North Cork suffered a significant jobs loss yesterday with the news that a computer parts company is to lay off 40 of its 50-strong workforce. Mallow-based Mitsumi Ireland said the lay-offs were due to continuing reductions in the personal computer market, combined with intensive levels of competition.

Mitsumi shop steward Ms Geraldine Buckley said staff were stunned by the lay-offs. "We thought things were fine for people here at the moment."

Management and union representatives at the plant are due to meet today and a more detailed statement on the lay-offs is expected. The Japanese-owned company opened the assembly plant in Mallow in 1991 and employed 250 at peak production in 1993. Mitsumi Ireland would continue to support and distribute products to its customers in Ireland from the Mallow plant, the company said.