Bombardier is Northern Ireland's largest manufacturing employer

Shorts' parent company Bombardier said it had to cut more than 1,000 jobs after employees rejected a four year pay deal - with a zero rise in the first year.

Bombardier said it needed to take the action to reduce costs and safeguard remaining contracts and jobs in the longer term.

On Friday, NIO Minister Ian Pearson said he was disappointed with the company's decision.

Michael Ryan, who heads the Shorts operation, described it as a "very complex situation".

He said: "We are in a difficult situation and we have to understand what the consequences would be if we didn't take the package.

"That is difficult for people - we understand that and we sympathise with them but we need to get together and work ahead."

As a government, we've provided support to the company over a number of years Ian Pearson Economy Minister

Ian Pearson said Shorts was an important operation for both Bombardier and its employees.

"I don't think it is right that Bombardier should just be throwing up their hands and saying, 'well, we are stopping all new investment here'."

He said: "As a government, we've provided support to the company over a number of years and I've got no doubt that we will continue to do so because we want to support and maintain employment in the Belfast area."

'Shock and concern'

Union leaders said they were frustrated with the 6,000-strong workforce who last month rejected a union-backed pay deal.

Kevin McAdam of the Amicus trade union said there was "shock and concern" among the workers at the announcement.

Mr McAdam said he hoped unions would be able to re-open negotiations with the management - if the workers gave them a mandate - and try to make a deal that could stave off the cuts.

Last month, Shorts' Canadian parent company Bombardier Aerospace secured a contract worth more than $2.2bn with US Airways for a mixture of its 50 and 75 seat regional jets.

It was not thought the order would have an impact on the company's recent redundancy announcement.

It was thought the order would secure the position of the rest of the Shorts workforce, with more than 3,000 employed on the two aircraft.

However, in a staff bulletin on Thursday, the company said the redundancy programme would now be accelerated.

It said the recent ballot result rejecting a negotiated contract renewal proposal was "very disappointing and prevented the company from improving its competitiveness in these very difficult market conditions".

"As was explained to all employees before the ballot, there would be consequences for our business of not having an agreement in place."

Bombardier is Northern Ireland's largest manufacturing employer, involved in the design and production of aircraft structures and engine covers.