A manufacturing company from Markethill is to make 36 compulsory redundancies.
Unicorn Mouldings, which makes floor tiles and car mats, said it has been consulting with employees since January 3 and is cutting its workforce to secure the future of the remaining 22 employees.
It plans to make the redundancies over the next six to eight weeks.
Unicorn Mouldings bought Reflex Mouldings from its administrators in August 2009 and said it has worked to maintain staff numbers since then.
"Unfortunately the company has had to take this responsible course of action in order to secure the future for the remaining 22 employees," it said in a statement.
Despite the job losses, the company said it was confident it could grow the business in the coming months.
"Unicorn Mouldings Ltd are currently developing new products and it is the company's aim to grow the business with employment numbers rising over the next six to 18 months," the statement added.
The company manufactures PVC interlocking floor tiles and car mats for major European luxury car makers.