At least 80 jobs are to go at the Celtic Linen plant in Carlow town. Workers were informed of the news at a meeting yesterday evening.
The first lay-offs will take effect in June, with the majority of the jobs going in October. From then the company will retain only its transport division in Carlow.
The company also announced this morning a major investment in its operations on its Drinagh site in Wexford town, with the building of a new plant.
Celtic Linen said it will relocate its Maudlintown operations to this new factory at the end of the year. The company currently employs 400 people in Wexford.
Celtic Linen supplies linen to hotels, restaurants and hospitals, as well as renting out work-wear and supplying hygiene paper supplies and janitorial chemical supplies. It also has depots in Dublin and Cork.
The company said it had completed a strategic review of its business in the context of the 'ongoing competitive challenges' in the industry.
A SIPTU official said meetings will be set up with management over the coming days to discuss the redundancy terms.
The plant has been operating in Carlow for the last 40 years and management said it regretted the closure of the plant in the town.
