Bus Eireann plans to cut staff numbers by around 320 and reduce its bus fleet by 150, blaming the effects of the economic downturn.
In a statement, the company said that it had expanded its network in recent years in line with growing demand, but there had been 'a significant drop' in demand for public transport last year.
Bus Eireann said this had hit its revenue, and cost-cutting measures were unavoidable. In 2007 the company made a profit of €7m, but last year it had losses of €9m and that figure is projected to reach €30m in 2009.
The redundancies will happen across all grades, but the majority will be bus drivers. The company currently employs 2,700 people. It says the reduction in the bus fleet will lead to a phased re-organisation of its route network.
It said passenger numbers fell by 4% last year because of a fall in the number of people in work, a drop in the number of non-Irish nationals, a significant slowdown in retailing and a reduction in the number of tourists visiting the country. Bus Eireann estimates a further drop of 5% to 6% in passenger numbers in 2009.
The company says its cost-cutting plan is designed to protect as many services and jobs as possible, while returning it to a break-even situation by the end of 2010.
Both SIPTU and the NBRU said they would oppose compulsory lay-offs at the company.
Last week, Dublin Bus announced plans to cut 290 jobs and reduce its fleet by 120 buses.
