THE future for manufacturing at Gwent's Solectron was looking increasingly bleak today.
The US-owned factory has already said that 350 jobs are to go at the Cwmcarn factory, which makes telecommunications equipment.
And a question mark now hangs over the remaining 170 manufacturing jobs at the 50-year-old former Nortel Networks plant.
Solectron is axing the jobs and transferring the work to factories abroad, probably in eastern Europe or possibly Mexico.
But there appears to be better news on the service jobs front at Solectron's Cwmcarn factory, in which sector about 200 jobs still remain.
Meanwhile the Communications Workers Union (CWU) says it will stage a meeting at the plant to gauge the mood of the workforce.
CWU national executive officer Bernard Roome told the Argus: "We have called a meeting of our members at the plant for next Monday, and it is up to employees to decide what action they deem necessary to save their jobs." Mr Roome said no decision had been made on the possibility of any industrial action as, he said, it was up to the employees to decide.
Solectron bosses met First Minister Rhodri Morgan and representatives of the Welsh Development Agency yesterday.
A spokesman for the first minister said: "Mr Morgan met two representatives from Solectron at the WDA offices, but he had to leave before the end of the meeting, which was with officials from the Assembly and the WDA, to get back to Cardiff to answer First Minister's Questions. "Mr Morgan knows that it is a serious situation at Solectron but the situation is not without some hope - there is a glimmer of hope for the future of the company at Cwmcarn.
"It was never the intention that the Assembly was to offer a package to Solectron at the meeting.
"Mr Morgan was there to listen to the company to hear their problems and to take it further, which is what he will be doing."
Hilary Hendy, executive director of the international division of the WDA, told the Argus the manufacturing part of the business is "threatened as it is a cost-dependent operation".
She said: "This is not a negative comment on the productivity or the skills of the workforce , but a macro-economic factor."
Mrs Hendy said the agency would be working with Solectron to retain and enhance the service part of the business, but she said "the outlook for the manufacturing jobs is bleak".
Islwyn AM Brian Hancock says the loss of 350 jobs at Cwmcarn will have a devastating effect on the Valleys community.
A spokesman said: "The company reiterates that the consultation process has confirmed that the Cwmcarn site will no longer conduct manufacturing activity and the company believes the site's future focus will, in the main, be on the global services activities."
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