A FACTORY opening today will give hope to the hundreds of workers in the region recently hit by redundancy.

The factory, a former Sanyo site in Newton Aycliffe, County Durham, is home to manufacturer Balmer Lindley Group (BLG).

The opening will give encouragement to former employees of two companies that have cut large numbers of jobs in recent years.

Steve Balmer, BLG managing director, said he had taken on workers from Samsung, which announced last week it was closing its North-East operations, and Black and Decker, which cut 950 from its workforce of 1,400 in Spennymoor, County Durham, two years ago.

BLG will be creating 160 jobs in the next three years - half of those vacancies have already been filled.

Mr Balmer said: "It is a great shame when a major manufacturing plant closes down, but all I can say to the Samsung workforce is that we have taken over a similar factory at Newton Aycliffe and are providing new jobs.

"The premises are ideal and there is an available workforce, including powder coatings specialists, welders and people from a manufacturing background."

The former Sanyo microwave oven factory, which closed in summer 2001, is making lighting columns - a major growth area for BLG.

The group, based in Scunthorpe, has invested in modern manufacturing equipment to provide street lighting and motorway lighting columns.

The company was attracted to County Durham by a support package put together by the County Durham Development Company (CDDC), Sedgefield Borough Business Service and regional development agency One NorthEast. It included a £700,000 Regional Selective Assistance grant.

John Elliott, business development executive at CDDC, said: "The news that Sanyo was closing was obviously a major blow, but we have proved that by being able to provide the right kind of property, and with a skilled workforce on hand, we can attract quality manufacturing jobs to County Durham."

Richard Prisk, head of strategy and regeneration at Sedgefield Borough Council, said: "The attraction of Balmer Lindley further demonstrates the strong pull of Aycliffe Industrial Park for manufacturing investment, due to its location and range of premises.

"This is a very welcome investment to support the economic regeneration of the borough."