The President of the Irish Road Haulage Association (IRHA) has described the decision of Fastway's parent company to enter receivership as "a huge blow".
Ger Hyland said the move will have "a devastating effect" on the livelihoods of the 300 people directly employed by the company.
"But you also have to realise there’s our members, there's van drivers, there's families all getting a living out of Fastway, you're looking at maybe another 1,000 people being affected, if not more," he added.
Mr Hyland said the impacted workers "have no work seven weeks away from Christmas".
"They have mortgages. They have van repayments, leases or higher purchase repayments."
The IRHA president said he was contacted by some of his members who are "owed €100,000 plus, and I suspect they will see very little of it."
Watch: Are you expecting a delivery from Fastway over the coming days?
There are around 50,000 packages currently in the system, due for delivery.
It is understood the receivers are working with a third-party delivery company to get the parcels delivered as quickly as possible.
However, a spokesperson for the company said that "delays and disruption are envisaged, but the receivers will work with retailers to minimise such delays".
Customers are urged to continue to track shipments using existing online tools or contact their sender for updates.
In cases where people are waiting an unduly long period for their deliveries to arrive, they are advised to make contact with the retailer from which they purchased their product.
In terms of the Parcel Connect service, in cases where people were planning to drop off items for return, they are now being advised to make direct contact with their retailer.
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Queries on consumer rights
It comes as the Competition and Consumer Protection Commission (CCPC) said it has received queries on consumer rights.
In a reminder to consumers and businesses, the CCPC said when a consumer orders something for delivery, "their contract is with the retailer, not the courier".
The consumer watchdog said goods are the "responsibility of the retailer until the buyer takes physical possession of the delivery".
"It is the retailer's responsibility to address any delay, damage or non-delivery."
In a statement, the commission said orders "should be delivered within 30 days unless otherwise agreed by the consumer and retailer".
"If the delivery cannot be rearranged within a suitable period, or where the delivery of the goods is no longer appropriate in the circumstances, consumers have the right to cancel their order due to non-delivery and receive a full refund, including delivery fees. The retailer must refund the consumer within 14 days."
The CCPC said the obligations are set out in the Consumer Rights Act 2022.
"Exceptions apply in cases where the consumer has independently engaged a courier; the retailer is then not responsible for delivery."
Separately, Minister for Social Protection said supports are available to the workers and affected contractors at the Nuvion Group.
Dara Calleary said his "thoughts are with the workers and their families who are dealing with the uncertainty arising from this difficult news".
"My department has already been in contact to offer information on the supports that are available to assist employees of the Nuvion Group and others who may be affected over the coming months."
Minister Calleary said they include "a range of income supports, and assistance to move to alternative employment, or to access appropriate education, training, and development options".
"The new Jobseeker’s Pay-Related Benefit, which we introduced in March, is available to employees who lose their job and meet the eligibility conditions. This scheme provides a maximum weekly payment of €450 which can help people while they seek new employment."
