‘Hammer blow’ as Argos shuts up shop in Ireland

ARGOS has announced that it will be closing all of its shops in the Republic of Ireland by the end of June, resulting in nearly 600 job losses.

The company said it came to the decision after a long period of consideration. Argos had been accumulating losses in Ireland in recent years. Staff were informed of the closures yesterday morning.

Argos said the investment required to develop and modernise the Irish part of its business was not viable and that the money would be better invested elsewhere.

Mandate, the trade union representing Argos workers, expressed disappointment at the decision. Mandate official Michael Meegan said: ‘Today is a difficult one for Argos’s staff here in Ireland. Because Argos is shutting down its complete operation in Ireland, this amounts to a collective redundancy which requires a 30-day consultation period and we know the company intends to honour that obligation to engage.

‘We will be using this period to negotiate the best possible terms for those who are losing their jobs and we are expecting a constructive response from the company.’

Argos said as part of its consultation with colleagues and Mandate, it will propose an ‘enhanced redundancy package’ that goes beyond statutory requirements.

‘The small number of colleagues not eligible for redundancy under Irish law are expected to receive a one-off good will payment,’ the company said.

Argos has been in Ireland since 1996 when it opened in Limerick and Dublin. It employs 580 people in 34 shops. It said most shops will close on June 24 with a handful closing slightly earlier due to lease obligations.

According to its most recent financial statement, in the year to March 2022, Argos Ireland recorded a pre-tax loss of €13.06 million, up from a loss of €3.2 million in 2021.

Andy McClelland, Argos Ireland Operations Manager, said: ‘We understand this is difficult news for our customers and colleagues. We have not made this decision lightly and we are doing everything we can to support those affected.’

Labour employment spokeswoman Marie Sherlock said: ‘The announcement will be deeply disappointing for its many loyal workers and our thoughts are with them and their families. It is a hammer blow to the retail sector and a very sad loss of good unionised jobs.’