Roches Stores is to meet trade union representatives on Monday to discuss the future of 250 jobs threatened by the planned closure of three of its supermarkets.
It emerged this week that the company intends to shut supermarkets at its Limerick branch and at two of its Dublin outlets, Blanchardstown shopping centre and Henry Street.
A statement indicated that the company was examining the possibility of redeploying some of the 250 workers affected by the planned closures. However, it is refusing to say how many staff it intends letting go.
Yesterday, retail trade union Mandate, which represents the workers, said it would be meeting management to discuss the plans. General secretary Mr John Douglas told The Irish Times the union would demand that the maximum number of workers be redeployed within the three stores.
Roches Stores operates its supermarkets under the Musgrave-owned SuperValu brand. Sources within the industry claimed yesterday that the three supermarkets were losing out to discounters Aldi and Lidl. These operations have outlets close to the three Roches Stores branches where the supermarkets are facing the axe.
The company itself would not comment on this claim. However, a spokesman for Musgrave denied that this was the case. He said SuperValu was continuing to grow its market share, despite competing against the discounters at key locations around the State.
A Roches Stores statement said the group was closing its supermarkets to expand its fashion and homeware business in the three stores. Reports yesterday indicated that this would include the Zara concession recently added to its relaunched Henry Street store. However, Zara will not be opening in Limerick.
Musgrave plans to open eight new SuperValu stores, five of them in the capital, this year. Two of the new Dublin outlets will open on Aston Quay and North King Street.
The company has said that it will advertise posts in its new stores to Super Valu employees in the three Roches Stores branches.
Musgrave is one of an estimated 10 potential bidders for UK corner shop franchise Londis, which is part-owned by its franchisees.
It emerged yesterday that Nisa-Today, another mutually-owned retail chain, has approached Londis shareholders with a merger offer. Nisa bypassed a sales process established by the Londis board, and wrote to shareholders directly, offering Nisa shares for Londis shares.
The group's executive chairman, Mr Dudley Ramsden, argued that the enlarged group would create a 5,000-plus store network with the clout to take on big guns like Tesco.