Fears for hundreds of jobs at Londonderry factory as Seagate announces restructuring plan

Hundreds of jobs are at risk at the Seagate factory in Londonderry as the company plans a restructuring.

The firm employs 1,400 staff and is the city's largest employer.

Last week the company issued a profit warning, which came alongside a fine from the US Department of Commerce worth $300m for shipping parts to Chinese company Huawei, which was against US export controls at the time.

The profit notice and fine has added to fears for jobs in Londonderry.

Seagate says it is committed to a restructuring plan to reduce its costs in response to what it says has been changes in "the macroeconomic and business conditions."

It comes after US Special Envoy to Northern Ireland Joe Kennedy III praised Seagate during a speech at Queen's University on his visit to Northern Ireland earlier this month for the 25th anniversary of the Good Friday Agreement.

In a statement Seagate said: "As noted in our earnings press release on 20 April 2023, the company has committed to a global restructuring plan to reduce its cost structure in response to changes in macroeconomic and business conditions.

"The global plan is intended to align the company’s operational needs with the near-term demand environment while continuing to support the long-term business strategy.

"Seagate cannot speculate on any numbers or positions while our restructuring is in progress. As noted in our press release, we expect this process to be substantially completed by the end of the current quarter."

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