Glen Dimplex Announces Major Job Cuts at Dunleer Plant
Glen Dimplex, a prominent heating solutions company, has announced plans to cut approximately 70 jobs at its facility in Dunleer, located in County Louth, Ireland. This decision, set to be finalized by October 2025, follows a broader wave of restructuring across the company.
Context of Job Cuts
Glen Dimplex attributes the layoffs to a significant decline in the European market for heat pumps. Geopolitical shifts, modifications in energy policies, and the plummeting prices of natural gas are cited as key factors contributing to the reduced demand for heat pumps in Europe.
In February 2024, the company outlined a substantial reorganisation plan for its operations in Ireland and Lithuania, expecting this to result in up to 300 initial job losses. However, Glen Dimplex also forecasted a workforce increase of 200 roles by 2029, highlighting their commitment to the evolving energy sector.
Management Support Measures
In their statement, Glen Dimplex emphasized their dedication to supporting affected employees. This includes collaboration with executive representatives, trade unions, and local training agencies to provide outplacement services and career development opportunities.
The firm also expressed its intention to repurpose the Dunleer facility by relocating Glen Dimplex Ireland’s sales and distribution team there, which comprises 70 employees currently based in Cloghran, County Dublin. This strategic realignment is part of Glen Dimplex’s efforts to consolidate and optimize its manufacturing capabilities.
Strategic Rationale Behind Consolidation
Glen Dimplex decided to centralize its investment and production capacity in Newry rather than maintain dual operations in both Newry and Dunleer. This consolidation moves aligns with their strategy to focus on low-carbon heating and ventilation solutions, adapting to market dynamics.
Community and Political Response
The news of job cuts has garnered significant attention, particularly from political representatives. Labour Party TD Ged Nash has described the announcement as a “disaster” for workers, their families, and the broader community in Dunleer and Mid-Louth.
Mr. Nash urged Glen Dimplex to engage more closely with workers and trade unions to explore all possible alternatives to redundancies. He specifically highlighted the importance of a fair and consultative redundancy process if layoffs commence.
Future Outlook and Adaptation Efforts
Despite the current upheaval, Glen Dimplex remains committed to a multifaceted investment strategy in Ireland. With a substantial sum allocated towards repurposing the Dunleer plant, the company signals its intention to sustain its presence in the Irish market while adapting to global energy transitions.
The potential for creating new roles, especially in sales and distribution, offers local employment opportunities and highlights Glen Dimplex’s strategy to pivot towards roles that align with the changing market landscape.
Conclusion
The job cuts at Glen Dimplex’s Dunleer plant underscore the evolving nature of the energy sector and the challenges faced by companies adapting to new market conditions. While these changes bring significant disruption, Glen Dimplex’s efforts to support affected employees and repurpose its facilities indicate a proactive stance towards mitigation.
As this transition unfolds, it will be crucial to monitor how Glen Dimplex navigates these challenges and implements its strategic plans for future growth. The dialogue between the company and its stakeholders will play a pivotal role in shaping the community’s response and adapting to this evolving landscape.
Stay informed as we follow this story and others like it. For updates on the latest news and analysis, subscribe to our newsletter, follow us on social media, or leave your thoughts in the comments below.
Heating company Glen Dimplex has announced that around 70 jobs are to be cut at its plant in Dunleer in Co Louth.
The redundancies are expected to be completed by October 2025.
“Management will work with employee representatives in Dunleer, trade unions and local training and support agencies to support colleagues through this change and to deliver appropriate outplacement and training supports,” Glen Dimplex said in a statement.
The company said the decision is linked to a major contraction in the market for heat pumps across Europe due to geopolitical factors, changing policies and support schemes, and lower gas prices.
“Due to the weaker demand outlook for heat pumps across Europe in the near future, Glen Dimplex is proposing to consolidate its investment and manufacturing capacity for low carbon heating and ventilation solutions in its Newry plant rather than continuing operations in both Newry and Dunleer,” the company said.
In February 2024, Glen Dimplex announced a major reorganisation and investment in its operations on the island of Ireland and in Lithuania.
At the time, the company said this would result in up to 300 redundancies in the short term but added that its workforce would increase by 200 roles by 2029.
Glen Dimplex said today that large parts of its reorganisation plans have been completed or are in progress.
It added that it remains committed to a multi-million investment in its facility in Dunleer so that it can be re-purposed to accommodate a relocation of the group’s sales and distribution arm, Glen Dimplex Ireland, and its 70 roles from Cloghran, Co Dublin.
Labour Party TD Ged Nash said the announcement was “a disaster” for the workers and their families as well as the wider community in Dunleer and Mid-Louth.
“It sounds the death knell for good manufacturing jobs at the Dunleer plant and comes on top of another significant round redundancies at Glen Dimplex last year,” Mr Nash said.
“I am calling on the company to now engage meaningfully with workers and their representatives in SIPTU to explore every alternative short of redundancies and I made that clear to them in a call this morning,” he said.
“If it is the case that redundancies cannot be avoided, the company must co-operate with unions to deliver a fair, collective and genuinely consultative redundancy process,” he added.
Your opinion matters: How do you think Glen Dimplex can best navigate these challenges while supporting its workforce? Share your thoughts in the comments below or connect with us on social media to stay updated on the latest developments.