Glaxosmithkline will cut 104 jobs out of a total of 381 at its Stafford Miller plant in Dungarvan following a decision to stop making toothpaste at its west Waterford factory.
Local Fine Gael TD Mr Austin Deasy said he was dismayed at the news, saying it would create a serious employment problem in his home town.
He called on IDA Ireland and the Tanaiste, Ms Harney, to accelerate moves to create alternative employment in the area.
GlaxoSmithKline, which employs a total of 1,350 people between its Dublin, Cork and Dungarvan facilities, will transfer the manufacture of Sensodyne toothpaste to its Maidenhead operation in England. It said the move was part of a worldwide review of the group following the merger between Glaxo Wellcome and SmithKline Beecham, and its acquisition of Block Drug/Stafford Miller, which will see 1,650 jobs shed globally.
A spokesman for the company said there were no plans for further job cuts in the Republic.
Stafford Miller general manager Mr Peter Kirwan said the job losses were regrettable.
However, the consolidation of Poligrip into the Dungarvan facility and the positioning of the plant as a focused denture care facility would provide "a platform for potential future growth".
Waterford Labour TD Mr Brian O'Shea said the news came as a great shock to Dungarvan.
The company's future expansion plans offered little comfort to the employees who must now search for new employment.
Waterford's job creation prospects have been in the doldrums for several years.
At the end of May, the Government sanctioned a £200-million (€254 million) biotechnology project in Waterford city that will deliver 480 jobs over the next five years.
However, it will be 2003 before the facility is fully operational and approved for manufacturing by the regulatory authorities.
It is expected to reach the 480 employee target by 2006.
