Dairygold to close 170-job transport unit

Dairy co-op Dairygold announced today it is to close its transport division with the loss of 170 jobs.

Dairy co-op Dairygold announced today it is to close its transport division with the loss of 170 jobs.

But many drivers are expected to form their own business and continue to supply the company as independent operators.

An eight-month review the company's operations found Dairygold's transport costs were not competitive and that use of equipment was poor. The review recommended transport should be outsourced to independent firms.

A spokesman for Dairygold said the company would offer attractive terms to any employees wishing to take up the option of supplying the company, which requires transport for up to 190 million tonnes of milk and bulk feed each year.

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Staff who opt out of the offer may take voluntary redundancy, and there is some scope for redeployment within the business.

An "Enterprise Support Unit" will provide employees with help in financial advice, insurance and legal advice, taxation and accounting.