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Many workers from north Kerry and Limerick are employed at the plant
KOSTAL.
KOSTAL employees at its Abbeyfeale plant have been informed that the company has agreed in principle to transfer its OBC (onboard chargers) production overseas that will result in the loss of jobs.
An internal communication was issued by management to staff on Thursday morning outlining that while the latest information brings some certainty to employees who have faced anxiety over voluntary redundancies since 2024, the company is conscious that OBC transfer project’s timelines need to be developed.
It stated the work of the global OBC transfer project team organising the transfer will now accelerate. The move may result in as many as 150 workers losing their jobs during the transition.
The company said that, as much as is possible, it hopes to have ‘fuller details’ for workers about the OBC transfer in early February – including ‘headcount implications’ and ‘timelines associated with the transfer’.
KOSTAL management said it accepts and understands there are continuing uncertainties about the transfer timeline that need to be clarified.
“Your patience is very much appreciated,” a spokesperson said.
KOSTAL announced in October 2024 that it was looking to reduce its workforce by 60 after staff were issued with a letter outlining the changes.
The German-based company said the board’s decision was ‘not made in haste’ but that KOSTAL ‘experienced, and is experiencing challenges’ due to lower sales of carlines using its OBCs.
News of impending redundancies comes as a blow to the Listowel and north Kerry region where much of the company’s workforce is based.
The workers were briefed on December 4 with a further commitment to follow before January 30. Employees are now being encouraged to bring forward any questions they may have to management on or before February 2.
“I feel sorry for the people with mortgages and not knowing whether they will have a job or not next month or next year,” a worker told The Kerryman.
“It doesn’t state how many redundancies yet, but there is a further update next month. It’s a step closer to what we all feared,” he added.
Requests were made before Christmas for the Minister for Enterprise and the IDA to engage with KOSTAL to safeguard as many jobs as possible.
The company previously intimated that it may invest in other forms of production such as spare parts and injection moulding. However, it is thought this would require a significantly reduced staff base.