UNIONS representing workers at the Caterpillar plant in Stockton have met management over proposals to cut 98 jobs from the 350-strong workforce.
The AEEU/Amicus is hoping to reach an agreement with the company over the manner in which the redundancies are handled.
The company has so far agreed to lay off the 98 staff in two tranches, with 41 leaving in June and 57 following them in September.
Jeff Morland, divisional officer of the AEEU/Amicus, said: "We have asked the company to consider a range of options for the manner in which these job cuts are made.
"While we don't agree with their decision to cut the jobs, we understand that they need to make changes to their business in the wake of a downturn in global demand for their products.
"We have asked the management to consider allowing older members of the workforce to leave, allowing continuity of employment for our younger members. We have asked them to provide a better severance package to encourage that to happen."
Unions are due to meet with the management again on May 28, when the management will give its response to its proposals.
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