UK and Ireland operations head Anwen Owen said that the decision resulted from assessing the company's performance and prospects in Ireland, which will inevitably impact the local staff.
The email regretted the tough choice: "We have decided not to seek new business opportunities at our Irish office." Fujitsu's future efforts in Ireland will be dedicated to honouring current customer agreements.
In the UK, Fujitsu is currently involved in a significant controversy due to its association with the Post Office Horizon scandal.
Morale within Fujitsu's UK sector is low, and there have been recent announcements of job reductions.
The same source mentioned the closure of a Manchester facility, which was later clarified by a Fujitsu spokesperson who denied such claims. Instead, the spokesperson explained, "Fujitsu is merging its Manchester workforce into renovated areas within an existing leased building," resulting in more employees working remotely.
As the substantial contract with the Post Office for the Horizon system nears its conclusion and uncertainties looming over future government contracts, questions arise regarding Fujitsu's continued presence in the UK. The company has temporarily halted all UK public sector contract bids while the official public inquiry into the Post Office scandal is underway.
Fujitsu's UK challenges are further compounded by the potential repercussions of the Post Office scandal, which could pave the way for Indian corporations to enter the UK public sector market.
Despite the controversy, Fujitsu has secured significant contracts with the UK government. In the previous year, it obtained IT service contracts from the Home Office, HM Revenue & Customs (HMRC), and the Foreign, Commonwealth & Development Office (FCDO).
Fujitsu is set to receive €292.5 million from HMRC for replacing an internal service, the FCDO has engaged Fujitsu for networking and communications services in a contract valued at €215.28 million, and the Home Office has agreed to pay Fujitsu €56.16 million for supporting the Police National Database's underlying technology.
Tussell's data indicates that Fujitsu holds active contracts with the UK government and public sector totalling over €4.68 billion. The most substantial of these, valued at nearly €2.808 billion, is the contract to provide and maintain the Post Office's Horizon system. This contract is gradually being phased out as the Post Office embarks on a project to replace the contentious system.
Furthermore, Fujitsu is facing a considerable financial obligation to cover its portion of the Horizon scandal expenses, which exceed €1.17 billion, a cost currently borne by UK taxpayers.