Athlone, March 25th, 2008 – The 96 employees of Nexans Ireland were today informed that their Athlone factory, which manufactures electrical cable, will close in mid-summer.
“We greatly regret having to close the Athlone plant,” Paul Nelson, Ireland/UK country manager told the staff. “Considerable efforts have been made by the employees over the past few years, resulting in some improvements in productivity. However the company cannot sustain the losses resulting from the narrow commoditised product range which is subject to relentless downward price pressure and severe competition.”
The Athlone plant has been loss-making for the majority of the past ten years. The Minister for Trade and Employment, Micheál Martin, was informed today by Nexans that the decision to close is final, irrevocable, and affects everybody on the site. Customers of the Athlone plant were also informed today. Nexans is a global company and will continue to support its customers.
The management team of the plant, briefing the employees, said that they will seek to limit the consequences of the closure and that each employee will be offered career counselling and outplacement support.
Management will now commence discussions with the relevant employee representatives and Unions.