Jobs in Laois to be lost as Argos set to close all stores in Ireland

Jobs are set to be lost in Laois with confirmation that Argos is to close all its outlets in Ireland, the Mandate Union has confirmed. 

There are over 30 Argos stores in Ireland. More than 400 workers in Argos stores across the Republic of Ireland will be impacted by the closure including staff at the the outlet at the Kyle Centre, Portlaoise.

The union says it will engage intensively to get best possible deal for workers being made redundant at the company which is owned by the leading British retailer Sainsburys.

A spokesperson for the company could not give a precise number of jobs that would go in Laois but said that that betwee 15-20 employees are employed at each of its Irish outlets.

The Mandate Trade Union has this morning expressed its disappointment at Argos’s decision to close all of its outlets in Ireland.

Mandate official, Michael Meegan, said that the union will be engaging intensively with the company to get the best possible deal for the workers who are being made redundant.

“Today is a difficult one for Argos’s staff here in Ireland as they get the news that the company will be closing down here. Because Argos is shutting down its complete operation in Ireland this amounts to a collective redundancy which requires a 30-day consultation period and we know the company intends to honour that obligation to engage," he said. 

"We will be using this period to negotiate the best possible terms for those who are losing their jobs and we are expecting a constructive response from the company,” Michael Meegan concluded.

RTÉ reports that the company said it arrived at the decision following a long and careful consideration of its operations in the country.

"Argos concluded the investment required to develop and modernise the Irish part of its business was not viable and that the money would be better invested in other parts of its business," the company said in a statement.

"As part of its consultation with colleagues and Mandate, the recognised trade union, Argos will propose an enhanced redundancy package that goes well beyond its statutory obligations," the company said.

"The small number of colleagues not eligible for redundancy under Irish Law are expected to receive a one-off goodwill payment," it added.

Andy McClelland, Argos Ireland Operations Manager, said the firm understood that it was difficult news for customers and colleagues.

"As with any major change to our business, we have not made this decision lightly and we are doing everything we can to support those impacted," Mr McClelland said.

Argos stores will remain open to customers in the Republic of Ireland until 24 June and following today's announcement, Argos will begin the process of gradually winding down its Irish business.

As part of this, customers in Ireland will no longer be able to pay for orders via the Argos website or place orders via its home delivery service after 22 March.

Orders placed up to this date will continue to be fulfilled and customers will still be able to reserve products online and pay for them in store until the point of business closure.

The aftersales, returns, refunds and exchanges policy will continue to apply until Argos stores close.

Sainsburys says around 30,000 are employed by Argos.

Cork-based Socialist Party TD challenged the need for Argos to shut it's doors in 34 Irish locations with the loss of 580 jobs and called on the company to open its books for inspection by workers' representatives.

He acknowledged that Argos recorded losses of €13m in Ireland last year but said that much of these were accounted for by the cost of store closures and that the company has the potential to work its way out of the red.

"580 jobs are being sacrificed here on the altar of short-term profit. Argos' UK parent is a hugely profitable business which made hundreds of millions of euro last year. The books should be opened to inspection by workers' representatives and let society see whether these redundancies are necessary or not," he said.

The Cork North Central TD said that Argos' parent company Sainsbury's recorded underlying pre-tax profits of £340m in the 6 months to September. He said that Argos UK's operation is reporting stronger sales in Christmas week than it had on Black Friday for the first time in many years.