World leading pharmaceutical and healthcare company GlaxoSmithKline (GSK) has reversed a decision to shut a plant run by one of its subsidiaries, saving more than 100 jobs.
The Stiefel facility in Sligo will remain open with an investment of 10 million euro and initially retaining 120 of the 180 staff.
It had been scheduled to close next year.
GSK, which bought the business in 2009, announced that the plant will become a dedicated skin healthcare supply and bottling site and it aims to take on 50 additional staff in 2014.
Jobs Minister Richard Bruton was at the site as staff were told the closure decision had been reversed.
"Central to the Government's plans for jobs and growth is ensuring not only that we grow our jobs in multinational companies, but also working hard to retain jobs currently in place," he said.
GSK employs 1,600 staff across five locations in Ireland.
Pat McLoughlin, site director of the plant in Sligo, acknowledged the significant contribution of the staff.
"The workforce has shown tremendous effort, commitment and flexibility through a difficult period, increasing productivity by 40 per cent in the last three years. This has been a key factor in the decision to choose Sligo for future development," he said.