WORKERS at electronic components firm SMK are anxiously awaiting the outcome of a global review of operations.

The Japanese business, which manufactures remote control units for television and hi-fi equipment, as well as control panels for photocopiers, has seen staff numbers at its Newton Aycliffe operation dwindle from a peak of 350 in 2000 to just 125. Most of the job losses have been from its temporary staff, but permanent workers have also been trimmed.

SMK's review of its global operations was started due to the downturn in its global markets, particularly the mobile phones business. It is due to be completed by the end of this month.

SMK is not the only Japanese company reviewing its global operations as the country's economic crisis continues to bite. But the Newton Aycliffe plant is SMK's only facility in the UK.

Personnel director Les Dixon said: "Speculation is mounting about the future of this operation in the difficult global trading conditions for Japanese companies. The fear among the workforce is that the review will have some impact on this site, and could possibly lead to its closure.

"There have been gradual job losses here in recent years, with the workforce declining from a peak of 350 to just 125 at this time. However, a lot of those losing their jobs have been temporary staff."

He added: "Globally everything is a bit of a fight at the moment, and as this is SMK's only site in the UK, the workforce fears that we may bear the brunt of any cuts.

"However, rumours that this plant is set to close are purely speculation at this moment in time."

The losses at SMK have been a gradual process. At the start of last year, the company employed 250 staff. That number has been gradually reduced, with cuts of 39 in May and 27 in August.

In October 2000, the company's managing director, Shigechika Yanagi, was made an honorary ambassador to Japan by County Durham Development Company, because of his work in doubling the workforce at Newton Aycliffe since it opened in 1988.