Batchelors have announced their intention to close their packaging plant in Athy in June, which will mean the loss of 16 jobs in the area.
They are planning to move their packaging operations to Dublin.
Redundancy talks are due to begin in Mid February.
However, An Post have announced the decentralisation of 20 jobs to the Business Campus in Athy, and hope to have the new sorting office operational before the end of 2008.