Glen Dimplex To Cut 300 Jobs And Close Two Irish Sites
Heater manufacturer Glen Dimplex is to cut up to 300 jobs on the island of Ireland over the next two years after announcing it will close two sites.
At present, Glen Dimplex has manufacturing locations in Newry and Portadown, two sites in Dunleer, Co Louth and a sales and distribution operation in Cloghran, near Dublin Airport, where it also has its head office.
The company plans to transfer panel and storage heating manufacturing from its Newry and Portadown locations to Lithuania, and the Portadown site will be shuttered, most likely next year.
Glen Dimplex will also relocate its sales and distribution arm from Cloghran to Dunleer in the next two years. Its head office will also be moved to another Dublin location with a more sustainable footprint.
The three remaining Irish sites will be reconfigured around higher value manufacturing and creating a centre of excellence and R&D hub for zero-carbon heating and ventilation technologies.
There will be no redundancies made in the next six months, and the job cuts will be made on a phased basis from late 2024 to the end of 2026.
The job losses were announced following strategic review of Irish operations, and staff were brief on the company's plans earlier today (8 February).
Glen Dimplex will invest €50m to "re-orientate" its manufacturing operations in Ireland and Europe, including €40m ringfenced for manufacturing, R&D and new sales and distribution facilities in Newry (€25m) and Dunleer (€15m).
The Newry site will be repurposed into a centre of excellence for manufacturing renewable heating solutions including heat pumps, and the firm's two Dunleer sites will be consolidated into one multi-purpose facility on Ardee Road that will incorporate sales and distribution, a new showroom, R&D and ventilation manufacturing.
The remaining €10m will be invested to increased the existing manufacturing capacity of the company's Lithuanian operations, and Glen Dimlex will also transfer the manufacturing of Flame products from Dunleer to a third party in China.
Despite the planned job cuts, employment at Glen Dimplex in Ireland is expected to increase by 20% to over 1,000 over the next five years. The firm currently employs over 8,000 people globally.
“Glen Dimplex has always been a leader in electric heating solutions for homes and businesses," said Fergal Leamy, CEO of Glen Dimplex.
"The drive for zero carbon renewable electricity requires a transition in the technology and appliances used in our homes and businesses, especially in smart and sustainable heating and ventilation solutions such as next generation heat pumps, ventilation and storage solutions using renewable energy sources.
“By signalling these proposed changes significantly in advance of proposed implementation we aim to mitigate the impact on staff and minimise redundancies through training and redeployment and affording the opportunity to apply for hundreds of new roles that will be created over the coming years."
Glen Dimplex reported revenues of €944m and profit of €37.6m in 2022, and the company has net assts of €325.7m.
Photo: Fergal Leamy (left). (Pic: Chris Bellew /Fennell Photography)
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