Daewoo to cut 205 jobs in Antrim

29-08-2006

by Ciara O'Brien

Daewoo is to slash jobs at its Northern Ireland electronics factory, with more than 200 posts to go in the reshuffle.

Some 205 jobs will be lost at the TV and DVD plant in Antrim, leaving just 80 workers in the factory. The move comes as Daewoo's business is facing stiff competition from lower cost markets, with imports from countries such as China and Turkey being blamed in part.

Management at the plant said the factory has been suffering steady losses in recent years. However, it is hoped that the current cost cutting measures will turn the business around and allow the firm to grow again in the future.

The South Korean firm, which has been operating in Antrim for 17 years, is seeking voluntary redundancies to reach its target. At one point, the company employed more than 1,000 workers in the North.

Staff were informed of the plans on Monday. Management will now sit down with union officials to discuss the terms of the redundancies being offered.

The factory has changed somewhat over the years; instead of manufacturing video recorders, it now makes LCD and plasma screen TVs, and set-top boxes for digital TV. Daewoo altered its business in a bid to remain competitive, but the move appears to have failed.

Local representatives have described the planned job cuts as a severe blow to the region. Meanwhile, union officials have urged the Government to find a way to help stem the flow of job losses from Northern Ireland, which they say are "leaking" at an alarming rate.

The region has been hit by the growing trend seen throughout developed economies, where easily movable jobs such as manufacturing are being transferred to lower cost economies where wage bills are cheaper.

However, local politicians have insisted that Antrim has much to offer employers in terms of on the job skills, and are hoping that new investment will see more jobs created in the region.