Waterford Wedgewood is to let go up to 94 temporary workers at their manufacturing headquarters in the city.
The workers being laid off are from a group of some 200 short-term contract workers. These workers allow the company flexibility to respond to fluctuations in demand.
It has also been reported the company may impose a week of short-time working which would result in the closure of the company's two production plants where the company employs 1,600 people.
The news comes as management and worker representatives continue talks about measures aimed at combating the affect of a slowdown in demand for luxury products such as Waterford Crystal and a decline in visitor numbers.
The luxury crystal and china manufacturer, which issued a profit warning at the start of March, said its business was adversely affected by the uncertainty surrounding the conflict in Iraq.
At the time, group chief executive Mr Redmond O'Donoghue said the company would return a profit this year.
The company's shares were one cent ahead this morning on 25 cents, well below the year high of 51 cents.
