MORE jobs are expected to be lost at struggling manufacturer Mono Containers next week - but unions say the factory will survive.

Workers are being consulted about a possible fourth round of job losses at the Durham factory this year.

Mono has blamed its troubles on lost contracts and rising oil prices.

Redundancies are expected to be announced next week as the company goes through a period of reorganisation.

Mono Containers makes pre-formed plastic cups for the food industry.

Union leaders met managers at the factory this week.

Nick Halton, of the Transport and General Workers' Union, said: "This week's meeting was about other things, but reorganisation was touched upon.

"Yes, I think there will be further redundancies.

"Obviously, at the moment we don't know what extent yet, because we are still in consultation and we will be speaking to the company on Wednesday in more detail.

"Although the company is going through difficult times at the moment, I don't think the factory will close.

"It has been there for a long time and the company is looking at moving away from less profitable lines and concentrating on the areas where it makes the most profit.

"Hopefully, we will see a turnaround in Mono's fortunes and hopefully, this will be the last round of redundancies there."

Last year, 35 staff were made redundant and this year another 60 have lost their jobs. Only weeks ago, the company made another 18 workers redundant from a workforce of 100.

Spiralling oil prices have led to a rise in the cost of plastic, which has started to affect profits.

Mono's troubles were exacerbated earlier this year when German yogurt maker Mller - a major customer - withdrew its business.

Soaring oil prices and high raw materials costs have led to several companies facing difficulties in the region during the past two months.

Last month, a survey showed confidence among manufacturers was at an alltime low because many were unable to pass on the increases in steel and oil prices to customers.

Presswork Metals, in Newton Aycliffe, County Durham, will close by Christmas with the loss of about 200 jobs. Kenmore Refrigeration, in Crook, also County Durham, made 17 workers redundant recently.

Lionweld Kennedy, on Teesside, went into administration before a buyer was found for the company, securing most of the jobs.