AVX is reported to be planning to cut 92 jobs from its facility in Northern Ireland as the market slowdown starts to hit the component market.
The passive component manufacturer currently employs around 390 people at its factory in Coleraine.
According to a company spokesman, there has been a sharp reduction in orders due to global slowdown.
“The company very much regrets having to make these proposals, and do not underestimate the affect it will have on their workforce at this time,” said the spokesman.
Earlier this month AVX forecast lower than expected sales for the quarter ending December 30 due to the weakening in the global marketplace and customer reluctance to take inventory beyond immediate demand.
"The overall economic picture has deteriorated significantly, particularly during the past forty five days. The financial crisis has spread throughout the world, and our customers are reducing their inventory to bare minimums," said CEO and President, John Gilbertson.
"The overall demand visibility remains limited, and many customers have recently announced extended plant vacation shutdowns beyond normal holiday practice. In this dynamic environment revenue levels cannot be predicted, but we feel that revenue in the December quarter could be down in the range of 15% from current consensus estimates," said Gilbertson.
Consultations with the employees affected and their representatives are planned.
There are also plans for a two-week shutdown at the plant over the Christmas period.