Dublin-based software company Iona Technologies will cut its workforce by over 125 due to what it describes as a "difficult economic environment" for the software industry.
A spokeswoman told ireland.comthe plan was to reduce the workforce from 825 to less than 700 over the next couple of quarters to make the company profitable again.
She said the implications for Dublin were "minimal", with about 20 positions being affected.
Most of the cuts will be in the company’s US engineering division. Iona employs 200 staff in its Dublin office in Ballsbridge.
The company had said it would lay off 70 workers, but it plans to cut between 20 and 25 per cent of its workforce.
Last month Iona reported a net loss of $28.5 million (€28.23 million) for the second quarter.
Revenues in the second quarter almost halved compared to the same period in 2001. They fell to $26.3 million from $51.5 million.
Iona chief executive Mr Barry Morris said the job cuts would be made "across the board" and in all regions. "It's not a matter of a dozen or two dozen people. It will be a substantial figure".
