Festive blow for workers as 400 jobs axed
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THREE companies announ-ced almost 400 job losses yesterday in a further blow to the economy but major job boosts are on the way.
Dunnes Stores announced it will create 230 new jobs this week when it opens stores in Saggart, Co Dublin, and South Gate Centre, Drogheda.
And Quinn Insurance is expected to announce the creation of a further 350 new positions at its offices in Little Island, Cork.
However, insurance firm FBD, which has offices all over the country, and Shannon-based industrial diamond manufacturer, Element Six, are both set to axe 150 jobs just weeks before Christmas.
FBD said it is reducing its branches by 13 to 34 because customers are increasingly using the phone or internet to buy insurance, while Element Six blamed the international recession.
Medical firm Trinity Biotech in Bray, Co Wicklow, also announced that it is to make 70 people redundant in a bid to cut costs.
It was also revealed that Stena Line has told staff on its Rosslare/Fishguard express ship that it plans to make up to 10 catering staff redundant.
Element Six called staff at its Shannon facility to a meeting at 11am yesterday where they were given the news that the firm plans to reduce its workforce by a quarter by the end of the year.
It said it was forced to make the cuts after sales slumped by up to 50pc. Workers leaving the plant last night described the atmosphere as "subdued" following the announcement of the second cost-saving plan in two years.
"It's unfortunate, especially at this time of year, but that's the current climate," said Conor O'Donoghue. "I don't think any company has not been affected by the global crisis."
Workers said the company did not rule out the possibility of introducing a three-day week.
Mayor of Clare Madeleine Taylor Quinn blamed the Government and the Department of Enterprise for not heeding the signals and preventing these job losses.
Fine Gael TD Joe Carey said five people were losing their jobs in Clare every day.
SIPTU said it is holding an urgent meeting with the company.
Package
"We will be seeking to minimise the number of people to be let go and ensure the best possible package for workers who have to leave," said branch organiser Tony Carroll.
Formerly De Beers Industrial Diamonds, Element Six employs 620 people and is the world's largest manufacturer of industrial diamond and has plants in South Africa, Sweden, Isle of Man, UK, China and the Ukraine.
"In some sectors, sales are running as low as 50pc of what we would have expected a few weeks ago," said General Manager Ken Sullivan.
Meanwhile, FBD announced it will reduce its workforce from 953 full-time jobs to 800 through a voluntary severance programme.
The company said it decided to merge offices after a detailed review of operations in recent months.
It said there had been a major change in the way customers bought insurance, with over 70pc of car and home insurance customers using the telephone or internet rather than visiting offices.
- Anne-Marie Walsh, Pat Flynn and Brendan Farrelly
