Bord na Móna has reached an agreement to sell its recycling division to Killarney company, KWD Recycling, subject to regulatory approval.
The semi-state body says the review concluded that such a sale would allow the business to achieve the scale and efficiency needed for sustained growth, profitability and employment.
It believes the sale would help Ireland achieve its environmental targets including being carbon neutral by 2050.
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However, SIPTU has demanded that the sale be halted and says it needs public scrutiny.
The union wants an investigation into what it says is an attempt to privatise part of a profitable public company.
It says it runs counter to economic and environmental best practice.
