WEARDALE’S biggest employer, Astrum (UK) Ltd, is proposing to make a fifth of its staff redundant.

The tank track maker, which employs 280 people in Stanhope, will start consultations next week on 55 possible redundancies.

In a statement, the engineering company, which also makes products for the construction industry, said its commercial sector business, based upon earthmoving and intermodal transportation for construction and mining, had been “heavily affected by the downturn”.

As a result, its forecast level of business was insufficient to sustain its current workforce.

Astrum’s managing director Phil Kite said: “Unfortunately the global downturn affecting almost all commercial markets has had an effect on even the best-run businesses, and no one is immune from the fall in demand.

“We recognise the impact these job losses will have on our employees and the communities in which we operate, and we are looking to mitigate the impact by voluntary redundancies and exploring short-time working.

“Looking to the future, we are confident that we are best-placed to win the available new commercial business both during the recession and when there is an upturn in the economy.”

The company added that its involvement in the defence market, with the Ministry of Defence among its clients, provided a degree of stability and it was looking to expand its exports in that market.

Dave Telford, of the Unite union, said a 30-day consultation process will begin next week.

He said: “It is a tremendous employer for the locality. It will be a big blow for the Weardale area.

“We want to mitigate any redundancies where possible and aim to avoid any compulsory redundancies.

“It is another blow for our members working in manufacturing, being affected by the current economic climate.”

Astrum (UK) Ltd was formerly William Cook Defence until a management buy-out in September 2006.

County councillor John Shuttleworth said the firm was the biggest employer in Weardale, following the closure of the Blue Circle cement works in 2002, and called on the Government and the MoD to provide help.

He said: “They have actually built the business up since a management buy-out there and it is the biggest tank track maker in the UK.

“Fifty five jobs means 55 families who may have to move away, with the knockon effect that has on shops and schools.

“The Government should be helping these manufacturing firms, otherwise there will be no heavy industry left.

“I will be looking for help with this as far as we can go.”