Gateway confirms exit from UK

"We've learned first-hand how this decision could make a significant impact on many Gateway employees, and we empathise with their concerns. However..."

By Joey Gardiner, 10 September 2001 13:45

NEWS Gateway has confirmed it is pulling out of the UK and Ireland with the loss of 1,085 jobs. The decision was always on the cards since the US-owned PC manufacturer announced a massive restructuring plans at the end of August. At the time it said the exact details of the restructuring were dependent on a consultation. This was completed today, with the decision taken to close all operations in the region. Gateway has also revealed it is pulling out of all operations in south-east Europe, the Middle East and Africa. The closures will mean the loss of 185 jobs in the UK, mostly in its Uxbridge office, and 900 jobs in its joint production and tech support centre in Dublin, Ireland. Gateway said the closures will take effect by the end of the year. In a statement it acknowledged the pain it is causing employees and partners, saying: "We've learned first-hand through the consultative process how this decision could make a significant impact on many Gateway employees, and we empathise with their concerns. However...at this time we must make such difficult changes to ensure future growth and profitability for the entire company." The news brings further misery to a PC market already facing the worst downturn for at least a decade. Revised IDC figures now show the number of PCs shipped worldwide is expected to fall this year, the first time since 1985. Global revenues are expected to fall 10.6 per cent this year. Gateway has now pulled out of all European markets except France, where the consultation with employees is currently ongoing. Gateway is set to lose 4,600 staff worldwide.

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