More than 150 people are to lose their jobs after a Ryedale firm announced today it is to slash its workforce by over half.
Bosses at McKechnie Vehicle Components, in Pickering, are blaming the cuts on the strong pound and the loss of a major contract with car manufacturers Volkswagen.
The job cuts, which are set to take place following a 90-day consultation period with staff, have been described as a major blow by town leaders.
McKechnie spokesman Ross McDonald said the Pickering plant, which produces plastic moulded components for motor cars, has been struggling for some time.
"A reduction in the amount of cars being produced in the UK has meant we are increasingly having to compete in the European market," he said.
Pickering Mayor, Bill McCall described the job cuts as a major blow for the town.
"It is very sad news and it will be terrible for those involved," he said.
Updated: 12:35 Thursday, February 08, 2001
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