Global Edition

Killarney Golf Club outlines details of restructuring plan

10.38am 12th April 2013 - Corporate

Happier times: Hole 18 on Killeen Course at Irish Open 2011
Happier times: Hole 18 on Killeen Course at Irish Open 2011

Killarney Golf Club Ltd is currently engaged in a complex three-year process to ensure it can overcome ongoing recession-related trading difficulties and be well positioned to meet the challenges of the future.

With 3 Championship courses, Mahony’s Point, Lackabane and Killeen, Killarney Golf Club is one of the oldest and most respected clubs in Ireland with a proud history and an enviable location at the edge of the famous Lakes of Killarney.

Following a detailed business overview, which has been in progress since last year, a major restructuring plan has now been put in place to enable the Club to remain viable during very testing times.

As part of the process to safeguard the facility’s future, it is with real regret that management has informed the club’s 41 staff of the requirement to implement up to 21 redundancies. A number of jobs will be created, however, through the outsourcing of some of these roles.

At the meeting, General Manager, Maurice O’Meara, and senior human resources consultant, Alf McGrath, outlined the seriousness of the situation and the difficulties that have been experienced.

Mr O’Meara said: “We have retained as many jobs as possible in the circumstances but it is a source of great regret that positions are being lost. I would like to thank the staff for the great service they have given to the club and I wish them well for the future.”

He added: “We need to act now to secure the long-term future of the club which, as a top quality tourist attraction, is a great asset for Killarney and Kerry.”

Mr O’Meara stated: “We are working very hard to ensure that members and visitors will continue to enjoy one of the finest golf clubs in the country.”

The restructuring process was brought about by a dramatic decline in business in recent years with the collapse of the economy impacting heavily on the Irish golfing market, including Killarney Golf Club Ltd.

There has been a 20 per cent reduction in forecasted green fees while subscriptions have also fallen by approximately 20 per cent, with 220 people opting not to renew their membership.

The adverse weather conditions in recent years has also had a very negative impact in terms of visitor numbers and in the preparation and maintenance of the club’s championship courses.

On the positive side, as a result of the implementation of the business plan, the club has cleared all debts and creditors are being paid in a timely manner. Management has confirmed, however, that the bank has taken the decision to withdraw all credit facilities going forward.

Despite the testing trading difficulties experienced, the club is determined to be in a position of strength to capitalise on opportunities that will arise and to cement Killarney’s position as the premier golfing resort in the country.

As part of the detailed development strategy for the period up to and including 2015, there has been an extensive evaluation of the club’s trading performance and revenue streams, projective green fees, membership subscriptions, retail income and marketing activity.

The review, conducted in association with professional services consultants Deloitte, also considered operational, maintenance and labour costs as well as the organisation and management structure within the club to identify the key actions required in line with best practice guidelines.

Killarney Golf & Fishing Club www.killarney-golf.com

Image Killarney: 18th on Killeen Irish Open 2011

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