We can't continue to carry the losses that we've been making here on the site

Bill Nixon General manager

A further 30 jobs will be lost at a nearby sister company while the remaining operations will be moved to that company's factory.

The firm's general manager, Bill Nixon, said: "We have gone through a difficult period economically in the electronics industry over the last 12 months.

"We had hoped that we would see some upturn, but as we look through this year, calendar year, it looks like it will continue to be suppressed and stay flat.

"We can't continue to carry the losses that we've been making here on the site."

Solectron's problems stem from the crisis facing telecommunications company Nortel.

Solectron supplies it with circuit boards and Nortel's orderbook has tumbled over the last year.

More than 1,000 jobs have been lost as a result of Nortel's problems - and while there may now be some stability at the company itself, the fall is still having a major impact on the firm's suppliers.

Hi-tech

Last year, Nortel made more than 800 people redundant and its plant in Newtownabbey, County Antrim.

It was part of a decision by the firm to reduce its global workforce by 20,000.

The plant makes telecommunications transmission equipment and had been a market leader in the provision of fibre optic equipment.

Nortel is a Canadian-owned global hi-tech corporation which operates in 100 countries.