148 jobs lost as textile company closes in Cork

Some 148 jobs have been lost in Cork after the closure of the Millfield Textiles company blaming low-cost competition from the Far East.

The company, which occupied the site of the old Sunbeam factory, has been experiencing trading difficulties for some months.

Most of the workforce are female and had been on short-time in recent weeks. It is understood the company has invested £450,000 in the Cork plant since it took over the facility in 1995.

During the same period Forbairt has supported the plant with £365,000 in grants. "Everything possible was done to keep this factory open" a spokesman for Forbairt said yesterday.

The closure is a blow to the local area of Blackrock, especially as 1,000 people were once employed at the plant.

The plant made women's sportswear and Dunnes Stores was one of its biggest customers.

In March of last year the plant recruited an extra 50 people, which it said were needed after economies of scale had been achieved.

People in the local area were confident the plant would survive because the Millfield management team was said to operate a different structure than the one used by Sunbeam.

Another reason for the optimism of the time was that Millfield began to target a small niche in the clothing market.

However, workers speaking outside the plant yesterday said they went on short-time every year in January.

"It was a bolt from the blue," said Ms Mary Buckley, shop steward at the plant.

Up to £100,000 worth of orders lay unclaimed at the plant workers said. They claimed this was the main reason for the closure.

Many of the women whose jobs have been lost are the sole breadwinners in their families, said SIPTU Cork Number One Branch secretary, Mr Jerry Mullins.

He accused the company of handling the closure badly and said workers had heard it first on the radio.

"The company went public before talking to its own workers or their trade union," he added.

A spokesman for Forbairt said every effort would be made to find alternative employment for the workforce.

Despite this other sources said last night that with the textiles industry going through a severe downturn, there would be little interest from buyers in the plant.

Fine Gael TD, Mr Bernard Allen condemned the manner in which the workers were told they were being let go.

"The workers who have lost their jobs have skills going back through their families for generations and this industrial mishap will have a disastrous social impact," he said.

Labour TD, Mr Tommy Broughan said he was disgusted that workers were only told at lunchtime yesterday. He said the "cavalier" attitude of employers had to stop and he claimed it is illegal under European law that negotiations are not entered into with workers beforehand.