270 jobs are to be lost at An Post's SDS parcel service. It pushes to nearly 1,800 the number of redundancies sought by the company as part of an overall recovery plan.
An Post management said SDS had lost €30 million over the last seven years and was seriously affecting the financial position of the company.
Chief Executive Donal Curtin said management was in an extensive talks process with the CWU regarding its recovery plan. He added that fundamental changes regarding how the company does its business were needed.
The Minister for Communications, Dermot Ahern, said An Post made several efforts to try to sell or find a partner for SDS but there were no takers. He said a considerable number of workers at SDS would be retained by An Post.
The parcels and courier division will be re-integrated into An Post's mail collection and delivery operation. The SDS premises on the Naas Road will be sold.
The decision will also transfer the company's central parcels hub to Portlaoise.
Fears over job losses
Earlier, the new General Secretary of the Communications Workers' Union, Steve Fitzpatrick, said there had been no prior consultation from management on the closure, and that he feared up to 800 jobs could be lost.
But speaking on RTÉ's Morning Ireland programme, Tánaiste Mary Harney said that the resultant job losses would fall far short of 800 and that any redundancies would be voluntary.
An Post meeting
Yesterday, the board of An Post held a long meeting in Dublin at which it is understood that the decision was made to close the service.
In a statement, Mr Fitzpatrick accused An Post management of running down elements of the national postal service by stealth.
He said the CWU had been deliberately excluded from the discussions over the future of the service and that the approach of management flew in the face of partnership.
