Nestlé intends to close its Wyeth Nutrition infant formula plant along with its adjacent research and development center in Askeaton, County Limerick, Ireland, potentially jeopardizing the employment of 542 individuals.
In a statement, the food giant said that it would be ceasing operations at Wyeth Nutrition infant formula factory by Q1 2026, and the R&D centre by Q1 2025. Nestlé said, “Regrettably, today’s announcement means approximately 542 colleagues will be placed at risk of redundancy”.
Nestlé obtained Wyeth Nutritionals through its purchase of Pfizer Nutrition in 2012.
The plant manufactures infant formula products solely for shipment to the Greater China and various Asian markets. At present, the factory employs 491 personnel, and the research and development site has a staff of 51.
Nestlé stated that “external trends” have impacted the demand for infant nutrition products in Greater China.
The company highlighted, “The number of newborn babies in China has declined sharply from some 18 million per year in 2016 to fewer than 9 million projected in 2023. The market, which had previously been reliant on imported infant formula products, is also seeing rapid growth in locally produced products.”
To adapt to those changes, Company is proposing the transfer of production from Askeaton to two existing factories: Suzhou in Mainland China and Konolfingen in Switzerland.
Headquarters:
“Konolfingen is also home to Wyeth and Nestlé Nutrition’s global R&D centre of excellence for infant and maternal products,” said Nestlé. “It is proposed that R&D work at Askeaton would be absorbed into Konolfingen, where 365 colleagues work on research and product development across several disciplines, and a satellite R&D centre in Shanghai would be strengthened.
“These proposals have been carefully considered and are no reflection on the excellent contribution made by our employees in Askeaton over many years.”
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Nestlé has been unsuccessful in locating a potential buyer. Consequently, the company will initiate a comprehensive consultation process with its employees concerning the proposed closure. At the same time, throughout this consultation, They will entertain any credible inquiries from potential buyers.
Nestlé said, “We regret the uncertainty this announcement will cause our colleagues and their families, and we will make sure they are supported fully throughout this process”.
