editorial

TAC Europe contractors boost manufacturing on the Isle of Man

“The Isle of Man is the greatest economic success story you’ve never heard of. It is a small, prosperous nation that will continue to grow“, says Chris Corlett, CEO of the Island’s DTI. Already known as an international financial services centre, the Isle of Man is diversifying its economy and boasting an expanding, high value added manufacturing and technology sector employing 3,300 people. Corlett observes, “Labour is our major constraint to growth: unemployment is 1.4% and we have more job vacancies than unemployed people”. A shortage of technical skills required by manufacturing mean there are excellent opportunities for contractors.

To support the growth in manufacturing, TAC Europe became the first technical recruitment specialist to open an office on Isle of Man in 2005. Local resident, Leo Cussons, has been appointed IOM Business Manager to help TAC clients, Smiths Aerospace, Ronaldsway Aircraft Company and Swagelok, meet their flexible labour requirements.

Malcolm Macdonald, Director & General Manager of Smiths Aerospace, Isle of Man, is pleased TAC now provides a local service, “If there is an issue, TAC Europe can be on site immediately. When contractors arrive they can help with their work permits and personal issues, such as accommodation. The more settled they are, the better job they do”.

Macdonald, who also chairs the Chamber of Commerce, Manufacturing & Technology Committee, agrees that TAC Europe has improved the local manufacturing infrastructure. “When OEMs, such as Airbus and Boeing, started demanding 90-100% on time delivery all we could do was to increase overtime or recruit permanent staff. By using contractors, TAC has helped us to clear production arrears and maintain on time delivery to more than 90% over the last 12 months”.

Chris Allen, General Manager of Ronaldsway Aircraft Company, a subcontractor to major aerospace companies such as Martin Baker, Rolls-Royce and Goodrich, comments, “Growth is the crux of our relationship with TAC. Military aerospace orders are not as consistent as civil orders and place irregular demands on our order book. The opportunity to use contractors to cope with these peaks and troughs was not available until TAC Europe opened a Douglas office”.

At present Isle of Man residents enjoy low taxation – income tax peaking at 18% and zero capital gains and inheritance tax. From 2006 companies benefit from zero corporation tax. Add these advantages to good medical and sports facilities, excellent transport links to the UK and Ireland, not to mention the renowned TT motorbike races, and it comes as no surprise that the Island has been attracting businesses and individuals to its shores in increasing numbers.