The manufacturer Kostal is set to cut 60 jobs at its plant in Abbeyfeale through voluntary redundancies.
Communication to Kostal staff has been circulated today, informing them of the decision to seek voluntary redundancies at its West Limerick base.
The company has operated in Ireland since 1981, and employs around 1,000 people between plants in Abbeyfeale and Mallow, manufacturing electronic parts.
This morning’s email has been circulated to all West Limerick-based staff, signed by Chief Operating Officer of Kostal’s Automobil Elektric Board, Hansjoerg Herrmann.
It says Kostal’s business in Abbeyfeale has experienced and is experiencing challenges, with declining volumes of onboard chargers for electric cars.
The letter says the company needs to reduce, on a voluntary basis, 60 roles in Kostal Abbeyfeale by early 2025 – which it describes as a measured response to declining onboard charger demand.
It says based on its current forecast data, the voluntary redundancies will involve 30 operators and 30 non-operator roles, but the number of operators is subject to change depending on market demand.
The company says there will now be a mandatory 30-day consultation process in Abbeyfeale, involving trade unions and workers not represented by unions.
Kostal’s management team says it will continue to explore future options for Abbeyfeale, and there is continuing need for production activities there for the foreseeable future.
The letter writes that with the level of market volatility, the company is under no illusion about the challenges, and there is no guarantee as it looks forward.
Kostal says the need for voluntary redundancies is, in no way, a reflection on everyone in Abbeyfeale.
The letter concludes that Kostal will look to having a commercially viable future in Abbeyfeale, even if not the same shape and size as today.
Radio Kerry has contacted Kostal for comment.
