Kostal workers to be briefed on cost-cutting plans

Hundreds of jobs are believed to under threat as management at a car components firm prepares to brief workers in Cork and Limerick about its plans for dealing with a major downturn in business.

Kostal employs a total of 1,000 people at its operations in Mallow and Abbeyfeale.

The German company has suffered a major fall in business due to the collapse in new-car sales worldwide.

Management at both plants will brief workers on the firm's cost-cutting plans this morning after suspending operations for three weeks over the Christmas period.

Kostal is expected to announce lay-offs and reduced working hours.