MEMBERS of the 500-strong workforce at York firm Portasilo could face reduced working hours and be forced to take unpaid holidays.

The Huntington-based Shepherds subsidiary, which announced plans for 40 redundancies at the end of March, said the measures were among those being considered to minimise compulsory job losses.

The firm, which makes silos, conveyors and secure telecommunications units, has blamed changed market conditions.

Telecommunications companies, which use its products and services, are cutting back on infrastructure.

Portasilo spokesman Chris Mason said: "There is no short-time working or unpaid holidays at present. There is consultation with shop stewards. We are looking at the possibility of lay-offs and short-time working as part of the general strategy to minimise compulsory job losses in the light of the current market conditions.

"As part of those discussions, we are also looking at the possibility of offering alternatives to employees who may want to take some of their paid holiday entitlement in stead of the possibility of lay-offs."

He said the consultation with union representatives would continue over "a period of some weeks".

Updated: 11:05 Saturday, April 21, 2001