Up to 150 jobs may go as Pfizer sells Cork plant

Up to 150 jobs could be lost following the sale by Pfizer of its Loughbeg site in Cork to a Portuguese pharmaceutical company.

The deal is due to be completed by early April and will see 70 to 80 of the existing 232 staff transfer to the new owners, Hovione.

Pfizer said in a statement today it was unclear exactly how many redundancies would be required due to be possibility of staff transfers but said there will be redundancies.

Pfizer, which employs 2,300 people in Ireland, announced in February 2007 that it was closing its Ringaskiddy plant and putting its Little Island and Loughbeg plants up for sale following a global review of its manufacturing operations.

Minister for Foreign Affairs Micheál Martin said the cuts are devastating news for workers and their families.  "Ensuring these workers are given every support during the handover of the plant must now be a top priority," said the Cork TD.

Mr Martin said although the takeover is welcomed, the job losses will cause great disappointment in the communities of Cork Harbour. He stressed those affected should be kept updated of developments and the terms which will be offered to them.

Pfizer was in contact with over 600 companies in an effort to sell Loughbeg as a going concern. A spokeswoman for Pfizer refused to disclose the price paid, saying the focus was on selling the plant as a going concern and preserving as many of the jobs as possible. It is understood that the monetary value of sale was relatively minor. Hovione will also provide manufacturing services for Pfizer. The deal is receiving IDA support.

Paul Duffy, Pfizer's vice president of manufacturing in Ireland accepted that today's news was mixed.
"The fact that Lougbeg will continue with 70 to 80 positions is welcome and secures a future for the site and offers the best opportunity from growth. However, the news of the redundancies will be a disappointment to impacted Loughbeg API colleagues and to their families."

Hovione will transferring product manufacturing and validating processes for new compounds in expectation of drug approval from its Loures site in Portugal to Cork.

Guy Villax, Hovione chief executive, said his company has been investing in China for almost 25 years. “We know very well what China can do for the pharma industry, but we also know what it can't do - and it is for those reasons that we are now in Cork” Mr Villax said.

In August, Pfizer revealed 180 posts would be lost at its flagship Little Island plant after management failed to secure a buyer for the facility. It will close by the end of 2009. 

Fine Gael's Cork South Central TD Simon Coveney said the job losses would be "devastating" for the area. "This has been a very tough week for Cork, with Beamish and Crawford announcing 120 job losses only last week," he said.

"The Government must now look at way to retain jobs in Cork, and also to create new jobs for 25,000 people who are now on the Live Register in Cork.”