The rationalisation programme that followed the merger of Avonmore Co-op and Waterford Co-op is set to be completed by mid-year, following agreement with the workforce for the orderly wind-down of the Rathfarnham liquid milk plant in south Dublin.

A spokesman for Avonmore Waterford said that agreement had been reached on the severance terms for the 200 employees who will lose their jobs at Rathfarnham while about 100 employees will transfer to other operations in the group.