THE slowdown in the engineering industry is leading to further job losses in County Durham.

Sloman Engineering, in Newton Aycliffe, plans to cut 35 jobs from its 126-strong workforce by the beginning of next year.

The company is blaming the rundown of the general engineering industry for the job losses.

Sloman, which was established 14 years ago, makes components for the automotive industry. One of its largest customers is Cummins engine plant, in Darlington.

The company is halfway through a 30-day consultation process with the Amicus/ AEEU union, which represents the workforce at the plant.

Regional officer for the union, Gerry Hunter, said: "We are currently in negotiations with the firm to try and reduce the number of job losses.

"We hope to be in a position before Christmas to let the workforce know about their futures.

"Any job losses will be across the board and will be made up of shopfloor and support staff."

The company has confirmed that it is planning the job cuts as a result of the general rundown of the engineering sector, and as part of attempts to cut costs and make the firm more efficient.

Earlier this year Stockton Castings made more than 30 staff redundant, while Weardale Steel has been forced to cut more than 80 jobs following its move into administration in October.