Glanbia plans to cut jobs at its fresh milk packaging facility in Baltimore Kildare, Ireland, after the company lost a part of a contract with supermarket chain Tesco.

The dairy plant has 120 workers and the firm intends to cut 30 jobs. Out of 30 redundancies, around 15 have been applied voluntarily.

Meanwhile, the remaining employees will be given a 25% pay cut, which will come in the form of ‘new shift arrangements’.

“The remaining employees will be given a 25% pay cut, which will come in the form of ‘new shift arrangements’.”

Glanbia had been supplying milk for Tesco’s own label. The loss of this contract, however, does not impact the Avonmore brand of Glanbia.

Dairy processors Arrabawn and Aurivo will now supply milk for Tesco’s own label.

Glanbia will continue to supply butter and cream to Tesco.

A Glanbia representative told the Irish Farmers Journal that the firm has entered into dialogue with employees and their representatives to begin a consultation period, which is expected to last a few weeks.

The discussion will also include new shift arrangements at the site.

"Management will engage with employees and their representatives over the coming weeks to discuss the issues," the representative added.