Elanco says the closure comes after an in-depth evaluation of its global manufacturing operations, which has also resulted in the closure of a manufacturing facility in Dundee, Scotland.

The group says cost reduction initiatives at Sligo, which include a restructuring last year, were not sufficient in establishing a competitive business model for the facility. It is anticipated that the 100 employees losing their jobs will leave the facility early in the second quarter of 2016.

Commenting, Grace McArdle, site manager at Elanco Sligo, said: “The decision to close the Sligo facility is difficult and we are very aware of the impact this has on our employees, their families, and the local region. Over the next few weeks, our priority will be communicating with our employees and providing support at this difficult time.”

A consultation phase will commence in early February to help employees understand the closure plans and examine options available to them. Elanco says it will provide regular updates and support to all employees, including working closely with other Elanco European sites, as well as other Lilly-owned entities in Ireland, to identify potential employment opportunities.

Sharp contrast

News of the closure contrasts sharply with the company’s announcement in 2015 of its plans to expand into the Irish dairy sector in 2016 with a new drug and data collection and advisory programmes.

Speaking at the time of the announcement, Gaynor Hillier, Elanco’s affiliate director for the UK and Ireland, said the group decided to invest in Ireland and target its dairy sector because of the industry-wide plans for expansion spelled out in national strategies such as Harvest 2020.

“The growth that is coming here all the time, the Government’s expectations and the way farmers deliver them is an opportunity for us,” she said.

Elanco in Ireland

Founded in 1954, Elanco is a division of Eli Lilly and Company. Its headquarters are located in Greenfield, Indiana, in the US. Eli Lilly has had a presence in Ireland for over 35 years, with approximately 1,000 employees in multiple locations. The Lilly Global Business Solutions Centre, established in 2010, employs about 350 multi-discipline, multi-lingual employees in Cork. Approximately 600 employees are located at the company’s active pharmaceutical ingredient manufacturing site in Kinsale, Co Cork.