FEARS were growing last night that nearly 4,500 Irish jobs could be axed after it emerged Dell may sell its factories around the world.

The computer giant, which employs 3,000 at its manufacturing plant in Limerick and 1,350 at a sales and marketing operation in Dublin, is believed to be trying to sell many of its bases in a bid to cut costs.

Dell, which accounts for almost six per cent of Ireland's gross national product, is reported to have approached contract computer manufacturers, mostly in Asia, with offers to sell their factories.

But a spokesman for Dell Ireland refused to comment yesterday.

Fine Gael's enterprise spokesman Leo Varadkar called on the company to let workers know if the speculation is true.

He said: "Dell Ireland employ more than 4,000 people so if they were to lose their jobs it would be a real body blow for the country.

"If Dell sells their plants here it will have a massive affect on the economy, especially with the way job figures are at the moment.

"Dell Ireland must make a statement on these speculations that the Irish bases are going to be sold.

"The workers in the two plants in Limerick and Dublin must be told what is happening."

Limerick Mayor John Gilligan said the region would be left devastated if the Dell factory was to close.

He added: "The entire economy of the region would have a major setback if the Dell plant was to close.

I am keeping my fingers crossed the factory here will not be shut.

"We have a very good history, there has never been a break in production.

I think when it comes to making a decision I think the plant in Limerick will be kept.

"Maybe there will be job losses because there is a downturn in the economy. I think that would be a natural way for a company to go.

"But I can't see them closing them closing the site completely." The Wall Street Journal reported that in recent months Dell approached hardware manufacturers with plans to outsource production.

One person briefed on the project told the Journal he expected Dell to sell most, possibly all, of its locations "within the next 18 months".

Dell, the world's second-biggest maker of personal computers, reported a 17 per cent drop in quarterly profits last week as the company suffered from tighter corporate spending in America.

The proposed sales would mark a significant shift from the Texasbased firm's long-standing strategy of making its own products.

It is believed Dell plans to have lower-cost partners in Asia make all its products, A Dell spokesman would only say yesterday: "Dell is regularly the subject of ongoing speculation."

Dell is seeking to raise profitability after reporting earnings that missed analysts' estimates.

It is also cutting prices to take market share from Hewlett- Packard.

Selling its production sites to focus on sales and marketing may help it expand its product range.

The entire economy of Limerick will suffer if Dell close the factory in the city

MAYOR JOHN GILLIGAN, LEFT

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