Some 256 local workers will lose their jobs following a decision by Coca-Cola to close one of its three Irish plants in what was described as a "black day" for Drogheda.
The company's Drogheda plant makes soft drink syrup for export to Europe and north Africa.
A company spokeswoman said the impending closure was for reasons of efficiency rather than falling demand. The production will shift to two existing, newer plants in Athy and Ballina. "We're making the same volume in two plants instead of three," she said.
The plant is scheduled to close in September next year. The company said it would offer a "generous" redundancy package to the Drogheda staff, and there would be opportunities for about 90 of them to work in the other two Irish plants.
However, the loss of so many jobs in one town will hurt the local community, according to politicians and union representatives.
"Coca-Cola is one of the principal employers in Drogheda and the closure of the plant will have far-reaching consequences for the community, as there is very little alternative employment in the area," said Siptu's northeast branch organiser, John King.
Fine Gael Louth TD Fergus O'Dowd described yesterday as a "black day" and a "tragedy".
"The loss of 256 jobs at the plant is a tragedy for the town which it will be very difficult to address," said Mr O'Dowd.
There was a "deep sense of shock" in Drogheda last night, said Sinn Féin's Arthur Moran. He called on Minister for Enterprise, Trade and Employment Micheál Martin to "replace these jobs" and ensure a fair redundancy package.
The Minister said the decision was a great blow to the Coca-Cola employees.
"I have asked the State development agencies, including Fás, to provide every possible support and advice to the workers and whatever retraining may be necessary to help them secure alternative employment," said Mr Martin.
"I welcome Coca-Cola's offer to provide some workers with the opportunity to take up some of the 90 new posts it is creating in Athy and Ballina, which will take over production.
"I am pleased that the company has also committed itself to provide a generous redundancy and early retirement package as well as financial advice, job search, retraining and business start-up assistance to the employees affected by this announcement.
"I welcome the commitment by Coca-Cola to its remaining 540 employees in Ireland and in particular to the company retaining its 112 shared services employees in Drogheda who support its operations worldwide."
Hugo Reidy, general manager of Coca-Cola's Drogheda plant, said that the affected workers would be offered a "generous redundancy and early retirement package together with financial advice, job search, retraining and business start-up assistance".
The Coca-Cola spokeswoman said she could not provide any details of the redundancy package.