Aircraft maintenance firm SR Technics has said one of its largest customers Gulf Air is terminating a maintenance contract.
Gulf Air told SR Technics in December that it was ending the contact this June, less than three years into a five-year term. Zurich-based SR Technics employs 1,200 people in Ireland.
Three SR Technics facilities will be affected by the change; Bahrain which has 240 staff exclusively working on Gulf Air aircraft, Dublin and Zurich.
A spokeswoman for SR Technics said it was too early to say what impact the contract termination will have on its Irish operations but added Gulf Air was one of its largest customers.
She said "losing the Gulf Air agreement will mean a substantial loss in our revenues, but does not threaten our company's survival".
The total SR Technics workforce is around 5,400. SR Technics was formerly known as TEAM Aer Lingus.
Siptu's Civil Aviation Organiser Jim Finnegan said the union's members were “shocked".
"We understand that the Zurich headquarters of the company informed its outlets, including Dublin, that Gulf Air is terminating its contract over the next six months.
"As most of the Gulf Air work is carried out in locations outside Dublin, it is unclear at this stage what impact it will have on Irish operations. However we are monitoring the situation and consulting with our colleagues in other unions at the company.
"We will also be seeking a meeting with management."
