A number of jobs are to be lost following the closure of the Modern Homes Ireland modular housing facility in Ballyjamesduff.
A spokesperson for MHI told Northern Sound the closure of the production plant is due to the sustained low levels of activity in the Irish residential property market and the resulting lack of forward order book.
Staff were informed of the abrupt decision yesterday.
Cllr Trevor Smith described the news as a "big blow" for the Ballyjamesduff area.
In a statement issued to Northern Sound, MHI said: "MHI Modern Homes Ireland Limited has regretfully informed employees that it has closed its factory in Ballyjamesduff with immediate effect. No final decision has been made regarding the company’s operations overall, the closure of the production plant is due to sustained low levels of activity in the Irish residential property market and the resulting lack of forward order book.
"MHI has now entered a period of consultation with employee representatives in line with legal requirements. During this consultation period, employees will remain on paid leave. MHI will continue to deliver its existing projects and is committed to ensuring the process is handled with fairness, transparency, and respect for all those affected."
