ALAN Milburn will meet union leaders today to discuss Cleveland Bridge's plans to axe 240 jobs.

The Darlington MP said the firm's proposals to lose a quarter of its workforce in the town was not a 'death knell but a blip.'

He said: "Hopefully in six or 12 months time they will be winning back the contracts they need."

Talks between the GMB and Cleveland Bridge management are not expected to start until next week.

Jimmy Skivington, of the GMB, met shop stewards last Friday. He said: "Having spoken to people it is apparently not the huge shock everybody thought it was.

"I think the shock part came with regards the numbers. Workers knew there was going to be a run-down in work."

The North-East Chamber of Commerce said the job losses would be a blow to economic prospects in the Tees Valley.

The chamber's Tees Valley area manager Rob McMullen said: "The company said it plans to cut the jobs between June and October."