Published Wednesday, 19 March 2014
30 call centre staff will be made redundant in Derry. (© Getty)
The news was confirmed in a written answer by Enterprise Minister Arlene Foster to Sinn Féin MLA Maeve McLaughlin.
The current workforce of 30 staff will be made redundant over the next couple of months.
Invest NI provided £1.2m in 2010 to support the Irish company setting up the base in the city, with a promise to create 297 jobs over three years.
"The job losses are deeply regrettable and are as a result of a commercial decision taken by the company in light of difficult trading conditions and increasing competition in the Business Process Outsourcing market," Ms Foster said.
"The promoters do not believe, from a commercial perspective, that they can sustain the site in Londonderry any longer.
"Invest NI will continue to work proactively with other stakeholders in the area, including the Department of Employment and Learning, Council, Chamber of Commerce and the local Enterprise Agency, to assist those staff affected by the closure and also to promote the wide breadth of support available to businesses in the area to stimulate and encourage employment opportunities in the locality."
Ms McLaughlin said the job losses are "a body blow to the workers and their families".
She said: "We need to ensure that the workers receive their full redundancy entitlements and I will be working closely with Invest NI and others to ensure that staff get the maximum support."
Foyle SDLP MLA Colum Eastwood said the news was "devastating" for those local workers.
"It is also another huge blow for Derry's economy which continues to feel the bite of decades of neglect in terms of investment in infrastructure and job creation," he said.
"The news that a company which has benefited from Invest NI funding is to cease operations in Derry after such a short period of time is concerning.
"This situation raises questions, once again, over how many jobs announced or promoted by the Department of Enterprise Trade and Investment and Invest NI are actually being created on the ground. It also confirms the need for more focused investment in creating jobs which are sustainable."
© UTV News