WORKERS at a North-East cement works have three months to prove their worth in the face of an efficiency drive.

Last month Blue Circle narrowly saw off a hostile takeover bid from French rival Lafarge which had sparked fears among its 180 staff at a cement works in Eastgate, Weardale.

Yesterday the company confirmed as many as 350 redundancies would be sought nationwide over two years, as part of a review of operations across its eight UK works and head office.

A five-person team of middle managers from the Eastgate works began their search for efficiency improvements there last week.

Last night Blue Circle spokesman Alistair Gale said the team would look at all areas, from energy saving to productivity improvements.

"The review is about how to improve the performance of the facility, it's not about jobs," he added.

A spokesman for the GMB union said: "Our members are deeply shocked by this announcement.

"It is a devastating blow for the workforce and we will be attempting to meet the company to assess what support will be given to the workers facing the sack."

Lafarge launched its £3.65bn battle for control of the global Blue Circle Industries group in February, immediately fuelling fears of job losses at the plant, which is vital to the fragile local economy.

Mr Gale said the Eastgate works pours at least £8m a year into the area.