There are fears for the future of 200 jobs in Nenagh, County Tipperary.
Staff at the Coty plant have been called to a meeting at noon today, while local councillors have been told to "expect the worst".
In 2015 the cosmetics manufacturer took over the Proctor and Gamble facility on the Gortlandroe Industrial Estate in Nenagh, which had been in operation there since 1978.
The deal which was worth almost €12bn saw Coty acquire such brands as Hugo Boss, Gucci and Max Factor.
However there was a number of concerns about the takeover including pension rights and last year the Labour Court recommended the staff receive a once off loyalty payment.
Today's meeting at noon follows a company sourcing study and there are fears that staff will be informed that production in Nenagh will cease over the next 18 months with the jobs being moved to the UK.
Its understood local councillors were briefed about the situation at Coty following their monthly meeting yesterday and told by officials at the local authority to expect the worst.
Local Councillor Ger Darcy says it would be a huge loss to the area.
"Over 200 people are directly employed and a lot of people are indirectly employed. We all have friends, and neighbours, and relatives who drew their income from that factory.
"I shudder to think, it's going to be an absolutely massive loss to our area if the worst comes to pass."