The owner of a manufacturing firm involved in the UK's longest-running industrial dispute is to appeal against a ruling that he unfairly sacked 87 workers.

The staff at car parts plant Friction Dynamics in Gwynedd were locked out in May 2001 after a 20-month strike over conditions imposed by its managing director - American Craig Smith.

An employment tribunal at Liverpool in November ruled unanimously they were unfairly dismissed because he had made no attempt to resolve the dispute.

But he lodged an appeal challenging that decision on Tuesday, saying the Caernarfon plant would shut if he did not win.

Mr Smith did not reveal grounds for his appeal but said the factory could not stay afloat if the tribunal decides on a "significant remedy" for the workers.

Appeal proceedings

They went on a continuous 24-hour strike after the introduction of a pay cut and other changes to working conditions.

Caernarfon's local football club, where the workers were gathered to hear the tribunal result, erupted in cheers of joy and relief when the decision was announced by local T&G representatives.

They had been backed by TUC general secretary John Monks and T&G leader Bill Morris.

Mr Smith's appeal proceedings will now probably have to be heard in London.

A preliminary hearing to test the grounds of his claim is likely to be held in about six weeks - judges will then consider whether to permit the appeal.

It is thought it will centre on legal aspects of the tribunal.