The split of eBay and PayPal last summer has proved particularly damaging for the former, with the resulting issues meaning it’s leaving its Dundalk base in the new year.
With around 150 people employed at the site, eBay’s decision is a damaging one for the region, with the company revealing little as to the future of the current staff.
“We will begin a formal consultation process with our colleagues in Dundalk and will share any further information with them as a matter of priority,” the company said in a statement.
PayPal, landlords of the facility it and eBay share at present, are expected to expand in the coming months, perhaps offsetting the potential job losses.
Walking away in the second quarter of 2017, it will mark a low point for the company just as its former partner expands ever more in the 12 months since the split.
PayPal’s Irish operation alone is expanding to 2,500 workers this year, with jobs growth a consistent theme at the company.
Its Q1 figures released earlier this year saw a $100m rise in profits, with overall revenues up almost one-fifth to $2.54bn. This was driven by a rise of 11pc in active customers, the lifeblood of a payments firm.
Meanwhile, eBay’s revenues rose just 6pc to $2.1bn in the same period.
“We are executing our plan and making progress on our strategic priorities to ensure our buyers have the best choice of products and a simple, personalised shopping experience, while sellers benefit from our powerful selling platform,” said CEO Devin Wenig at the time.
In the months since though, things looked up. Q2 saw a similar figure in revenues, with StubHub, eBay’s essential replacement for PayPal, seeing its own figures spike 40pc. Although, clearly, it wasn’t enough to keep the Dundalk hub open.
Declan Breathnach, Fianna Fáil TD for Louth, called the move a “serious blow” for the area, saying he was disappointed the government could not do more.
“Serious questions also have to be asked as to why eBay decided to close its operations just over three years after moving its European HQ to Dundalk,” he said.
Main eBay image via 360b/Shutterstock