The managing director of the Largo Foods plant in Donegal has confirmed this afternoon that 60 full-and part-time jobs are to be shed.
Ray Coyle said that the jobs are to go from the packing department, which will be automated.
Mr Coyle said that if the jobs losses are not implemented as part of a cost-cutting exercise, then the Gweedore plant will close and production will move to the UK.
He told Highland Radio it is part of a wider plan to ensure the future of the Donegal plant.
"There's going to be about 38 full-time job equivalent losses, probably about 60-odd people between part-time and full-time," he said.
"The issue is that Donegal is geographically disadvantages for exports to the UK.
"We've had to put in automated equipment. We're spending €3.7m between R&D and putting in new equipment to take down costs.
"If we don’t do that, the whole plant closes."