Up to 200 jobs may be lost in Cork after an US multinational supplying the information technology sector announced that it is to transfer some of its production from the Republic to the Czech Republic.

Banta Global Turnkey, which is based at the Hollyhill Industrial Estate in Cork, is a contract manufacturing organisation which produces hard disk drives as well as printing manuals and brochures primarily for the information technology sector.

Workers at the plant were called for a briefing yesterday by management who informed them that the company is moving production for one of its major customers, understood to be Hewlett-Packard, from the Cork plant to the Czech Republic.

Yesterday, the company said in a statement that moving production to a new facility in the Czech Republic would "help bring the company's cost structure in line with the current competitive environment and customer requirements."

The firm employs 350 people in Cork and it said that up to 200 of these may be effecting by the transfer. Some 75 per cent of those affected are permanent, while some 25 per cent are temporary staff.

"The redundancies likely will occur during the first quarter of 2007. Banta will provide a redundancy package and out-placement assistance to eligible employees," said a company spokesman, adding that the 700 workers at Banta's Limerick plant will not be affected.

Banta Global Turnkey was established in Cork in 1995 when Banta Corporation, which is headquartered at Menasha, Wisconsin, took over the Irish-owned BG Turnkey Services. In June 2003, Banta Global Turnkey carried out a restructuring which saw the firm consolidate its Irish operations, resulting in the closure of its facility in Dublin with the loss of some 65 jobs.

Banta's announcement follows the announcement last week by Data Device Corporation Ireland that it is to close its Cork factory with the loss of 71 jobs.