Credit card company MBNA is to axe 66 workers as a finance union warned thousands more jobs in the sector are under threat.
The Bank of America-owned firm confirmed the majority of compulsory redundancies will be in Carrick-on-Shannon, Co Leitrim. A small number of workers in its Dublin base will also be affected.
An MBNA spokeswoman said the announcement followed a review of business structures during the economic downturn.
She said: "Following a recent review, the company believes it needs to secure 66 redundancies from its 1,000 associates in the card services business. The company is in discussions with the Associates Forum with a view to implementing the redundancies in the coming weeks."
MBNA opened for business in Ireland in March 1997 and grew to become one of the top three credit-card providers in the country.
The spokeswoman added: "As one of the largest card services providers in the Irish marketplace, MBNA's card services operations in Ireland will continue to be a strong competitor in the Irish market and an integral part of the company's European and global business model."
Meanwhile, the Irish Bank Officials' Association (IBOA) warned up to 4,000 jobs in the banking sector could go by the new year - on top of 6,000 redundancies over the last 18 months.
IBOA general secretary Larry Broderick said speculation is rife that further substantial job losses are likely in Allied Irish Bank after the recent announcement that Bank of Ireland is to make another 750 staff redundant on a phased basis by the end of 2011.
Frank Feighan, Fine Gael TD for Roscommon/South Leitrim said the MBNA announcement was a devastating blow to workers and their families.
"MBNA must work with Bank of America to ensure the staff get the best deal they can," he said. "We must work together to secure the future of this major flagship employer in our region and I will do everything possible to liaise with Bank of America and all the departments to achieve this goal."