The “dramatically weakening consumer environment” and the continuing drift to off-trade sales has been blamed for Bulmers Limited seeking “up to 50 redundancies” at its manufacturing facility in Clonmel, Co Tipperary. The company expects to have concluded the cost reduction and reorganisation programme by December through consultation with employees and trade union representatives.
“The combined impact of a dramatically weakening consumer environment and the continued migration of cider volumes from the on- to off-trade channel has adversely impacted our business in Ireland,” explained Bulmers General Manager Paul O’Sullivan, “It is therefore an imperative that we reduce our fixed cost base in Clonmel.
“In this challenging environment, we will take corrective action now to improve our competitiveness and move to secure the remaining 220 jobs”.
Sales of Bulmers dropped 3.4 per cent in volume and by 4.4 per cent in value in the Half-year to the end of August compared to H1 in 2009.