More than 200 jobs will be lost in Ballina in Co Mayo following the announcement today a car components factory is to close.
A Mayo trade union official said the local economy would be devestated.
Management at the Henniges Elastomers plant said the job losses were caused by spiralling wage inflation which adversely affected its competitiveness.
Henniges produces injection-moulded components for the European car industry. The company's US parent firm, Gencorp, intends transferring the operation to Germany.
Henniges has been one of the one of the largest employers in the region since it was set up in 1989 and last year paid £5 million in wages.
All 170 workers at the plant are to be laid off by September 30th 2001 while sub-contracting employment will also go, bringing the total job losses to 220.
Mayo SIPTU branch secretary Mr Séan Nolan said the job losses would devastate the local economy.
He called on the IDA and other State agencies to use the intervening period to lobby for a replacement industry.
He said today's loss of employment was compounded by the revelation yesterday that many jobs are likely to be lost at Dawn Meats in Ballyhaunis, Co Mayo.
