Tipperary Crystal has decided to reduce its workforce by 39 people and plans to halt manufacturing from mid-December 1997 to February 1998, as part of a rationalisation plan.

The company has appointed a new chief executive, Mr Niall Wall, to oversee the rationalisation which follows the purchase of the company out of receivership by Yeoman International late last year.

Mr Wall has not worked in the crystal industry before, but has experience of manufacturing, sales and marketing with Ferndale Quail, the export food business, where he was joint chief executive.

The workers at the Carrick-on-Suir plant were informed yesterday of the redundancies and no negotiations were entered into by management.

"The decision to undertake this rationalisation comes following a detailed review of the business carried out in recent months," said Mr Wall.

"The break in manufacturing has been taken to facilitate the reorganisation of the plant, although sales and distribution will not be affected," he added.

"We need to increase sales, introduce new products and reduce operating costs," said Mr Wall.

When Yeoman International, which controls Tipperary Crystal through its subsidiary Asdon Ltd, took over the company, it was understood all jobs would be retained. It was said this was the main reason Yeoman's bid was successful.