Job losses mount in Mayo and Waterford

On another black day on the jobs front, a telecom equipment has announced it is to close it factory in Castlebar, Co Mayo, with…

On another black day on the jobs front, a telecom equipment has announced it is to close it factory in Castlebar, Co Mayo, with the loss of 170 jobs and 200 jobs are in jeopardy at Waterford Crystal.

Mr Steve Cowman, managing director of Volex Europe said the decision to close the Castlebar plant was driven by the continuing slowdown in the worldwide telecommunications industry.

He said all employees had been aware for some time that the facility was unable to operate profitably. However the company will retain its European headquarters in Castlebar employing 70 people.

Also today union leaders at Waterford Crystal are being briefed on a rationalisation plan that is likely to see up to 100 redundancies sought by the company with a further 100 contract staff to be laid off.

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In addition to job cuts, a euro18 million cost-cutting package is expected to include a pay freeze with the company already having stated its intention to plead an inability to pay the increases provided for in the national agreement, Sustaining Progress.

Waterford has seen sales of its eponymous crystal products fall sharply in its key US market. This has been exacerbated by the strong euro making its luxury products even more expensive.

Waterford Crystal shed 94 jobs in April; most of these personnel were out of contract while others were laid off early. Last month, all but 100 of the company's staff at plants in Waterford and Dungarvan, Co Waterford were laid off for a week as management suspended production on most lines in a bid to bring supply in line with demand.