A Cork dairy company announced yesterday that it was to close one of its plants with the loss of 28 jobs, writes Louise Geaney in Cork
West Cork-based Clona Dairy Products Ltd announced that it was relocating its production activity from Ballinahina, Co Cork, to its Clonakilty plant.
According to the company, which own Dawn Dairies, the job losses are a result of the relocation of production, the rationalisation of distribution activity and the consolidation of the administration function.
The general manager of Clona Dairy Products, Mr Tony O'Driscoll, said that the decision to relocate was necessary to protect the long-term viability of the Clona Group.
"As a result of the increasingly competitive environment and the reduction of profit margins within the sector as a whole, it is no longer viable to operate two production facilities.
"The decision was not taken easily, and not until a full review of the company's operations and costs had been undertaken," Mr O'Driscoll said.
He said the decision did not reflect in any way on the workforce at Ballinahina.
He added that the company would establish out-placement and re-employment services in a bid to find alternative positions for those people affected by the job cuts.
Clona Dairy Products purchased Dawn Dairies in Ballinahina from the Kerry Group in 2000.
The site will remain a distribution centre for the company, servicing the company's substantial customer base in Cork city and the greater Cork area.