A CO OFFALY window and door maker is to cease production with the loss of 71 jobs.
Rationel, which has been producing timber products in Edenderry since 1987, is to close its production facility on November 14th, it announced yesterday.
It will continue to operate its Irish sales and service business, employing more than 50 people, but the products will be made in sister factories in Denmark and Poland. Rationel is wholly owned by the Denmark-based Rationel Vinduer A/S.
The firm distributes high-end timber doors and windows across northern Europe and has supplied them to many new developments in Ireland in recent years.
Rationel (Ireland) managing director Don O'Dowd said the main reason for the closure of the Co Offaly production plant was the slowdown in the construction industry here.
He said that, in the past, downturns were compensated for by business from the UK, but the weakness of sterling against the euro had largely closed this avenue off.
"The employees in Edenderry have shown great skill and dedication, but there is no realistic prospect of the manufacturing part of the business turning around," Mr O'Dowd said.
The company has started the consultation process with employee representatives. Mr O'Dowd said the company will give support to affected workers via career assistance, financial advice and redundancy packages.
Fine Gael Laois/Offaly TD Charlie Flanagan said the closure was a particular blow as the area has one of the highest unemployment levels in the country.
"Unfortunately, Rationel has fallen foul of the Fianna Fáil recession and has blamed the closure on the collapse in the housing market and construction industry," Mr Flanagan said.
"In the last year, the Edenderry unemployment office reported a 34 per cent increase in the number of live register claimants," he added.
" Young people in particular are being badly hit, with the number of under-25-year-olds on the live register in Edenderry increasing by a massive 45 per cent during that period."
