(Reuters) - Accenture plans to cut around 890 jobs from its Irish operations, representing some 13% of its workforce there, as part of a round of global jobs announced in March, the IT consulting firm said on Monday (31st July 2023).
The announcement represented one of the largest batch of IT layoffs in Ireland, which is the European Union hub for some of the biggest global technology firms.
Accenture is one of the largest foreign multinational employees with over 6,500 staff in Ireland.
Accenture said its business in Ireland continued to perform strongly and that it remained firmly committed to it.
The 19,000 job cuts the company announced in March amounted to about 2.5% of its global workforce.
Impact on the Irish Economy :
Despite the company’s reassurances, the decision to cut jobs is one of the largest IT layoffs in Ireland and could significantly impact the local economy. With Accenture being a key foreign multinational employer, the layoffs could potentially disrupt the lives of many families and the wider community.
However, the potential for reemployment remains high due to the highly skilled nature of the sector. Several government supports are also available to those who are made redundant, including assistance with training, development opportunities, and income supports.
Reaction and Response :
The news of the layoffs has been met with concern and sympathy for the affected workers. Many have emphasized the importance of providing a fair package for the workers and mitigating the devastation caused by such a massive closure.
The Department of Enterprise has been notified of the planned redundancies and has branded the potential layoffs as a significant blow. However, it is emphasized that the workers involved are from a highly skilled sector and those skills are likely to be sought after elsewhere in the broader economy.
Looking Forward :
Despite the layoffs, Accenture remains committed to its business in Ireland and continues to manage for the long term. The company continues to focus on ensuring it has the right talent to serve its clients, invest in its people, and recruit in critical skills areas.
This incident serves as a reminder of the volatility and uncertainty in the tech sector, emphasizing the need for workers to join and be active in their trade union. It also raises questions about how companies in certain sectors are performing and the extent to which companies may have over-recruited in recent years.
As the dust settles, the focus is now on ensuring that the workers affected by the layoffs receive the support they need and that the impact on the wider community and economy is minimized.
