800 jobs axed by g-loom bosses; Three factories to close.

DEVASTATED Fruit of the Loom workers on the dole for Christmas were dealt another blow last night.

The company revealed that it is to close three of its four plants with the loss of nearly 800 jobs.

A further 700 jobs have only been guaranteed for 12 months and could also go.

Grim-faced IDA bosses emerged from a meeting with the company yesterday and said they had done their best to save the Donegal jobs.

Under the deal hammered out at the meeting, 600 workers are to have their jobs guaranteed until at least the end of 2006.

But factories owned by the T-Shirt company in Malin, Milford and Raphoe in Donegal will close their door within months.

Only the Buncrana manufacturing plant will survive and that will too be hit with considerable job losses.

Fruit of the Loom bosses last night apologised to their 2,000 workers for making the announcement within weeks of Christmas.

"Consistent with requests from our workforce, notwithstanding the proximity of the festive season, we are doing so now," said chairman Bill Farley.

"If this could have been avoided, we would have done so."

Tanaiste Mary Harney pledged to "pull out all the stops" to find alternative work for those who have been laid off.

"Everything possible to find replacement jobs and industries for these locations will be made," she said.

"Throughout a long period of uncertainty, the Donegal workforce has demonstrated its work ethic and a great commitment to their industry.

"Their excellent record has already proved to be a major factor in focusing the attention of potential new investors in the county.

"I have been encouraged in recent months by the range of companies showing an interest in locating in Donegal," she said.

The plants which are to be closed down are to be kept in an "industry- ready" condition for potential investments.

IDA Chief Executive Kieran McGowan said: "This is the best outcome possible in a difficult environment for the company and its global markets."

TD for the area, Dinny McGinley, predicted an "unemployment desert" in north east Donegal. "My sympathy goes to the families and communities who have invested so much of their lives and labour in this company," he said.

"Fruit of the Loom are morally bound to return that generosity and loyalty in redundancy agreements."

A further 136 workers at a separate Donegal company have been told they would have no work for Christmas.

Donegal Shirts, in Lifford, will close on December 17 and re-open on January 11.

A company spokesman blamed the closure on "an international slowdown in the textile market".

And a clothing factory in Mayo has also been affected with 100 workers at the TJT factory in Kiltimagh being temporarily laid off.