confirmed that it will no longer be providing manufacturing services for Dell out of its factory in Ballybrit.

The news comes as another large employer, Wayfair, confirmed it is expanding its presence in Ireland by adding 200 new jobs, including some at its Galway city office, in addition to creating a ‘virtual workforce’ where team members work from their homes anywhere in the country.

Though it remains a global customer of Celestica’s, Dell has decided to insource some manufacturing operations back to its Cork headquarters.

It is not known yet what impact, if any, the will have on Celestica’s workforce but the company confirmed it is touting for new business to replace the contract.

The insourcing is expected to begin in the first quarter of 2019, and could take between four and six months to complete.

“It’s the nature of the business Celestica operates in. It’s contract work, and they will be trying to source another contract. This may have no effect on staff at Celestica, if a new contract is sourced,” an industry source said.

Founded in 1996, the Canadian company is headquartered in Toronto and employs more than 25,000 people in 19 locations in 12 different countries.

It has two locations in Ireland with roughly 300 staff in Galway, including 220 permanent and 80 contractors; and around 145 in Leixlip in Kildare.

Celestica in Galway also has a second principal contract with HP, manufacturing inkjet cartridges for the industrial and speciality printing market.

Celestica, previously owned by Manufacturer’s Services Ltd, was taken over in 2004, and expanded its Galway operation in 2007. Its main contract is with HP and that is unaffected by the Dell decision.

See full story in this week’s Connacht Tribune.

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